Ways to fund your commercial solar project

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:

VictoriaNSWCanberraSouth AustraliaQueenslandWestern Australia
Feed-in Tariff12c per kWh8.5c per kWh8c per kWh11.3c per kWh9.36c per kWh7c 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.

Commercial Solar Experts - CEC Approved Retailer

Kuga Electrical is a full service commercial solar installation company. We do all aspects of Engineering, Procurement and Installation. Since being founded over 3 years ago, we have specialised in making businesses more energy efficient and completed solar projects so they can generate their own power and be less reliant on the grid. Our installations are done by our own Electricians that have many years experience in installing solar. We provide local backup and support. Our monitoring service is provided to our customers at no cost. Get in touch with our team for a free feasibility report.

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