Solar lender, cKers Finance, has raised a total of $5 million from US-based investor New Energy Nexus to build new distributed solar power segments in India, the firms said in a joint press release on Wednesday.
“The falling cost of solar technology is democratising the availability of energy through distributed solutions... Our fund has invested a total of $5 million into cKers Finance, which we think is excellent leverage to accelerate the development of new distributed solar segments,” said Danny Kennedy, chief energy officer at New Energy Nexus.
According to the release, the present funds were meant to catalyse the growth of distributed segments including residential and commercial solar systems, solar pumps, floating solar, solar cold chains and the like. Part of the proceeds would also be invested in emerging energy service company models that promote energy efficiency.
“We have helped catalyze creation of over 45 megawatts of distributed solar energy assets across 100-plus locations all over India. We have developed a range of financing products for emerging developers, renewable energy service companies-RESCOs, and clean-technology companies to enable them to grow,” said Pawan Mehra, director and chief information officer, cKers Finance.
He added that their specialty is in being able to do smaller ticket-sizes, which most traditional financiers shy away from. And added that this year they are piloting even smaller ticket-sizes for SMEs.
“Sustainable energy bonds (SEBs) are specialised instruments that allow investors to have exposure exclusively to sustainable energy assets. Unlike traditional green bond issuances, SEBs are viable at smaller scales, which helps catalyse collaborative action and investments that are imperative to raising capital for distributed clean energy around the world,” said Shilpa Patel, director of Mission Investing at the ClimateWorks Foundation, an advisor to New Energy Nexus.
The investment was made through the cKers Finance SEB.
(Source: Energy World)