Premier promises interest-free solar loans for NSW households, here’s how much you can save
To help Aussies in NSW concerned about their upcoming energy bills, the Berejiklian government has proposed a new household solar plan.
The NSW state government plans to offer interest-free loans of up to $14,000 to purchase solar systems for up to 300,000 households with an annual income of up to $180,000.
"We know many families look at putting on solar panels or storage battery facilities but the upfront costs and the costs of installing those are so expensive," said Premier, Gladys Berejiklian.
"Our government will be providing opportunities for up to 300,000 extra households to be able to put on solar panels or battery storage facilities without any upfront costs."
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Many have said that the plan could be an attempt to attract more voters, however, the offer is set to see NSW households save a bundle in energy bills.
NSW Treasurer, Dominic Perrottet believes families with a $500 quarterly bill would save around $285 while repaying the loan, before becoming $2,000 a year once the loan is paid off.
“If you’re living in NSW and have been thinking about installing solar panels, this could be the right time to get in - if the Coalition wins the election,” said Mozo Energy Expert, Nathan Warne.
“It would also put some downward pressure on electricity prices in general, making it a cheaper way for NSW to use electricity, regardless of if you have solar or not.”
“And since they’re planning to offer loans to households up to $180,000 income, it opens the door to households who previously might not have been able to afford the upfront costs associated with installing solar panels.”
However Warne mentioned that although solar has the potential to ease the financial strain of high energy bills, it’s not for every household.
“Households that usually get lower electricity bills might not get the full benefit of having solar in their home. It’s the households that use a lot of power that have the most to gain,” he said.
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South Australia lead the way
Although this move by the Berejiklian government has been recognised as an imitation of NSW Labor’s proposal that was announced the day before - which has promised a rooftop solar rebate of up to $2,200 for 500,000 households - interest-free solar loans are hardly anything new.
This time last year, the South Australian Labour Government made a similar promise, stating that should they be re-elected in March 2018, $100 million worth of interest-free loans would be provided to help Aussies buy solar panels for their home.
It was also hoped that this move would help the state’s renewable energy target - 75% of their energy to come from renewables by 2025.
However while this did not come into effect, the state has implemented a Home Battery Scheme, which offers $100 million worth in subsidiaries to help pay for the installation of home battery systems.
But if you want to get a head start on going solar, then head on over to our energy comparison tool to compare a range of green power options.
