After winning HDB’s largest solar leasing tender, Sunseap Leasing plans to take its solar power business to condominiums, reported the media.
If this gains traction, the company revealed its next target will be landed homes. Sunseap also has a deal with United Technologies, an American aerospace company, to install solar panels at its premises in Singapore.
Notably, the HDB deal will see Sunseap shouldering the full installation cost and selling energy under a leasing model.
The company’s value proposition is tied-up to its ability to sell energy at lower prices compared to that bought off the traditional grid. Sunseap pegs the discount to the movement of energy prices, thus, earning more if energy prices are high.
But the reverse is true if energy prices are low. The decline in oil prices recently has not helped the company’s effort in promoting investment in solar energy.
“We want the oil prices to be as high as possible, right? So that more people will lean towards clean energy. Now, that mindset will come from a client who has an intention to purchase a system. When a client wants to purchase a system, the higher the oil prices, the shorter his payback will be in terms of his investment in the solar system,” said Brandon Lee, Sunseap Leasing’s Business Development Manager.
Sunseap also plans to take its solar expertise into new markets such as the Philippines and Thailand.
Article published by: Property Guru, Muneerah Bee