( Zero Investment Plan )
Setting up of Solar Power Plant under “ZERO INVESTMENT PLAN (ZIP)”
We are introducing a very interesting model of “ZERO INVESTMENT PLAN (ZIP)” for Setting-Up of Solar Power Plants for MSME sector, where power requirement is almost 24×7. This ZIP model is specially developed for the MSME sector of India, where we have kept in mind the growth potential in this sector as well as issue of scarcity of desired financial support.
The outline of this ZIP is as follows:
+ Target Sector
Industries, Commercial Buildings, Mall s, Hospitals, Auto show-rooms/service stations, ware-house, Cold Storage’s, Hotels, Hatcheries, Mushroom Farms, Educational/Training Institutes including Schools, Yoga Centers, Ashrams, etc.
+ Target Capacity
Under ZIP we are concentrating on those entities where the sanction Load is over 100 kW.
+ Free Installation
Our Company will do all the preliminary exercise of preparing of Drawing, Design of Solar Plant, Procurement of Tier-I technical y sound and sustainable solar equipment. Beside this our company will take care of installation, Testing, commissioning of solar power plant as well as take care of all the approvals and clearances from DISCOM.
+ Free O&M
Our company will operate & maintain the solar plant for the term of PPA. So it is virtually Zero Operation and Maintenance (O&M) expenditure by the Client over the PPA term.
+ Free Solar Power with huge savings
Since we are using Tier I grade solar panels having minimum life expectancy of 25 years, which will ensure that Client will get free solar power for remaining life of the Solar Power Plant, say for remaining 13-15 years.
+ Power Purchase Agreement
Our Company will enter into a very simple “Power Purchase Agreement” (PPA) with the Client for a term of 10-12 years and there is no credit rating requirement.
Discounted Solar Tariff
Client has to pay the agreed Discounted Solar Tariff to our company, which will be at minimum discount of 10%. It means, if client is paying a power tariff of say Rs. 8 per unit then he has to pay “Solar Tariff” of Rs. 7.20 per unit to our company for the agreed PPA term.
+ Target Area
Haryana, Uttar Pradesh, Rajasthan, Maharashtra & other states where the power tarif rates are over Rs.7 per unit.
+ Zero Capital requirement by the Client
Under this ZIP, client need not to invest any amount, rather our company will invest for setting up of the Solar Power
+ Target Area Transfer
Free Transfer of Solar Power Plant
+ Solar Tariff
Recovery of investment through charging Solar Tariff
Advantages of ZIP are as under
Immediate Savings to the Client from day one by substituting expensive grid and/or diesel power with cheaper solar power.
Contractual term of 10-12 years: It’s a unique Short Term solutions for MSME, i.e. PPA of 10-12 Years, whereas our competitors are offering long term PPA for a term of 25 years.
Discount rate of 10-16% on DISCOM’s Tariff rate will remain same over a PPA term. This means that in case Tariff rate goes down in future the client will not be at loss. (Refer Annexure-1 for illustration).
Basically this ZIP negate the effects of fluctuation in the electricity charges over a PPA term.
Reduction in overall carbon footprint of the Client and their Building will fall under the category of “Green Building” and marketing can be done by highlighting this fact on the marketing platform that:
“Our product is produced and preserved through Green Energy”
“Our services are offered through Green Energy”