At a time when businesses are looking to find as many savings as they can to reduce their operational costs, solar is one of the easiest investments a company can make, yielding huge long term benefits and in all cases immediate savings on the cost of power to keep the lights on even if financed.
The Federal Government’s STC Solar Incentive is still providing approximately $50,270 towards the cost of a 99.9kw solar system in the Melbourne metropolitan region or around 30% of the total cost to install solar. (More in some regional areas).
Along with this, the Federal Government has also lifted the Federal Govt. Instant Asset Tax Write Off` limit making it more attractive to install solar now rather than holding off.The Instant Asset Write Off has now been extended to include companies with a turnover of up to $500 million, for purchases of up to $150,000. The extension will apply to June 30 2020.
In addition, the government is accelerating depreciation deductions through a limited 15-month investment incentive. Until June 30 2021, businesses with a turnover of less than $500 million will be able to deduct an additional 50% of an asset cost in the year the asset is purchased.
These additional measures are good news for businesses investing in solar now, and further increase the tax benefits on what is already both cost effective and sound commercial & environmental investment!
At Energis, we can assist our commercial customers with a number of finance options which can remove the barriers sometimes encountered by a business wanting to progress with the installation of solar power. These options can include
- Financing with $0 Deposit + + +
- Quarterly in Arrears payment structures are available which allows cash flow to normalise before making the first finance payment for the Solar PV while banking the power savings.
- Waiver of establishment fees and monthly service fees to help you get the project up and running.
- Chattel Mortgage solution offered for clients who want to take advantage of the instant asset write off changes by the Government.
With flexible finance options, Government Incentives and real taxable benefits, Solar Power is not only a smart energy solution which yields great cost saving and environmentally positive results, but is also a low risk commercial investment that all businesses should be acting on.
Written By: Stephen Field – Energis Solutions Consultant
Conditions* All finance options mentioned in the above article are subject to a finance approval.
