Solar is an investment: Why Lunar Solar Builds a Custom Energy Portfolio for You

At Lunar Solar, we don’t just sell solar solutions; we offer an Energy Investment Product.

The shift to solar power represents more than a utility upgrade—it’s a strategic financial decision. That’s why we model your solar solution like a traditional investment, building a custom Energy Portfolio designed to generate tangible returns and financial security for years to come.

Why We Model Solar as a Financial Investment Product

A solar installation fits the structure and objective of a robust investment portfolio, offering
multiple streams of return:

1. Generating Yield and Financial Savings

The most immediate return is the yield derived from saving on utility costs. By reducing or
eliminating your reliance on the grid, you hedge against fluctuating energy tariffs.

  • Capital Allocation: Your payment (whether cash, finance, rent, or other means) is
    treated as capital allocated to an asset that immediately starts producing returns.
  • Targeted Yield: The goal is a clear break-even point followed by long-term savings.
    Our data shows an approximate yield of 80% on energy costs, one of the highest
    documented to date.

2. Enhancing Property Value and Security

A solar system is an immovable asset that is integrated into your property, instantly
increasing its overall value.

  • Investment Increase: Solar consistently increases property investment and value by
    an estimated 3-5%, which is in line with the benefits of other significant property
    investments.
  • Additional Revenue Streams: If applicable, installing an AMI meter allows you to
    feed excess power back into the grid for monthly rebates, creating another
    component of yield in your portfolio.

3. Accessing Major Tax Benefits (For Businesses)

For commercial clients, solar is classified as a depreciating asset, which is a powerful
financial advantage.

  • Accelerated Depreciation: Businesses can access significant tax benefits, claiming
    up to 40% of the system’s value within the first year, and a further percentage over the
    first three years.

4. Defining a Clear Investment Strategy

Like any financial portfolio, your solar investment has a clear objective, risk profile, and time
horizon:

  • Time Horizon: Solar is viewed as a mid-term investment, with yields typically
    realized within 3-5 years.
  • Risk Profile: When due diligence is followed (selecting high-quality products,
    coupled warranties, professional installation, and proper insurance), a solar
    investment is a highly conservative model—low-risk with predictable, long-term
    benefits.
  • Flexibility: We can tailor the portfolio’s funding structure to meet your financial
    needs, whether through outright purchase, home loan, asset finance, or a Power
    Purchase Agreement (PPA).

Why Customization Matters: Building Your Energy Portfolio

Your financial health, property type, and energy needs are unique. That’s why we don’t use a
one-size-fits-all approach. We build a personalized Energy Portfolio for every client.

We take the latest information and research into account to create an individual portfolio
strategy that considers:

  1. Your Capital Allocation Method: Integrating your purchase method (cash, finance,
    etc.) into the financial modelling.
  2. Your Risk Parameters: Ensuring the chosen products and warranties align with a
    low-risk, conservative investment.
  3. Your Long-Term Goals: Modelling the portfolio to meet your specific investment
    objective and time horizon.
  4. Future Potential: Accounting for the potential of future carbon trading platforms,
    allowing you to monetize your reduced carbon emissions alongside your energy
    savings.

It’s not just solar—it’s a growing, valuable portfolio that must be built and nurtured alongside
the right team.