Solar finance options

Buying a solar power system or battery for your home is not like buying a carton of milk. It is a significant investment, so having access to a structured payment plan can make solar and energy storage more achievable.

Finance can be beneficial for many people investing in solar energy systems. However, not every finance product is as straightforward as it appears.

There are many solar finance offers advertised as “0% interest” or “interest-free”. In our opinion, some of these offers can be misleading because the real cost may be built into establishment fees, ongoing charges or a higher system price.

This creates more confusion for customers and makes it harder to confidently compare solar quotes.

Fortunately, eligible NSW households now have another option: a genuine NSW Government-funded zero-interest loan of up to $15,000 for approved home energy upgrades.

The difference between 0% commercial finance and a government zero-interest loan

When I see a solar company offering a commercial 0% interest finance product, the first question I ask is: where is the lender making its money?

If a major bank suddenly started advertising 0% interest home loans, most of us would immediately look for the catch.

Commercial lenders are businesses. Even when no interest rate is shown, the lender still needs to make a profit. That cost may be recovered through:

• establishment or administration fees

• ongoing account fees

• fees charged to the solar retailer

• a higher financed system price

• late payment or other transaction fees

This does not automatically mean every finance product is unsuitable. However, it does mean customers should compare the total amount repayable, not just the advertised interest rate or weekly repayment.

A system advertised as “interest-free” may still cost substantially more than the cash price.

For example:

• 0% finance price: $10,000

• Cash price: $8,000

In this example, the customer is effectively paying an additional $2,000, even though the loan may technically have a 0% interest rate.

The NSW Government Home Energy Saver loan

In June 2026, the NSW Government opened the Home Energy Saver program, providing eligible households with access to zero-interest loans of up to $15,000.

Unlike many commercial solar finance offers, this is a government-funded program designed to help NSW households manage the upfront cost of energy-saving upgrades.

Eligible upgrades include:

• rooftop solar systems

• residential solar battery storage

• switchboard upgrades

• heat pump and solar hot water systems

• reverse-cycle air conditioning

• ceiling insulation

• double glazing

• induction cooktops

• Level 2 EV chargers

• ceiling fans and draught-proofing

The loan can generally cover the approved equipment and its installation. Additional work required to prepare the property may need to be quoted and paid for separately.

Who may be eligible for the $15,000 loan?

You may be eligible for the NSW Home Energy Saver loan if:

• the property is located in NSW

• you are an Australian citizen or permanent resident

• you own the property as an owner-occupier or landlord

• your combined taxable household income is no more than $210,000

• you are installing an eligible upgrade through an approved supplier

• you meet the participating finance provider’s lending requirements

The loan can provide up to $15,000 in zero-interest finance, with repayment terms of up to ten years.

Borrowing the full $15,000 over ten years would work out at approximately:

$125 per month

or

$28.85 per week

This can make a substantial solar or battery upgrade more manageable, without adding interest to the approved loan amount.

Approval is not automatic. Applicants will still need to meet the program conditions and complete an assessment through a participating finance provider.

Can the loan be used for a solar battery?

Yes. Residential battery energy storage systems are among the eligible upgrades under the Home Energy Saver program.

This may be particularly valuable for households that already have rooftop solar but previously decided that a battery was too expensive.

A battery can allow you to:

• store surplus solar energy generated during the day

• use more of your own solar power in the evening

• reduce the amount of electricity purchased from the grid

• improve protection against rising electricity prices

• access backup power where the selected system supports it

The loan may also be used for a new rooftop solar system, or potentially a combined solar and battery installation, provided the products and installation meet the program requirements.

Can the loan be combined with rebates or discounts?

Depending on your eligibility and the system being installed, the NSW loan may be available alongside other government support.

This may include:

• the Federal Government’s Small-scale Technology Certificate scheme for eligible rooftop solar

• available federal battery incentives

• an upcoming NSW Home Energy Saver discount of up to $4,000 for eligible lower-income households and concession card holders

The NSW Government recommends that households seeking both a Home Energy Saver discount and a loan apply for the discount first, then apply for a loan to cover the remaining eligible cost.

Because incentives and eligibility rules can change, it is important to check the current requirements before committing to an installation.

A note about participating finance providers

The Home Energy Saver loans are funded by the NSW Government but delivered through participating finance providers.

At the time of writing, these include Brighte and Plenti.

