Solartech platform Aerem raises $5 million in funding from Avaana Climate Fund

The round also saw follow-on participation from Blume Ventures and it includes debt financing of $1.5 million from prominent financial institutions.

The Mumbai-headquartered company said it will utilize these funds to expand its suite of innovative solartech and financing solutions and build an ecosystem that brings together all the stakeholders — financial institutions; engineering, procurement and construction (EPC) companies; and businesses (MSMEs) — to enable end-to-end solutions for rooftop solar projects.

Founded in 2021 by Anand Jain, the company provides assistance to MSMEs to harness the power of solar energy and reduce their electricity costs by up to 70%. The company also offers loans through its in-house Non-Banking Financial Company (NBFC) and partner banks.

“This funding is a testament to the strength of our SolarTech & Financing platform and the value it provides to our customers. We remain committed to our mission of making solar financing more accessible and affordable for all, and we look forward to the continued support of our investors and partners in achieving this goal,” Jain said.

The firm collaborates with installers and supports MSMEs by providing them with end-to-end solutions for the adoption of solar power.

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“Rooftop solar will play a crucial role in India’s green growth transition. There are several enabling factors including declining technology cost curves, significant location advantage with 300 days of sunshine in a year, and increasing policy support such as net metering to progress towards the 50% renewable energy capacity targets,” said Anjali Bansal, founding partner, Avaana Capital.India’s solar power market share is also expected to increase by $240.42 billion from 2021 to 2026, at a CAGR of 35.24%.