Renewable Energy

Energy Lending Initiative

Sarala Solar Program

One of our important initiatives has been in the field of renewable energy. Sarala has been an early entrant and a successful player in financing the acquisition of Solar Lamps. For this Sarala was recognized as a success story by USAID under a program known as PACE-D. This initiative has set us apart from most other Microfinance organizations in India.

Sarala commenced its Solar Program in June 2015. A total of 66 Branches are covered in the program over 13 districts (counties) in West Bengal and 3 each in Assam and Bihar. As of March 2017, we had cumulatively sold 130,907 units, with a total value of INR 237 million. Of this, our cumulative financing was for a total amount of INR 153 million. As of March 31 2017, the outstanding solar portfolio stands at INR 10.7 million covering 11,105 borrowers. Sarala plans to expand its number of Branches to over 300 in 5 years all of which are expected to be part of our RE/EE program. Here is the summary

Sarala Solar Program

  • As aforesaid, Solar Products are being provided to customers in cash or through Credit / Loan.
  • Solar Product Loans are interest-free with no other costs included.
  • To get a Solar Loan, a prospective client must be a client of Sarala MFI with a Microfinance Loan
  • Once a client avails a Microfinance Loan (Income Generation Loan), there is no exclusive credit appraisal and sanctioning process required to avail this loan, since, the client already was appraised for her bigger income generation loan followed by approval and sanction of the same by the Branch Manager.
  • There is a Loan Application form which needs to be filled up followed by approval of the concerned Field officers and Branch Managers.
  • The Delivery takes place at Client doorstep, or at Branch office as convenient for the customer.
  • However, for Cash sales, the Buyer needs not to be a client of Sarala MFI.
  • There is a separate database for Solar Program with Loan tracking system, Client details, Disbursement and collection of solar loans, delinquency management of the loans and inventory control.
  • Each of the products being facilitated are with 2 years replacement guarantee.
  • Each Client can avail a maximum of one Solar Loan at a time.
S.N Product Partner Model
Number of Customer
2016 2017
1 D.light S320
44,409 14,828
2 D.light M350
1,752 761
3 D.light S20
4 D.light S100
5 Greenlight planet Sunking pro 2
15713 11,801
6 Barefoot Barefoot go (with stand)

Some of our Solar Initiatives at the branches

Educating Borrowers of the usefulness of Solar Energy