This is important because the government-funded Home Energy Saver loan is not necessarily the same product as the commercial 0% solar finance arrangements that may be offered separately by a lender or retailer.

Customers should make sure they understand exactly which product they are applying for.

Before signing any agreement, confirm:

• that the finance is being provided under the NSW Home Energy Saver program

• the amount being borrowed

• the repayment term

• the total amount repayable

• whether any fees apply

• what happens if a payment is missed

• whether early repayment is permitted

• whether the quoted solar or battery price is the same as the cash price

Always read the loan agreement carefully before proceeding.

Brighte commercial solar finance

Brighte also offers commercial finance products through solar retailers. These are separate from the NSW Government Home Energy Saver loan, even though Brighte is one of the finance providers delivering the government-backed scheme.

Under Brighte’s commercial solar finance model, the customer may be offered a 0% interest repayment plan. However, that does not mean the finance is free.

The lender charges the solar retailer a substantial merchant fee for providing the finance. In our experience, the fee for longer-term finance arrangements could be as high as 25% of the financed amount.

The retailer may be required to agree that this fee will not be directly passed on to the purchaser. In reality, however, a solar business cannot absorb a fee of that size without increasing the financed price of the system.

For example:

• Brighte 0% finance price: $10,000

• Cash price: $8,000

The customer may not be paying interest in the traditional sense, but they are still paying an additional $2,000 for the system.

This is why we believe the term “0% interest” can be misleading. The finance cost has not disappeared. It has simply been built into the purchase price.

Before accepting a Brighte commercial finance offer, ask the solar retailer:

“What would this exact system cost if I paid cash?”

The difference between the cash price and the financed price will help reveal the true cost of the arrangement.

This should not be confused with the NSW Government Home Energy Saver loan, which is a separate government-funded zero-interest program with its own eligibility requirements, approved products and lending conditions.

Community First Green Loans

Community First Green Loans may also provide a more traditional finance option for solar power systems and other eligible environmental upgrades.

Unlike a 0% commercial finance arrangement, a conventional green loan usually shows an interest rate and fees more openly. This can make it easier to calculate the true cost of borrowing and compare it with the cash price.

Depending on the current product terms, potential features may include:

• an unsecured personal loan

• flexible loan amounts and repayment terms

• the ability to make additional repayments

• early payout options

• clearly disclosed interest and application fees

Rates, fees, lending criteria and product conditions can change, so customers should obtain current information directly from the lender rather than relying on figures published in an older article.

The main benefit of a transparent green loan is that customers can see the interest rate, fees and total repayment cost before making a decision.

How should you compare solar finance options?

Before choosing any solar finance arrangement, ask for the following information in writing:

1. What is the cash price?

Find out what the identical system would cost without finance.

2. What is the total amount repayable?

Weekly repayments can make an expensive loan appear affordable. The total repayment figure gives you a much clearer comparison.

3. Are there any establishment or ongoing fees?

Check application fees, account fees, redraw fees and late payment charges.

4. Can you repay the loan early?

Confirm whether early repayments or full payout will attract a fee.

5. Is the system price higher when finance is used?

A higher financed price can effectively hide the cost of a so-called interest-free loan.

6. Is it genuinely part of a government program?

Make sure a government incentive is not simply being used in advertising for an unrelated commercial loan.

7. Is the system properly designed for your needs?

Cheap or easy finance does not make an unsuitable system a good investment.

Our view on solar finance

At Shoalhaven Solar, we want to help local households make informed decisions based on transparent information.

The new NSW Government Home Energy Saver loan is a significant opportunity for eligible homeowners who want to install solar, add a battery or improve the energy efficiency of their home without paying the full cost upfront.

For someone borrowing the maximum $15,000 over ten years, repayments may be around $28.85 per week at zero interest. This could change the calculation for households that previously ruled out solar battery storage because of the upfront cost.

However, finance should never be used to disguise an inflated system price.

Whether you are considering the NSW Government loan, a green personal loan or another finance option, compare:

• the cash price

• the financed price

• all fees

• the total amount repayable

• the quality and suitability of the system

• the warranties and after-sales support included

Shoalhaven Solar does not provide personal financial advice. Eligibility, loan approval and repayment obligations are determined by the relevant finance provider.

We can, however, help you understand which solar or battery system may suit your property, prepare a clear installation quote and explain which current government incentives may apply.

Contact Shoalhaven Solar today at (02) 4464 1597 for your personalised solar energy solution.