Solar Powered ATMs – Advantages, Components, Working Mechanism

Solar Enters The Finance World Too

Solar energy has found increased application in all walks of life. With the prices going down drastically, masses have started using solar energy to satisfy their day to day needs both on a large and a small scale. You can see large solar parks, rooftops adorned with solar panels, solar street lights etc when you are out on the road. The usage of solar power is more pronounced in rural areas where there is poor or no grid connectivity. Inside your own dwelling too, solar applications such as solar lights, ACs, solar powered toys, inverters etc have found a place. Now solar energy has found a commercial application in the form of ATMs. Yes, you heard it right!! And it is already in operation.

Last year in December, the Assam chief minister inaugurated a solar-powered mobile ATM of United Bank of India in Dispur. According to Nabard, about 5,000 such ATMs will be operational across India for which Nabard will fund about Rs 250 crore to the SCBs and RRBs. This move will benefit 2.5 million people living in the rural areas with poor power and internet connectivity. Installation of 5,000 such sets was expected by end of December 2016. Banks may buy the entire set or avail it on rent for five years. For each ATM, NABARD will pay INR 0.5 million.

States like Rajasthan, Chattisgarh, Odisha, Assam and Madhya Pradesh have requested for a large number of such machines; followed by Gujarat. Kerala, Punjab, Haryana, Delhi, Mizoram, Orrisa and Tamil Nadu have sent less than 10 proposals to the Nabard.

Components of a Solar Powered ATM

A solar powered ATM is easy to create. It will require no further expenditure other than solar panels and a battery. The ATMs can run solely on solar power or may be grid connected too. The working mechanism is same as in other appliances. Solar panels are installed on the roof of the ATM and then connected electrically to the power grid using an inverter. Batteries can be used to store the excess power.

Thus it is a good way to utilize the already existing banking infrastructure. In rural areas, these ATMs will also set an example of how power and be generated by using solar which could encourage more and more villagers about the pros of using solar power. Further to this, a biometric solar powered ATM is expected to be designed for usage by illiterate masses in rural areas. The cost of each such eco-friendly units is approximately INR 0.4 million (INR 4,00,000) but is expected to come down in mass production.

Advantages of Using Solar Powered ATMs:

i) Uninterrupted power supply

ii) No Capex for the project

iii) Better utilization of already existing infrastructure

iv) More business for banks and

v) Will help in educating rural people about the advantages of using solar