S’pore startup Solar AI raises S$1.5M seed funding to propel rent-to-own solar adoption - Vulcan Post
S'pore startup Solar AI raises S$1.5M seed funding
Singapore-based startup Solar AI Technologies announced today (August 23) that it has closed its S$1.5 million seed round led by Earth Venture Capital with participation from Undivided Ventures, Investible and climate-tech angel investor David Pardo.
The funds raised would primarily be used to upscale its Rent-To-Own solar programme within Singapore, before it embarks on regional expansion in the next 12 months. The company will also be undergoing a rebranding phase within the next few months as part of its plan to scale this programme.
Solar AI’s Rent-To-Own programme enables landed homeowners and small businesses to own solar panel systems at zero upfront costs, paying a flat monthly fee which covers the installation, maintenance, and servicing, as well as an energy generation guarantee.
As compared to traditional solar panel systems that require upfront costs between S$15,000 and S$50,000, the Rent-To-Own model helps de-risk solar as a renewable energy solution, particularly in Southeast Asia where trust and awareness in the technology is still low with a penetration rate of less than one per cent across the region.
Through Solar AI’s Rent-To-Own model, the company eventually aims to lead the energy transformation across the region to a net zero world, making it as easy as possible for property owners to get access to solar systems through a risk-free, fully-serviced solar experience.
There is a huge amount of untapped potential for both residential and commercial solar-as-a-service throughout Southeast Asia. The traction and robust pipeline Solar AI team have achieved to date is a strong indicator for their ability to be a leader throughout the region as its development continues to accelerate.– Ben Lindsay, Investment Manager at Investible
So far, Solar AI has surpassed S$3 million on signed rooftop solar contracts, with more than 100 rooftop solar installations completed last year.
Featured Image Credit: Solar AI
Related Knowledge Center: ENERGY BASICS: solar
Declining costs and government encouragement have resulted in a rapid increase in solar energy production in the United States over the past 10 years, although solar’s share remains small: 1.6 percent of all electricity generation in 2018. That rapid growth is projected to continue.