A first-of-its-kind funding scheme for the development of EV charging infrastructure throughout India has been launched by the State Bank of India (SBI) in collaboration with electric car charging network provider Statiq.
The comprehensive financing plan offers structured finance options for companies wishing to set up charging stations, filling a significant vacuum in India’s EV ecosystem. SBI would offer term loans with favourable terms, including a 2% interest subvention on loans up to Rs 2 crore, with amounts ranging from Rs 10 lakh to Rs 5 crore.
The program is aimed at a wide range of possible investors, such as MSMEs, owners of commercial real estate, gas station operators, and hotel enterprises. The program includes a range of charging infrastructure types, such as battery swapping facilities and public charging stations.
The program provides extra incentives for female entrepreneurs in order to encourage inclusive participation. Interest rates will be lowered by 10 basis points for companies owned by more than 50% women. Additionally, the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) covers loans up to Rs 5 crore.
Following the Ministry of Power’s rules, the program includes required safety procedures and fire safety precautions. In addition to providing basic infrastructure for charging, the project promotes the construction of amenities that are easy to use, such as cafeterias and restrooms, at charging stations.
