A recent survey has revealed a significant interest among Fijian households and businesses in adopting solar energy, but the available financing options are insufficient to support this transition. The survey, conducted by Solar Hub and the Market Development Facility (MDF) of the Australian Government, involved over 5,000 participants across Fiji last year.
The findings were shared with more than 50 stakeholders, including representatives from government agencies, regulatory bodies, financial institutions, insurance companies, and development organizations, at an information event in Suva last week. The survey indicated that nearly 70% of urban households expressed a willingness to fund solar systems independently, while 50% showed interest in loan or subscription models for purchasing solar solutions.
However, the survey highlighted that only four out of 13 financial and insurance service providers interviewed offered solar power packages. Two additional providers mentioned that solar products could be financed or insured through their existing loan offerings.
Yogesh Chand, co-founder of Solar Hub New Zealand and Fiji, urged these financial institutions to improve financing options for those interested in solar energy. He pointed out that banks in Fiji currently offer competitive financing in other markets, such as Australia and New Zealand. “If the banks can provide interest rates around three to four percent on housing loans, why not extend similar options for solar system installations?” Mr. Chand emphasized.
He noted that such financing would not only lower power bills for consumers but also promote a more sustainable future. Mr. Chand questioned the feasibility of offering these options to customers already paying mortgages.
Joel Abraham, the CEO of the Fijian Competition and Consumer Commission (FCCC), stated that the existing regulatory frameworks needed to be reassessed to facilitate greater investment from the private sector and to encourage increased adoption of solar energy in Fiji.