Free solar vs. Own your own
Free Solar PV has been around since the start of the Feed in Tariff, however GMC have noticed a huge up-take during 2015 and decided it was time to write an article on it.
What is it? (Free solar vs. Own your own)
A investment company pay to install Solar panels on your roof for free. You get the benefit of free solar electricity while the investment company receive the Feed in tariff payments for the system on your roof.
Is free solar for me?
Here at GMC we think free solar is an amazing opportunity for anyone who is struggling with energy bills as it is an amazing way to reduce monthly energy bills.
However if you own your own home there are some points to consider. (Free solar vs. Own your own)
The legal issue – check the small print as the investment company will take a legal charge of your roof. Your mortgage provider will need to agree to this. Also if you need to do any roofing works in the future, you may need to pay the investment company to remove the system then re-fit it.
Standard of work – GMC have been contacted by free solar investment companies requesting us to fit Solar PV on their behalf labour only. They offered £270.00 to fit 16 panels! If this is the going rate to supply scaffold, roofing work and electrician then I have sever doubts on the standard of work as it is not possible for GMC to produce our standard of work for so little.
Your roof is a major component of your home, when fitting solar PV GMC take great care with mounting systems and any roof penetrations to ensure all weathering details are up to standard.
Solar PV systems are designed to last in excess of 30 years, the roofing work also needs to last in excess of 30 years.
Okay, so how else can I get involved with Solar PV? (Free solar vs. Own your own)
Buy your solar pv system from between £3,000.00 – £6,000.00, benefit from the free electricity through the day and receive a return on your investment via the Feed in Tariff.
Some national solar pv companies will offer finance packages, from what GMC have seen most of these have an interest rate of around 10%.
Say you borrow £5,000.00 for your PV system this will cost you £500.00 year in interest. A good South facing 4.0kw PV system will generate around £500.00 per year in feed in tariff income. GMC do not offer this package as we feel there are better options.
GMC procurement (Free solar vs. Own your own)
Purchase the system with your own savings which are earning very little in a savings account – typically less than 1%. A good South facing 4kw system can return over 10% on investment.
Or the cheapest way GMC have found to finance or part finance the solar system is to find a credit card deal with balance transfer
Checkout Money super market for Credit card balance transfer deals:
Today (07-07-15) I found several cards offering 32 months interest free on balance transfer with a typical fee of 1.7%.
If you are balance transferring the full £5,000.00 it would cost £85.00 to set up.
Then pay back of 32 months at £158.90 per month.
Within these 32 months your PV system would have generated an income of around £1,300.00 tax free while also reducing your electric bill.
Or you could combine these options and use part savings part balance transfer.
Customer disclaimer: GMC are not linked with any credit card suppler or money supermarket.com, we are simply showing potential clients a low cost way to finance your solar pv system. It is up to the individual to do their own research on any credit they may undertake.
What ever you decide to do, call us at GMC for a free survey and quote to see what you could save and earn with a solar PV system.