This project will enable the expansion of the commercial rooftop solar market across Victoria by increasing the number of local governments offering innovative finance for such projects through loan repayments collected through Council rates.
Recent local government legislative changes allow Environmental Upgrade Agreements (EUAs) to be offered across Victoria. However, councils generally lack the knowledge and experience to offer EUAs to their communities.
This project will overcome previous barriers to the expansion of renewable energies to commercial buildings by enabling an innovative funding structure through local governments. Using council rate structures, building owners and tenants are both the financial beneficiaries of the installation of renewable energy. These funding structures enable the loans for the installation of rooftop solar to be repaid through council rates.
Sustainable Melbourne Fund have experience working within the City of Melbourne in developing and supporting such funding structures. They will work in partnership with local governments across Victoria to develop and set up their own funding structures, including putting together the procedures and review mechanisms. They will also work with local businesses to develop projects that can be funded.
This project will remove a key barrier to the expansion of commercial rooftop solar. By assisting local governments to create funding structures that support the business case for installing rooftop solar for both commercial building owners and tenants, it is expected that more businesses across Victoria will shift to using renewable energy.