Commercial solar power is more affordable and attractive than ever. Solar is a proven way to reduce your business’s electricity costs without affecting your day-to-day business operations. Most organisations are eligible for a Government Rebate of up to 40% on commercial solar installations. Solar for your organisation is a hassle free, low risk and high yield investment, with a potential ROI of up to 40%. Solar panels provide a guaranteed year-on-year output for up to 25 years.
We offer a range of solar financing options from capex, solar lease options and power purchase agreements. Some of our solutions can provide a discounted electricity tariff from Day 1 that requires no capital expenditure. Our consultants will work with you to help determine the right finance solution for your organisation.
Subsidies and Rebates
There are numerous subsidies and rebates available for businesses around the country:
Solar Rebate – STC’s and LGC’s
Under the Federal Governments Renewable Energy Target scheme, businesses can install solar systems that are heavily subsidised. Depending on your location and the system installed, this can potentially cover over 40% of the cost of the system. The scheme is separated into two sectors – Small-Scale (under 100kW installations) and Large-Scale (over 100kW installations).
Small-Scale installations are eligible for Small-scale Technology Certificates (STC’s) which provide an upfront discount on the cost of a system, to significantly improve the ROI. New Phase Energy claims STC’s on your behalf – STC’s can cover up to 40% of the system cost to a value of over $50,000.
Large-scale installations are eligible for Large-scale Generation Certificates (LGC’s) which are provided to businesses on an ongoing basis until 2030. Each year, the system will create, register and sell LGC’s on your behalf – to provide your business with an ongoing revenue stream from solar. The Net Present Value of these LGC’s over the lifetime of the system may cover up to 60% of the upfront cost.
Your organisation may be eligible for a grant for the installation of commercial solar on your premises. Grants are potentially available from some Government bodies (State or Local Councils) depending on your location and industry. Get in contact with us to find out if your organisation is eligible for an additional grant.
Environmental Upgrade Agreements (EUA)
Some councils provide Environmental Upgrade Agreements, which allow tenants to take advantage of solar. These tri-party agreements offer an easy solution for both renters and landlords. New Phase Energy can advise if your business is eligible for an EUA.
Commercial solar provides a 20 Year Tax Benefit for organisations that are eligible for depreciation. Todae Solar will provide your organisation with an estimated tax benefit for the life of the system according to ATO requirements. Small businesses (under $2 million revenue) are eligible for accelerated depreciation for purchases under $20,000. New Phase Energy can provide more insight as to how your small business can take advantage of this.
Whilst Feed-in Tariffs are very common for residential solar, they are less common for commercial installations. Most businesses consume electricity during daylight hours, so Feed-in Tariffs are less important. However, Feed-in Tariffs for businesses are becoming more common and can provide an additional payment (or credit) for electricity exported back to the grid of up to 12c/kWh. This provides a financial return on any unused electricity. Get in contact with us to find more information about Feed-in Tariffs.
New Phase Energy has finance solutions that provide immediate cash flow positive returns. These can be utilised for reducing your energy costs without any upfront capital. New Phase Energy has access to market competitive finance from leading finance institutions. Find out more information about our Finance Solutions.