Saturday, August 3, 2013

Bank Muamalat launches rooftop Solar PV financing

Interested individuals have been hoping that more commercial banks will help finance the installation of solar PV on their rooftops. It seems that they are getting what they've been wishing for.

This week on Thursday, Bank Muamalat became the second bank in Malaysia to offer financing for solar PV under the Home Solar Rooftop Programme by the SEDA.  The first was Alliance Bank, which announced its solar PV loan program in June 2013.

Deputy Minister of Energy, Green Technology and Water, Datuk Mahdzir Khalid launching the smart financing. Photo credit: Bernama

Smart Green Mortgage for Solar PV FiT plan

Bank Muamalat Malaysia Bhd has launched the "Smart Green Mortgage for Solar Photovoltaic Feed-in Tariff Plan", offering financing services to its customers to purchase and install solar systems in their house. The plan will be the first Islamic financing package which is fully Shariah compliant, offered to the market.

"Bank Muamalat is assisting the government to develop green technology via introducing this innovative service as it will help boost investment and awareness on green technology in Malaysia."
- Deputy CEO, Musa Abdul Malek at the launch.

The plan was in line with the implementation of the Feed-in Tariff (FiT) mechanism administered by SEDA which enables Malaysians to generate electricity from renewable sources while earning a fixed income for up to 21 years by selling electricity to Tenaga Nasional Bhd (TNB).

Features (visit your nearest branch for more information)
  • special deal via refinancing of customer's existing home financing facilities with Bank Muamalat,
  • easy moving cost feature with legal and valuation fees absorbed by the bank,
  • limited period of special financing package to reduce financing cost, resulting in affordable monthly installments,
  • expected return on investment of up to 16% annually, with estimated average revenue of RM580 on the solar PV system, depending on installation type and location.
The income will be generated monthly for the next 21 years and it will be credited directly by TNB into the customers savings or current accounts maintained by the bank.

TheGreenMechanics: Participation from more financial institutions buds well with public/investors' confidence in the viability of the Rooftop Solar PV program. This investment would be a good source of income during retirement years. - 21 years of passive income.

Source: Bernama


thomas said...

Very interesting development on the solar program.

sabahan said...

Heard this is only valid in W. Malaysia