Pay for your solar installation upfront
With the cost of commercial solar installations being at an all time low, we are seeing really attractive return on investments. Our customers who typically install a 30kW or 100kW solar system look at paying upfront as the returns are sharpest when looking at STC projects. Projects over 100kW have large upfront costs, so financing might be a better option for most businesses.
Cashflow positive finance for commercial solar installations
Kuga Electrical have a range of finance options to suit your business needs. The finance term is flexible from 3 years to 20 years. Our major finance partners are Energy Ease, Verdia, Lendfin and the Australian Sustainability Fund. You can choose from a Rental Agreement, Chattel Mortage or even pay your solar system off by a rates notice.
Power Purchasing Agreement
We can help you power your business by providing you a fixed electricity rate under a Power Purchasing Agreement. Typically we find that the electricity rates are about 25% cheaper then the rates from your electricity retailer. Power Purchase Agreements are a good option when you don’t want the hassle of finance. We organise the solar system service and maintenance for the life of the agreement. Agreement lengths are usually either 7, 12 or 15 years.
Claiming STC and LGC solar rebate for your business
Small Scale Technology Certificates (STC)
Businesses will be eligible to receive generous Small Scale Technology certificates rebate by installing smaller commercial solar PV systems under 100kW. Claiming your STC can help finance your investment in your solar power generation. The solar rebate is paid upfront and helps reduce the price of your commercial solar installation. Some examples of how many rebates you can get are:
- 100kW solar system installed in Sydney, Perth, Brisbane, Adelaide – 1,651 STCs – $59,000 STC rebate
- 100kW solar system installed in Melbourne – 1,416 STCs – $50,976 STC rebate
- 30kW Solar system installed in Sydney, Perth, Brisbane, Adelaide – 497 STCs – $17,892 STC rebate
- 30kW Solar system installed in Melbourne – 426 STCs – $15,336 STC rebate
Large Scale Generation Certificates (LGC)
We can also help process Large Scale Generation certificates for larger commercial solar installations above 100kW. We work with all parties involved in your installation to create a smooth and easy process. The current pricing per certificate for LGCs created in 2019 is $45. Pricing in 2020 is around $24 per certificate. As Australia pushes towards its renewable energy target the LGC price will drop because the program is yet to be extended.
Feed In Tariff for businesses installing solar
The typical business installing solar will have some excess power and in this case the power will be exported back to the grid. Export for businesses consuming power Monday to Friday between 7am to 6pm is around 15% and a business that is 24 x 7 usually doesn’t have any export.
Feed in tariff for mass market businesses
The feed tariff schemes are usually set annually and change depending on the value of the wholesale electricity price. When the wholesale electricity price is high, the feed-in tariff will be higher but the reverse will happen if the wholesale electricity price is lower. They are set by regulator in each state. The guide for the minimum feed-in tariff when installing a solar system for your business is:
|Victoria||NSW||Canberra||South Australia||Queensland||Western Australia|
|Feed-in Tariff||12c per kWh||8.5c per kWh||8c per kWh||11.3c per kWh||9.36c per kWh||7c per kWh|
Feed in tariff for large market businesses
There is no set minimum feed in tariff for large market businesses installing commercial solar systems. In Melbourne, Sydney, Adelaide, Brisbane, Perth and Canberra the current market for Feed In Tariffs is about 7c per kWh to 9c per kWh. When re-contracting your electricity agreement, shop around for a good electricity rate and factor in what energy retailers are offering for Feed In Tariffs.