IREDA Grading : Overview
IREDA has introduced a requirement of an external credit rating for Companies that are seeking / availing credit facilities from IREDA.
An “IREDA Credit Rating Model for Renewable Energy Financing” has, accordingly, been developed in co-ordination with credit rating agencies, viz. CRISIL, Credit Analysis & Research Ltd. (CARE), India Ratings & Research (Fitch), ICRA Ltd. and Brickwork Ratings. The model incorporates standardized parameters and criteria aimed at ensuring consistency and objectivity in evaluation.
Brickwork Ratings is one of the rating agencies accredited by IREDA to assign ratings to Companies for the same. The rating criteria that are used by BWR to assign credit ratings are as per the parameters approved by IREDA.
The ratings assigned are project specific ratings, with ratings being assigned to projects for which the Company avails/seeks to avail financing from IREDA.
The rating scale used by BWR (common for all rating agencies for this model) is given in the table below.