Japan Offers Loans For Rooftop PV Generation
For several years now, Japan has been on the solar map, being one of the leading manufacturers of solar panels and in the top 5 ranking for countries with the most solar PV installed.
Since the Fukushima accident, Japan has been looking to solar even more in order to replace nuclear generation, which accounted for 30% of its total energy generation before the March 2011 disaster that prompted the closure of all but two of the nation’s nuclear reactors.
The Japanese government began offering incentives last year through feed-in tariffs to encourage investments in renewable energy sources, especially solar. Now the government will also be offering low-interest loans to companies that install rooftop solar power systems.
The Ministry of Economy, Trade, and Industry will provide the low-interest loans to companies that borrow residential rooftop space for solar power generation.
Bloomberg recently report that “the ministry will make the credit available through government financial institutions such as the Development Bank of Japan.”
Under the agreement, “companies will sell electricity generated from solar panels set up on homeowners’ rooftop spaces, while homeowners will receive 10,000 yen ($97, €75) to 20,000 yen ($195, €150) a year for renting out the roof space.”
Japan’s solar potential is growing at an exponential rate and could make it one of the leading countries in solar growth by the end of the year, putting it ahead of Germany, China, and the United States.
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Solar loans could also stimulate Japanese sluggish economic growth.
“Japan’s solar potential is growing at an exponential rate ..” I should hope so. Linear growth is rare in nature and economics; most growth processes are inherently proportional, i.e. exponential. A bristlecone pine has SFIK exponential growth, though it’s very, very low.
I suspect you mean fast.
If the US tweaked QE3 have a 5 years program of 0-1% loans to individuals or Corp for roof top/parking lot PV it would stimulate jobs too.
The generous feed-in-tariff (42 Yen/kWh, about 0.406 Euro/kWh or USD 0.534/kWh) for installations less that 10kW sounds more attractive than a rate of 10k – 20k Yen for renting out their roof space to a third party.
I am always curious what is a low-interest loan? 2%? 1%? 0.5%? For energy efficiency, conservation, and renewable I think the lower the better!
I believe a home loan in Japan is now around 1%, so I suppose a low interest loan would be about that or less.