Pentagreen Capital and Candi Solar have signed a US$50 million financing partnership to support approximately 400 MWp of solar and battery energy storage projects in India. The financing aims to expand renewable energy access for small and medium-sized enterprises (SMEs) while supporting Candi Solar’s expansion plans to surpass 1 GW of operational solar capacity within the next 24 months.
Announced on November 5, 2026, the partnership involves Pentagreen Capital, manager of the Green Investments Partnership (GIP) under Singapore’s Financing Asia’s Transition Partnership (FAST-P) initiative, and Candi Solar, a clean energy company specialising in distributed solar solutions for commercial and industrial (C&I) businesses.
The financing will support renewable energy deployment among India’s SME segment, which accounts for 31% of the country’s Gross Domestic Product and 35% of manufacturing output but remains underserved in terms of renewable energy access.
Financing to Support Solar and Battery Storage Deployment
The US$50 million facility will finance rooftop, ground-mounted and open-access solar installations integrated with battery energy storage systems across key business hubs in India.
The projects are expected to generate approximately 560 GWh of renewable electricity annually and support the decarbonisation of 227 commercial and industrial customers. SMEs are expected to account for 78% of these customers. The installations are also projected to avoid approximately 397,000 tonnes of carbon dioxide emissions annually.
The partnership will support Candi Solar’s expansion as the company seeks to more than double its total capacity and exceed 1 GW over the next two years. The financing will also help extend clean energy solutions to hundreds of additional businesses across India.
Flexible Financing Model for SMEs
Under Candi Solar’s turnkey shared-value model, customers can adopt renewable energy without making upfront capital investments. Businesses pay for the clean energy generated, while Candi Solar manages engineering, construction and long-term operational performance.
The company’s solutions combine rooftop and ground-mounted solar installations with open-access renewable energy and storage options, tailored to individual customers’ energy requirements and cost-saving objectives.
By reducing dependence on conventional energy sources, these solutions can help businesses manage electricity expenses and reduce exposure to fluctuations in diesel and grid electricity prices.
Supporting India’s Energy Transition
India has set a target of achieving 500 GW of non-fossil fuel capacity by 2030, up from 300 GW in August 2026, while promoting battery energy storage to support further decarbonisation of the power sector.
According to NITI Aayog’s Roadmap for Green Transition of MSMEs, SMEs in India account for approximately 135 million tonnes of carbon dioxide equivalent emissions annually, largely driven by fossil fuel-based energy consumption.
The financing partnership aims to address capital constraints faced by this segment and accelerate renewable energy adoption among businesses contributing significantly to India’s economic and industrial growth.
Pentagreen and Candi Solar on the Partnership
Marat Zapparov, CEO of Pentagreen Capital, said India’s growing energy demand and need to reduce oil imports have made clean energy transition a strategic and economic priority. He added that the partnership would help make renewable energy accessible to underserved SMEs, stabilise energy costs for businesses and strengthen India’s energy security.
Fabio Eucalipto, Co-founder and Director of Candi Solar, said the partnership represents an important milestone in the company’s expansion plans. He highlighted the need to extend clean and reliable energy solutions beyond large corporations to smaller businesses that drive India’s economy and industrial development.
Eucalipto said the financing, together with additional shareholder commitments and an equity round planned for early 2027, would support Candi Solar’s objective of installing more than 1 GW of operational solar capacity within 24 months.
Headquartered in Singapore, Pentagreen Capital is a sustainable infrastructure debt financing platform established by HSBC and Temasek to accelerate sustainable infrastructure development across Asia.
The company operates a blended finance strategy under Singapore’s FAST-P initiative, focusing on Southeast Asia with an allocation to South Asia. Its financing activities cover renewable energy and storage, electric vehicle infrastructure, sustainable transport, water and waste management, data infrastructure and other green infrastructure sectors.
The strategy is backed by public, private and philanthropic partners, including the Australian Government through Export Finance Australia, International Finance Corporation, FMO, HSBC, Temasek, British International Investment, DBS and Cathay United Bank, among others. The European Commission supports the strategy through its Global Gateway programme.
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