By Luke Voogt
Local investors have raised more than $150,000 in a week to install 500 solar panels at an aged care home, according to Geelong Sustainability.
Geelong Sustainability’s Dan Cowdell said 20 locals contributed about $7500 each to the “exciting” clean-energy project, which received an additional $140,000 State Government grant last October.
“We weren’t expecting the level of response we got from the community so quickly.”
Mr Cowdell described the community-owned business model of the CORE Geelong One project as a Victoria-first.
“It appeals to ethical investors where they’re supporting a local community investment but also making a return on their investment,” he said.
“We want to make solar benefit the local community.”
The $150,000 investment will pay for a local company to install a 156kW system of Chinese-made solar panels at Multicultural Aged Care Services (MACS) in North Geelong.
The provider will lease the system for ten years from the investors, paying back the $150,000, plus interest, before buying it for one dollar.
Mr Cowdell declined to specify the rate but said it “was better than bank interest”.
He expected the installation to begin mid May and for the system to be operational at the end of June.
Mr Cowdell said the project would reduce carbon emissions by 210 tonnes per year, equivalent to “planting 1470 trees” or “taking 60 cars off the road.”
He said the State Government grant of $140,000 paid for legal costs, due diligence, financial modelling and “project coordination”.
Mr Cowdell declined to say how much of the State Government funding he received as the project’s coordinator.
The funding would also support the first year of the project’s operation and enabled Geelong Sustainability examine similar future projects, he said.
“We are looking to replicate this project many times over.”
Last year State Government stated the project would save MACS $29,000 per year in electricity costs.
“We are fighting climate change through meaningful community engagement, protecting our environment for future generations,” Geelong MP Christine Couzens said at the time.
Mr Cowdell said recent price rises had increased the savings to $30,000-plus.
The government then said the total project cost would be $402,000 but Mr Cowdell said he “did not know where the government got that figure from.”
Shadow energy minister David Southwick questioned the $140,000 State Government grant, given the investors had fully funded the project.
“Solar projects are an important part of the energy mix,” he said.
“However, Victorian taxpayers shouldn’t be footing the bill for renewable energy projects when they can stack-up financially on their own two feet.”
Mr Southwick blamed the State Government’s “ideological energy policies” for recent price rises.
“Daniel Andrews has forced the closure of Hazelwood which sent wholesale prices skyrocketing by 85 per cent,” he said.
