FINCLUB: 545.7 MW Energy Demand Sparks New Green Loan Initiative

With the unprecedented pressure on energy resources, the crowdfunding platform FinClub has unveiled a groundbreaking financial solution aimed at simplifying access to renewable energy. The Green Loan, specifically tailored to fund sustainable projects, marking a significant step in making green energy more accessible for both individuals and businesses. The mission? To reduce carbon footprints while optimising long-term costs.

On 22 January of this year, the country recorded a staggering demand of 545.7 MW, highlighting the mounting pressures on the energy sector.

“At the same time, persistent drought conditions threaten the nation’s water reserves, compounding supply challenges.

Now more than ever, we must hasten the shift towards renewable energy to tackle these issues and secure a sustainable energy future,” emphasised Jérôme Benoit, Innovation & Product Manager.

The Green Loan offers a clear pathway to engage in this energy transition, whether one is installing solar panels, solar water heaters, rainwater harvesting systems, or investing in hybrid and electric vehicles.

This loan makes green technology more accessible by providing financing that can cover up to 100% of the project costs, aiming to eliminate financial barriers to adopting renewable energy and facilitating long-term savings.

Loan amounts range from Rs 350,000 to Rs 2.5 million, depending on whether the applicant is an individual or a business.

With interest rates starting at 8%, the entirely digital application process ensures loan requests are processed within just 2 to 3 days—no physical presence required.

Once approved, the funds are transferred directly to the supplier, ensuring quick installation of the necessary equipment.

One of the standout features of the Green Loan is the absence of collateral requirements, contrasting sharply with traditional bank loans.

Borrowers also have the flexibility to repay their loan early without penalties, enhancing their financial options.

Moreover, those investing in solar energy can take advantage of a 15% tax credit, further reducing the overall project cost.

A Smart Financial Decision

“Choosing a sustainable energy solution isn’t merely an environmental choice; it’s also a sound financial decision,” the FinClub officials asserted.

They illustrated this point with the example of a borrower financing the purchase and installation of a solar system for Rs 350,000.

In a traditional bank loan scenario over 7 years, interest payments would total Rs 108,234.

In contrast, with the Green Loan paid off in 3 years, the interest would be just Rs 44,839, yielding savings of more than Rs 63,000.

Beyond savings on interest, borrowers can start reaping the benefits of their investment almost immediately.

From the very first month after installing solar panels, they can significantly lower their electricity bills.

Should the installation generate excess energy, this can be sold back to the national grid, creating a new revenue stream.

This approach thus intertwines financial viability and a positive environmental impact.

New Opportunities

FinClub also presented a unique opportunity for investors to support projects that have a strong socio-economic impact while generating attractive returns.

Only 14% of project proposals meet the rigorous selection criteria set by a dedicated team, ensuring quality investments.

Investors can choose to receive their capital and interest monthly or reinvest their earnings on the platform to maximise their returns.

This innovative financing solution aims to facilitate access to a more sustainable and energy-conscious lifestyle.

The goal is to empower everyone, irrespective of their status, to embark on significant projects while enjoying the financial benefits associated with these investments.

In conclusion, the spokespeople from FinClub assert, “It is now possible to embrace more environmentally friendly energy solutions without letting economic concerns hold one back.”

Source: Le Mauricien