UOB launched Tuesday its U-Solar platform to connect businesses and consumers with financing to encourage the development and adoption of renewable energy in Southeast Asia, with Malaysia the initial market.
“Through U-Solar, the Bank offers a suite of financial solutions to support the solar power value chain, from solar project developers, engineering, procurement and construction (EPC) contractors, as well as the end-users of solar power, including consumers and companies,” UOB said in a press release Tuesday.
Under the platform, UOB will provide solar-project developers with green financing services, including sukuk, project loans and portfolio financing, and cash management services, the statement said.
For EPC contractors, UOB will offer contract-based financing services, including bid bonds, letters of credit, performance guarantees and working capital, the statement said.
UOB will also offer end-users, including companies and consumers, financing services to assist in switching to solar power, the statement said.
“UOB Malaysia’s collaboration with leading local solar energy service providers, starting with ERS Energy, PlusSolar and Solarvest, will offer
installation, commissioning, operations and after-sales service packages for solar power systems to help business and home owners,” UOB said.
Wong Kim Choong, CEO of UOB Malaysia, said customer research had found many of them believed using solar power would require intensive upfront capital and costly maintenance.
“With U-Solar, we hope to help our customers understand better the benefits of using solar power and to address their concern of costs by providing them with flexible repayment plans at competitive market rates,” Wong said in the statement.
For companies in Malaysia, U-Solar will offer the ability to adopt solar power with little upfront capital by purchasing the system using UOB Malaysia’s U-Solar green loan, and assistance in applying for a 2 percent rebate under the government’s Green Technology Financing program, UOB said.
Businesses can also sign up for a long-term solar power leasing agreement with U-Solar’s partners, UOB said.
For homeowners, UOB Malaysia will offer a zero percent installment plan for up to 36 months to purchase a solar system, the statement said.