Mumbai-based Clean Energy Startup Aerem Raises Rs 100 Crore in Series A Funding
Aerem, a leading Mumbai-based clean energy startup, has successfully raised Rs 100 crore (approximately $11.7 million) in a Series A funding round. This new investment will support the company’s mission to accelerate rooftop solar adoption across India, especially in underserved regions.
Investment Round Led by UTEC and Supported by Multiple Global Investors
The Series A funding round was spearheaded by University of Tokyo Edge Capital (UTEC), Japan’s premier venture capital firm. Alongside UTEC, other prominent investors such as British International Investment (BII), SE Ventures (the investment arm of Schneider Electric), Riverwalk Holdings, and returning investors Blume Ventures and Avaana Capital participated in the round.
This fresh capital injection will enable Aerem to extend its reach across India, particularly focusing on eastern and southern markets, where rooftop solar penetration remains low. Additionally, the funding will bolster the company’s digital solar financing platform, its B2B marketplace, and the installer network that supports the solar projects.
Total Funding Surpasses Rs 166 Crore ($19.5 Million)
With this investment, Aerem has now raised a total of approximately Rs 166.47 crore ($19.5 million), including a $5 million infusion in 2023 led by Avaana Capital. The growing support for the startup reflects its strong position in India’s solar industry.
Aerem’s Commitment to India’s Rooftop Solar Revolution
Kiran Mysore, Principal at UTEC, expressed confidence in Aerem’s future prospects, stating:
“Aerem is at the forefront of India’s rooftop solar revolution. We were impressed by their seamless integration of operational excellence in credit and marketplace dynamics, paired with a cutting-edge solar tech platform leveraging digital twins.”
A Unified Platform for Solar Adoption
Founded in 2021 by Anand Jain and Vikesh Agarwal, Aerem aims to simplify the solar adoption process, especially for micro, small, and medium enterprises (MSMEs) and homeowners — two segments often overlooked in the clean energy transition.
Aerem’s solutions include:
- Solar project financing through its NBFC arm, NetZero Finance
- Curated equipment procurement via its SunStore marketplace
- A support system for over 2,000 verified solar installers
Aerem’s Milestones: 800 MW Installed Capacity Across 65 Cities
As of April 2025, Aerem claims to have enabled over 800 megawatts of installed solar capacity across 65 cities in India, financing over 800 solar projects. The startup continues to expand its impact and reach in India’s diverse solar landscape.
Anand Jain, CEO of Aerem, highlighted the challenges of solar adoption in India, stating:
“Getting a solar installation is complex for an Indian MSME or homeowner. Our end-to-end solution addresses the entire value chain, eliminating barriers to solar adoption.”
Meanwhile, Vikesh Agarwal, COO, emphasized the company’s vision, adding:
“We are building a true institution as Aapka Solar Saathi, partnering with businesses throughout their energy independence journey.”
Strategic Use of Series A Funding: Expanding Digital Infrastructure and MSME Outreach
Aerem plans to use the Series A funding to:
- Strengthen its tech stack, particularly its solar financing solutions tailored for MSMEs.
- Lower customer acquisition costs by utilizing its dense installer network and digital tools.
Aerem’s Model: Bridging the Gap in India’s Solar Ecosystem
Siddharth Mehta, Partner at SE Ventures, commended Aerem’s model, noting:
“Aerem’s full-stack platform addresses the core friction points for solar installers, driven by an exceptional team across finance, tech, and innovation.”
Aerem’s Revenue Surge and Climate Impact
For the fiscal year ending March 2024, Aerem reported Rs 175 crore in revenues, marking a significant growth from just Rs 1.84 crore in FY23. Despite the rapid scale-up, the startup managed to keep its losses stable at Rs 3.57 crore, thanks to disciplined cost control.
Environmental Impact and Cost Savings for Indian MSMEs
In terms of environmental impact, Aerem estimates that its solar installations have prevented nearly 22 million tonnes of CO₂ emissions — equivalent to planting 53 million trees. The company further predicts that its projects will help Indian MSMEs save up to Rs 14,000 crore in energy costs over the lifetime of the installed systems.
Conclusion: A Solar Future for India
With this new funding, Aerem is well-positioned to expand its reach and impact, accelerating India’s transition to clean, renewable energy. By addressing key barriers in solar adoption and offering comprehensive solutions for MSMEs and homeowners, Aerem is leading the charge in India’s rooftop solar revolution.
Aerem continues to demonstrate the potential of clean energy startups to transform the energy landscape and drive sustainability in India.
