Another solar-related gem that is YET to be discovered by investors.

From LSS1 to LSS4, investors had seen the projects had ballooned in capacity up to 1GW in LSS4. A lot of companies are rushing into the solar sector, but one company (not the gem) had opened new opportunities for the industry. Let’s take a look at the industry’s recent development.

Here’s an excerpt I retrieved from THE STAR:

KUALA LUMPUR: Clean energy specialist, Solarvest Holdings Bhd has launched its new solar financing programme, Powervest, to promote the adoption of renewable energy among businesses in Malaysia.

Group chief executive officer, Davis Chong Chun Shiong said the programme comprises two competitive financial models, Powerflex and Powerlease, targeted at commercial and industrial users with different financing needs.

"The launch of Powervest is in line with our efforts to make clean energy more convenient, affordable and accessible.

"While we recognise that there is not a one-size-fits-all solution when it comes to solar photovoltaic (PV) system investment, we are offering a financing solution that we believe is comprehensive enough to meet the different financing needs of our potential customers,” he said during Powervest’s virtual launch today.

Chong said the Powerflex model offers a flexible financial package with zero upfront costs.

"Businesses can opt to fully own the solar PV system by obtaining 100 per cent financing, or they can co-own the asset with Solarvest, in which case they would only need to apply for 50 per cent financing.

"Repayment would be on a monthly instalment basis to the respective financial institution and Solarvest over a customisable period, ranging from three to 10 years," he said.

Meanwhile, Chong said the Powerlease model, which has been in the market since 2017, is a long-term lease agreement between Solarvest and its partners for the sale and purchase of electricity generated from the solar PV system to be installed.

"The customer will pay Solarvest and its partners a tariff rate that is up to 30 per cent lower than what is normally charged by their utility provider while enjoying free operation and maintenance costs throughout the lease period," he added. – Bernama

Pureplay asset owner or EPCC owner is no longer the lucrative sector as there are lots of competitors in the industry. But lease financing or on the funding end, however, might see lucrative opportunities.

Hence why Solarvest is doing it.

On 2nd August, FAST ENERGY (Previously known as TECFAST HOLDINGS) incorporated a subsidiary named after FAST SOLAR. Why do you think an oil bunkering company venture into the solar segment?

Sure, as most energy player does, it is for the carbon balancing. But for the most part, this company is going to be venturing into solar – most likely as a financier than jumping into the EPCC bandwagon.

FAST had plentiful of cash on hand – even before their rights issue, so it makes complete sense for them to venture into the solar segment from a financing end. Why do I know about this? Well, cause I always “yum-cha” with one of the guys from renewable energy associates and they mention the same of FAST.

Interestingly, FAST also spiked in the recent trading days. As 20 cents is the lowest, they can go, I believe this will truly be a strong rebound for them. Investors, do take note on this company!