Accessing Capital for off Grid Energy in India

Off grid energy for India is crucial and evaluation of the cost of setting up power generating infrastructure is a vital exercise that businesses need to undertake. There are several factors that should be considered before setting up such a business e.g. which mode of energy the entrepreneur intends to use, like solar, wind or biomass. If it is solar, the first consideration is the availability of land. Next, it is equipment, which includes solar panels, mounts, batteries for power storage and distribution infrastructure.

In case of wind power generation, cost increases by several notches as wind power equipment is more expensive. Again, land plays a crucial role along with the specific geography, e.g. the coastal regions and places not far from the sea shore would be ideal for such a project.

Location identification plays a significant role in setting up of a renewable energy plant as it is critical for ensuring the success of the business. Off grid energy generation in India needs precise assessment for smooth and successful implementation. For biomass based generation, easy and abundant availability of biodegradable waste is essential.

Critical evaluation of the objectives is important

Off grid energy plants in India need precise evaluation for another critical objective - access to funds and investment. Banks and financial institutions are not keen to invest in a project that is unable to explain profit to risk ratio in a clear and straightforward manner. When entrepreneurs have periodic performance data to prove the profit potential of their business, it is easier to access funds. With the government of India setting up an ambitious target of achieving 100 GW of renewable power generation capacity by 2022, the scope of growth is tremendous.

Decentralized renewable energy businesses, and the financial institutions looking to invest in them, need not spend their precious time and resources in trying to undertake evaluations manually but go for specific software solutions that will do the job for them in a well-structured and presentable way. All they need to do is feed in the right input data into the system and see the amazing possibilities of amplifying their presentations for the investors and funding agencies.

Dreem helps off-grid enterprises as well as financial institutions assess the potential of a given business by evaluating geography of operations or expansion, intended or current energy resource utilized and the off-grid product/ solution offered.