Imagine if you had a free source of power that never ran out and didn’t produce any CO2 emissions… you’d be buffered against rising power prices, and keeping New Zealand clean and green at the same time. If your dream is to install a sustainable energy source for your home, but in reality you don’t have the funds to make the initial investment, you now have affordable options.
Sustainable Energy Loans
A Sustainable Energy Loan from New Zealand Home Loans (NZHL) or KiwiBank makes it easier for you to install a solar power system for your home, with the added benefit of a contribution of up to $2,000 towards the cost of the system. Here’s how it works:
- To qualify for the contributions towards your sustainable energy loan, you’ll need to borrow at least $5,000 from NZHL or KiwiBank for the cost of the system.
- At the end of the first year, NZHL/KiwiBank will pay $800 off your sustainable energy loan, and contribute $400 at the end of each year for the three years after that – up to $2,000 in total.
- If you already have your home loan with NZHL/KiwiBank, they’ll waive the usual fee to top-up your home loan.
- If you’re refinancing your mortgage with NZHL/KiwiBank, they’ll agree a portion of your home loan to classify as the Sustainable Energy Loan, and add their contributions to that.
- If you’re building a new house that has a sustainable energy system included in the cost of the property, they’ll agree a portion of your home loan to classify as the Sustainable Energy Loan, and add their contributions to that.
Finding a system
To qualify for the Sustainable Energy Loan, the system purchased must be:
- Commercially available to the general public
- Supplied and installed by a member of the Sustainable Electricity Association of New Zealand or Solar Association of New Zealand
- Have at least a 10 year manufacturer’s warranty
We’re happy to say, that CPS Solar satisfies all of these criteria. We are approved suppliers and installers of Winaico Solar Photovoltaic Panels (they recently came 1st & 2nd out of 15 solar panels in a major US study) and exclusive Canterbury suppliers and installers of Schneider Inverters. Our systems carry a 25 year guarantee.
How much will a system cost?
Our Solar Photovoltaic (PV) Systems start from $5,900 for a 3kw solar grid connected system. This system would save you around $1,250 per year if you consume all of the power generated.
Over 25 years you could save up to $31,000 measured at today’s power prices. Real savings, taking into account power prices increases, would be far in excess of this.
The payback period of a small solar system is around 7 years but if we take into account the $2000 contribution from the Sustainable Energy Loan, this will drop significantly. Ask us for a quote and estimated savings.
Beware of high cost solar ‘leasing’ deals
Other deals are out there where the solar company pays for the panels and then charges the home owner for the solar generated power. It is effectively a 20 year lease for the panels. The company recovers its costs by charging homeowners a fixed monthly fee for the solar generated power which they say will be less than your current power bill.
BUT make sure you do your sums carefully. At the end of the 20 year lease period, you still do not own the panels and these panels could be effective for another 20 years. We estimate you may pay for the solar panels 2½ times over when you install solar under this regime.
Other options for financing solar
Another option for financing your solar installation is CPS Solar’s own low interest finance. We will need to have a chat with you before we can give you estimated costs and return on investment. Contact us so we can go over the details.