3 new Queensland Government Interest-free loans for solar and storage in 2018.
There are three different incentives under the Affordable Energy Plan – but you can only apply for one.
We’ve summarised the information and provided links to the Government websites so you can work out which one would suit you and investigate further.
Register at the bottom of the page for information at it is released on the loans, grants and proposed products.
Program 1 – Interest free loans for solar
For low income families.
Program 2 –The second program – Loans and grants for battery storage
For existing solar owners, small businesses, trusts and body corporates who are looking to add a battery. This program includes a grant and an interest free loan.
Program 3 –Loans and grants for combined solar and battery systems
For home owners, small businesses, trusts and body corporates who are looking to install both a solar system and a battery storage system. This program also includes a grant and an interest free loan.
Program 1
Interest free loans for solar
The first program was released in June late 2018 and is aimed at low income families. Here are the details:
- The interest free loan is for up to $4,500
- The payback period is up to 7 years
- Applicants must be home owners
- Applicants must receive Family Tax Benefit Part B
- Applicants must have electricity costs of more than $1,000 over the past 6 months, or more than $2,000 over the past 12 months
- Applicants cannot have an existing solar system installed
- Applicants purchase their solar system through a solar power purchase agreement
- Only eligible solar providers can provide applicants quotes and installation for this loan
- There will be a limit of 3.500 interest-free loans for solar made available.
Why are there only a few eligible solar providers? The QLD Government recognises the problems with previous Government incentives that generated problematic situations.
To protect consumers, the QLD Government is working with the Clean Energy Council’s Approved Solar Retailers to minimise consumer abuse. Read more about searching for a good local solar business to ensure you avoid some of the common pitfalls of purchasing solar.
Can you get a system worth more than $4,500?
Yes, however you’ll need to pay the difference between the purchase amount and the $4,500 right after installation to draw down the loan.
Applying for the loan
To apply for the QLD Government interest free solar loan, you will need to provide the following information:
- A quote from an eligible solar supplier
- Your most recent council rates notice
- Either 6 or 12 months of electricity bills meeting the requirements above
- A Centrelink statement confirming your Family Tax Benefit Part B
- Proof of income to confirm you can repay the loan
The whole process
- Obtain a quote from an eligible supplier
- Apply for the loan
- Present your loan approval to your solar supplier
- Solar supplier will install the system and present you with an invoice
- You pay the difference between the $4,500 and full amount (if any)
- You present the final invoice, your application and your authority to pay the supplier to the QLD Government
- The QLD Government will pay the supplier
- Your loan payments will commence 30 days after your paperwork is processed.
GI Energy can assist you with any questions on this process. We have also prepared dedicated quotation documents to help you assess how your family cash flow will be affected so that you can make a comfortable and informed decision.
Will this be beneficial for you?
In most cases, yes. However, it is important to consult with solar professionals like GI Energy to ensure your situation is assessed correctly, you have been advised on the best system and you understand the financial impact (positive or negative) it will have on your monthly income.
We have estimated that the full loan of $4,500 with monthly repayments over 7 years should be around $54 or $645 per year (not including account fee’s).
In the conservative situation that your typical electricity bill is around $500 per quarter and you install a 3kw system you could potentially be saving around $250 per quarter or $1,000 per year.
The overall result is a potential saving of around $355 per year ($53 per month) while paying off the system. After the loan is paid out, ongoing savings should continue at $1,000 a year ($83 per month) or better due to inflation.
For this process to be successful, you should be considering a system that is well installed and locally supported to give you confidence that it will perform well into the future.
For full details of the loan, application links and contact details for solar providers follow this link: https://www.qld.gov.au/community/cost-of-living-support/loans-for-solar
The second program – Loans and grants for battery storage
This program is due for release in late 2018 and is targeted at existing solar owners. Here are the details:
- The applicant must be a home owner with an existing solar system or;
- The applicant can also be a small business, body corporate or trust
- The applicant must not be on the 44c feed-in-tariff under the Solar Bonus Scheme
- Grants of $3,000 will be made to home owner residents
- Grants of $3,000 will also be available to small businesses, body corporates or trusts
- Interest-free loans of up to $6,000 repayable within 10 years will be available
- Interest free loans will be available to home owners
- Interest free loans will not be available to small businesses, body corporates or trusts
- Applicants cannot use a solar power purchase agreement or solar lease with this offer
- There will be a limit of around 500 battery assistance packages made available
Full details of this program will be available in late 2018. Scroll to the bottom of this page and enter your details to keep informed of all details at time of release of this program.
The third program – Loans and grants for combined solar and battery systems
This program is due for release in late 2018 and is targeted at existing solar owners. Here are the details:
- The applicant must be a home owner
- Grants of $3,000 will be made to home owner residents
- Grants of $3,000 will also be available to small businesses, body corporates or trusts
- Interest-free loans of up to $10,000 repayable within 10 years will be available
- Interest free loans will be available to home owners
- Interest free loans will not be available to small businesses, body corporates or trusts
- Applicants cannot use a solar power purchase agreement or solar lease with this offer
- Applicants cannot have an existing solar system installed at your premises
- There will be a limit of around 1,000 battery assistance packages made available
Full details of this program will be available in late 2018. Scroll to the bottom of this page and enter your details to keep informed of all details at time of release of this program.
The Queensland Government is currently conducting a tender process for suppliers of the battery installation services. The tender closes on the 28thof July and may take some time to process a list of successful suppliers.
Will battery storage be beneficial for me?
The responsible response to this question will be to assess every situation individually. The current cost of batteries without subsidisation often shows very little financial benefit. With a $3,000 subsidy, we expect high energy users with large solar systems to have the most benefit.
There is a great deal of excitement and anticipation around battery storage for solar systems, however education and caution will be required when considering a battery.
Look at our guide on assessing if batteries are beneficial for you to and save yourself from purchasing something that won’
How will I know when the new programs will be available?
GI Energy will be following this process carefully. The release of the first program went largely un-noticed by solar industry professionals for a few days after release. GI Energy was keeping our clients informed of new information leading up to and on the day of release.
By registering your interest below we can keep you informed of details as we get them. Obtaining a quote closer to the release date will allow you to assess your specific financial benefit before the release of the 2ndand 3rdprogram.
You will be prepared and informed and ready to decide on which package will be right for you, or if you are better off considering other options or holding off until battery prices reduce in price.
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