Funded Solar

mrsBagpuss

Anyone heard of or had any dealings with this company?

They fit solar panels free of charge and recoup the cost through the electric they generate plus you receive a payment.

After 10years the panels and all payments revert to you.

Sounds ok but don't know if i'm missing something.

Cardew

I suggest you post this query in the 'Green and Ethical' section of MSE where they may have heard of this scheme.

I assume it is this website?

http://get.fundedsolar.org/

£16,000 figure is a projected example. It assumes £530/year from Generation Tariff and £90/year from Export Tariff (these are the two components of the Feed In Tariff), over the 20 years for which the Feed In Tariff is guaranteed by the Government. It also assumes £135/year of energy savings, over 25 years - which is the time period over which most systems have a performance guarantee. An additional £225 is assumed to come from extra efficiency improvements through the Solar iBoost system (availability of this varies depending on your area), which pre-heats hot water. The annual figures are from the Energy Saving Trust website at time of writing. All figures are estimates because your energy use and tariff may vary, as may the amount of electricity generated by the system you install - depending on the particular type of panels you choose, the weather, and the size and orientation of your system. 600 places left figure is because every 600 places we review the level of the Feed in Tariff internally and decide whether to continue booking free home appointments depending on potential earning and savings if the rate has changed.

I don't think your statement that the panels are fitted free of charge is correct. I suspect they arrange for you to have a loan to cover the cost.

The crucial elements are the cost of the system and the interest rate on the loan and of course their assumptions of savings. For instance there is unlikely to be £530 in FIT in the first year unless they are fitting a huge system. I suspect that figure is an average over 20 years with their assumption on inflation.

I would wager a fair sum that you will not get any payment from them as you state. You will have to fund the loan.

Martyn1981

Cardew wrote: »

I don't think your statement that the panels are fitted free of charge is correct. I suspect they arrange for you to have a loan to cover the cost.

And you're spot on. Click on FAQ (at the very bottom, in small grey print) you get:

1) Is it Free?

There are no out of pocket expenses to yourself but this is NOT free solar and we do not rent your roof. A large financial institution will give you the funding and you will use the initial part of the Government’s Feed in Tariff to cover repayments, this will take approximately 5 years, then the remainder of the tariff will go directly to yourself and you will own the system.

Assuming a good property with good generation, and a good price, self financed, then a household might still get their cashback in 8 years. A more expensive price will take around 10 years, and both paybacks including the leccy savings.

But 5 years, on what will probably not be the best price, plus finance costs, and a wording that suggests it doesn't also include leccy savings ........ no bleeding chance.

£530 in FiTs plus £90 export would mean an install cost and 5yr financing totaling £3,100! :rotfl:

Mart.

Cardew

Martyn1981 wrote: »

£530 in FiTs plus £90 export would mean an install cost and 5yr financing totaling £3,100! :rotfl:

Mart.

£530 in FIT this year at 12.47p/kWh would mean an output of 4,250kWh pa which is not going to happen with a <4kWp system.


So I believe the £530 in FIT is their estimate , using their inflation assumptions, of an average figure over 20 years.


It has all the hallmarks of another scheme(albeit without the free LED bulbs!) that is attracting much comment on MSE.

System

Best I hurry - only 600 places left.

£16,000 figure is a projected example. It assumes £530/year from Generation Tariff and £90/year from Export Tariff (these are the two components of the Feed In Tariff), over the 20 years for which the Feed In Tariff is guaranteed by the Government. It also assumes £135/year of energy savings, over 25 years - which is the time period over which most systems have a performance guarantee. An additional £225 is assumed to come from extra efficiency improvements through the Solar iBoost system (availability of this varies depending on your area), which pre-heats hot water. The annual figures are from the Energy Saving Trust website at time of writing. All figures are estimates because your energy use and tariff may vary, as may the amount of electricity generated by the system you install - depending on the particular type of panels you choose, the weather, and the size and orientation of your system. 600 places left figure is because every 600 places we review the level of the Feed in Tariff internally and decide whether to continue booking free home appointments depending on potential earning and savings if the rate has changed.

Martyn1981

Cardew wrote: »

£530 in FIT this year at 12.47p/kWh would mean an output of 4,250kWh pa which is not going to happen with a <4kWp system.

I share your skepticism, but it is actually possible. Some locations (using PVGIS as a guide) can generate 1,100kWh/kWp, but they are the very best, and I don't think they should be quoted.

Also, there are lots of locations that can generate 1,000kWh/kWp, so a +6% year would do it. Last year was better than that, and this year is running at around that level, however, next year could be a -10% year, so that would certainly be cheating.

Lastly, the PVGIS estimates have generally proven to be a little pessimistic, but a decent site should be using some sort of approved generation estimate, rather than what I just did with a 'it might be better than you expect', vague statement.

All in, I agree with you, that whilst possible, it would have to be a full 4kWp, great location, south facing, optimal pitch, good year ......... and get in quick before the next drop on the 1st October.

Could be a simpler answer, they've just not reviewed their sales pitch this year, thus ignoring about 10% of FiT reductions.

Course, now I want to know what their prices are like, and what the finance rates are. I hope mrsBagpuss lets us know how the afternoon appointment went.

Mart.

mrsBagpuss

Thanks for all your info. Appointment went ok, I have a south facing roof and room for 12, 3Kw panels. Total cost for everything £8500. Finance is through B#rcl#ys 9.9% paid over 10 years no penalties for early repayment.

Not what I was expecting at all, the person who explained it to me originally said it was free fitting and funded by the electricity I've generated.

Cardew

mrsBagpuss wrote: »

Thanks for all your info. Appointment went ok, I have a south facing roof and room for 12, 3Kw panels. Total cost for everything £8500. Finance is through B#rcl#ys 9.9% paid over 10 years no penalties for early repayment.

Not what I was expecting at all, the person who explained it to me originally said it was free fitting and funded by the electricity I've generated.

Exactly as expected - a rip-off.


For a 3kWp system it is roughly double the cost that it should be; people are getting a 4kWp system(16 panels) for around £5000.


The interest rate is unbelievably high at 9.9%.


£8500 at 9.9% over 10 years will cost you £112 a month. (£1344 pa)


Lot of unknowns about how much income/savings you will get from a 3kWp system but around £500 a year initially would be a reasonable estimate. So you would be paying around £70 a month out of your own pocket.


Get across to the Green and ethical section and find out some realistic costs.


P.S.
I suggest you read this thread:


https://forums.moneysavingexpert.com/discussion/5043214

System

What no 'free' LED light bulbs? Seriously, take a deep breath and walk away but standby for a lot sales pressure over the next few days.

mrsBagpuss

Funny that, he did mention throwing in some free LED light bulbs.....

Cardew

mrsBagpuss wrote: »

Funny that, he did mention throwing in some free LED light bulbs.....

The Modus operandi sounds very much like the firm referred to in the link in post#8.