There are a number of ways to finance your Renewable Energy System which means you do not have to pay cash upfront. In this article, we introduce the Ministry of Mines (MME) and Energy’s Solar Revolving Fund (SRF). The SRF is a credit facility established by MME to stimulate demand for the utilization of renewable energy technologies in the rural areas, especially for communities living in off-grid areas, but also to urban clients.
The fund can be used to finance the following:
1. Solar Home Systems (SHS) Maximum loan amount: N$35,000,
2. Solar Water Heaters (SWH) Maximum loan amount: N$30,000,
3 Solar Water Pump (PVP) Maximum loan amount: N$50,000,
4. Energy Efficient Stoves (Efficient stove) financed as a lumpsum.
The fund can finance:
• Namibian Citizen, age 21-55.
• Any person with an active bank account into which his/her monthly or regular income is paid and with a clean credit record.
• Credit references will be verified with Trans Union® and CompuScan®
• Any person who can prove 2 years of employment with the same employer/ same line of employment.
• A pensioner with a regular income e.g. Farmer /having a business , able to pay 30% deposit of total loan
Some of the Loan Criteria’s
• Loan amount must not exceed a third of the applicants’s annual gross income.
• The loan can be repaid via debit order and payroll deduction.
• Only 5% interest is charged over the loan period of 60 months.
The Application Process
Submit the completed application form together with a certified copy of your ID and latest pay slip or proof of income. You are also required to provide a detailed quotation from accredited Energy Service Provider. The application will be assessed, if successful you will be informed in writing as well as telephonically or contacted via an Energy Service Provider to deposit 5% of quoted price and fax proof of payment to the head office.
Some General Information
System Installation: Once the deposit is confirmed with the bank, SRF will issue a purchase order to your Energy Service Provider of choice to arrange for the system delivery and installation at your address indicated on the application form within 14 days.
Arrears and/or defaults in installments for three consecutive months may result in legal proceedings or backlisting on Trans Union® (ITC).
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