ENIE Offering to buy Rooftop PV Systems From Dutch Households During Pandemic

In the wake of COVID-19, Dutch solar product distributor ENIE is looking to purchase existing solar rooftop systems from customers in need of money.

In the wake of the COVID-19 pandemic, Dutch solar PV product distributor ENIE is implementing its ZonneRuilen Program to purchase existing solar rooftop installations.

As per the program, the firm is offering to buy installed rooftop systems for around 85 percent of its initial cost. This way, customers with these solar photovoltaic (PV) systems get some liquidity during uncertain times. ENIE then leases out these systems to the same property owners for a lease period of ten years, after which the customers have the option to buy the system back.

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Somik Das, Power Analyst at GlobalData, said “the Netherlands is among the countries that have been highly affected by the COVID-19 pandemic. There is a widespread cash crunch among citizens due to closed businesses and unpaid wages.

“ENIE’s rooftop solar PV lease models is expected to be quite profitable as the company is pushing the initiative through at the right time, creating a win-win situation for both themselves and the consumers. ENIE acquires several rooftop generation assets for 85 percent of the cost and builds its solar leasing business model. More solar installers that are strong on liquidity may follow this route in the coming months in an attempt to popularise the solar PV leasing business model.”

According to the firm, the monthly payments offered to solar system owners who join the scheme will typically meet around 85 percent of their electricity bills. Those monthly bills are likely to be higher as homeowners will no longer receive the direct benefits of the rooftop system.

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The company also specified that it will perform technical and financial due diligence before each purchase. And that it will not be acquiring any projects which have poor design and components. The firm plans to check the installation and components remotely and also do a credit check. After which, if necessary, the firm will also schedule site visits.

Rooftop leasing schemes are also prevalent in India, wherefrom the tendering phase itself the rooftop solar projects are owned by a Renewable Energy Service Company (RESCO), which at its own cost develops the system on the rooftops of the customers and then charges them a monthly rate for the electricity provided.