NEW DELHI: Tata Power Renewable Energy Ltd has partnered with IndusInd Bank to offer financing options to Micro and Small Enterprises (MSEs) for solar installations.

This alliance will provide MSEs with collateral-free solar financing, by offering loans ranging from Rs 10 lakh to Rs 2 crore, Tata Power Renewable Energy said in a statement on Tuesday.

These loans, contingent on the bank's credit approval, require a 20 per cent margin and come with competitive interest rates, offering terms of up to 7 years, the company said.

Deepesh Nanda, CEO & MD, Tata Power Renewable Energy said, "Through a partnership with IndusInd Bank, we are facilitating easy financing opportunities for MSEs (Micro and Small Enterprises) to adopt solar energy, which will not only help them reduce operational costs but also actively contribute to the green energy transition."

Various public and private sector lenders are tied up with solar players to provide finance options for commercial and residential solar projects.

Last week, Solex Energy on Saturday partnered with the State Bank of India (SBI) to offer solar financing options up to Rs 10 crore to commercial, industrial, and institutional customers.

A subsidiary of Tata Power, Tata Power Renewable Energy Limited (TPREL) is a developer of renewable energy projects including solar, wind, hybrid, round-the-clock (RTC), peak, floating solar and storage systems.