Finance

Your Finance Options For Buying A Solar System

Purchasing Upfront

While you can opt to pay for a solar power system outright, you must pay the money upfront. Plus, you are are responsible for all out of warranty repairs and maintenance. For these reasons, buying a solar system outright is not a viable option for the majority of small businesses or residential customers.
 
That’s why Sovereign Solar has forged partnerships with financial lenders instead, to help more people utilise solar power.

Power Purchasing Agreements (PPA)

If you utilise a solar power purchase agreement, your provider will own the system and you will pay for the energy produced, even if not all the power is used. You may be able to sell the excess power back to the grid, but not necessarily at the same rate you paid for it. While this may appear to be a way of minimising commercial risk, you don’t own the asset; so it’s not a great option for residential customers. emphasise. Our customers deserve better, which is why Sovereign offers superior financial options via official partnerships.

solar Loan

If you obtain a solar loan no upfront payment is required. You pay a heavily reduced power bill from your retailer and a separate loan repayment. However, you will own the system at the end of the contract. Thanks to our distinguished partnerships with Brighte and Community First Credit Union; a loan is secured against the value of your PV system.

Buy Now Pay Later (BNPL)

Buy now, pay later, provide a no interest option to pay for the solar system and the system cost is paid back fortnightly over a pre-determined period up to 5 years. The benefit of these payment plans is ease of application and often a lower qualification for the customer. This enables the solar system to virtually pay itself off with no deposit. As with the Solar Loan, you will own the system after the payment period. This is offered through companies such as Brighte and Humm.

Lease

When you lease a solar system, no upfront payment is required. Instead, you pay a fixed monthly payment, then pay for grid power separately. You should also take out insurance to cover potential damage to the system. You can reap the benefits of solar energy now, and pay just $1 at the end of the lease to own your solar system outright! Emphasise an operational lease with our partner TPC is a fantastic option for commercial customers; because the repayments can be claimed as a business expense, reducing the amount of tax the business pays!

Financial Considerations

  • Every state and territory Government in Australia has different regulations which impacts the FiTs offered by electricity retailers. FiTs may be mandatory in some regions, but not necessarily, so shopping around for the best retailer deal is essential!

  • Your location, the eligibility of your solar system, your chosen electricity provider and the timeframe you send power back to the grid are all factors which can affect the feed-in tariff your business can receive.

  • Additionally, the size of your solar system, installation complexity, maintenance costs plus your FiT are all factors which will determine exactly how cost effective your commercial solar installation becomes.

  • Always confirm the eligibility of your system for a FiT with your electricity retailer and investigate competitor rates to ensure you are getting the best deal.

  • The returns your business experiences as a result of your investment in a solar PV system depends on a variety of circumstantial factors. It’s a good idea to use your most recent electricity bill to form an accurate estimate of the potential savings you could make by installing solar PV.

Our Financial Partners

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