Parameter

Range

Rating

• The project must be fully commissioned with valid PPA
• At the application stage, External Credit Rating (ECR) of Promoter should be at least BBB.
• At the application stage, ECR of existing project loan, to be submitted and appraisal shall be done as per IR mapped with available ECR. In this case, ECR for REC sanctioned refinanced loan to be submitted before disbursement. (PDC). 
• If ECR of existing project loan is not available at application stage then appraisal shall be done considering IR-3 rating and ECR for REC sanctioned refinanced loan to be submitted before loan documentation. (PCC)

Note: ECR only from CARE, CRISIL, ICRA & India Rating

Minimum Operational History

For Solar Projects: 4 months.

For Other Projects: 12 months.

Amount

10% of Transaction Fee with floor of Rs. 5 Lakh and Cap of Rs. 25 Lakh

Before start of appraisal

10% of Transaction Fee

Before issuance of sanction letter

Before Documentation

IR-3 minus 50 bps

External Credit Rating of project company

Max Permissible REC Debt as % of Completed Project Cost

A-/A/A+/AA-/AA/AA+/AAA

80%

BBB/BBB+

75%

ECR Ratings

Equivalent IR Rating

Applicable Interest Rate

AA-,AA,AA+,AAA

IR -1

IR-1 minus 50 bps

A-,A,A+

IR-2

IR-2 minus 50 bps

BBB, BBB+

IR-3

IR-3 minus 50 bps