SunBorne Energy achieves financial closure for 15-MW solar plant

MUMBAI: Solar power developer SunBorne Energy today said it has achieved financial closure on the debt component of Rs 140 crore for its upcoming 15-MW photo-voltaic plant in Karmaria, Gujarat.

Financial closure has been reached with four banks, including State Bank of Patiala, Export-Import Bank of India, Canara Bank and State Bank of Travancore, the Company said in a statement issued here. Debt advisory on the project was led by SBI Capital Market Limited (SBICAPS).

"The support from Indian banks demonstrates their increasing confidence in the solar industry," SunBorne Managing Director and CEO James Abraham said.

Though there is enormous potential to install solar power generation capacities in India, bankability and financing has been a key concern for many project developers, SunBorne Executive Director and CFO Anil Nayar said.

 "With Indian banks coming forward to fund solar projects, the prospects for the second phase of the National Solar Mission and other state projects only look brighter. The industry is going to flourish and add back to the Indian economy with more such financing deals," he said.

The plant is scheduled for commissioning before December 31, the release said, adding that the power generated would be enough to electrify more than 10,000 households. The project would also generate carbon credits under the CDM mechanism of the UNFCCC, it said.

Source: ET