STRATA

SCHEMES

20 - 40%

Electricity being
consumed
by lights in
Strata shemes


INDUSTRY SPECIALISATIONS:




“Prices have stayed high in part because network businesses – which carry power through poles and wires from the generator to the home – have spent billions of dollars on infrastructure that falling consumption has made redundant. A nasty correction is coming and the question is who will pay for it – power companies, governments or consumers again?” – Tony Wood – Energy Program Director – Grattan Institute

 Benefits for Strata Managers
Value Add and point of difference service for Strata Plan clients outlining an attention to detail to client’s operational habits and highlighting optimisation opportunities. Allows opportunity for strata managers to present operational cost saving measures which are realised immediately and further enhanced over medium and long terms.Immediate and forecasted saving can be beneficial to sinking fund plans allowing more budget for future capital upgrades without increasing levy contributions.Operational cost savings from day one (affects administration fund) with significant uplift in the medium and long term.

Benefits for Client
Strata Plan clients can expect an immediate cost saving on their electricity from day one. Under financed solar options, the client can expect a saving of between 1-3% for the term of the finance agreement which is usually around 7 years. After the finance term, the client can expect savings of between 15-25% depending on the size of the solar system.

Under outright purchase of a system, the client can expect to a return rate of 15-20% on the capital expense.  This equates to a payback period of 4-6 years. After the payback period, the expected savings on the client’s electricity cost would be 15-25% depending on the size of the solar system. Generated savings may be contributed towards lower operational costs – lower levies, allocated towards other capital expenses – reducing sinking fund allocations for capital projects.

Taxation Implications
Solar systems impact on a client’s taxation situation a number of ways by looking into the decline in value of the capital cost of the system, also the offset of electricity assists and improves business cash flow. Solar systems can be classed as plant equipment and therefore have variable depreciation and capital cost deductions associated.*

Stakeholder Engagement
Clean Energy Corporation Australia follows a process through education to Strata Managers and Executive Committees around the products available. Through this process and together with proper analysis, we are able to build the best financial objectives and understand operational concerns of the strata plan. Our referral network sees it as a value add when providing advice to their clients, showing that they are looking comprehensively into ways to reduce operating costs and showing they are ahead of market trends.

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