CEFC and Origin partner to drive uptake of solar energy

The Clean Energy Finance Corporation (CEFC) and Origin have joined forces to further the deployment of solar energy in Australia, via a 12-year $100 million CEFC financing commitment.

The CEFC finance will help support Origin’s offering of power purchase agreements (PPAs) to business and residential customers with the aim of helping more people access solar energy.

CEFC CEO Oliver Yates said the finance would support the expansion of Origin’s Solar as a service offering, which involves Origin owning, installing and maintaining solar PV systems on household and business customers’ roofs.

“PPAs are an innovative way of driving further uptake of solar, by effectively allowing solar customers to purchase the energy generated from their panels, rather than having to purchase the panels themselves,” Yates said.

“They offer a clear benefit for residential and business consumers, who can have increased confidence about their long-term electricity costs while at the same time enjoying the benefits of solar.”

The CEFC said they have already invested in a number of innovative renewables projects and energy-efficiency programs with a portfolio of nearly concluded transactions comprising around 33% solar, 30% energy efficiency, 21% wind and 16% other technologies.

Yates said the financing reflected the CEFC’s complementary role in investing alongside the private sector to support new financing structures that catalyse investment in renewable energy technologies.

“Working with the CEFC provides Origin with access to long-dated finance, which is beneficial for a solar program of this scale,” Yates said.

“This will assist Origin in expanding its rollout of solar and battery storage offerings to residential and commercial customers.

“The CEFC is considering more than $500 million in finance for solar projects, totalling more than $1 billion in value. We are working with project proponents, major utilities and retailers to expand the range of solar finance options, to deepen solar penetration, diversify the technology deployment and lower costs.”

Yates said the CEFC hopes to be in a position to announce further solar projects in the near future.

Origin General Manager Solar and Emerging Businesses Phil Mackey said its solar service is already proving an attractive proposition to customers since it was launched earlier this year.

“The CEFC finance will be used in expanding the offering, so more Australians can enjoy the benefits of solar,” Mackey said.

Image credit: iStockphoto.com/Daniel Schoenen