In recent years, increases in electricity prices have stimulated interest in PV systems. These systems are not only used to sell the electricity produced, but also to cover their own energy needs. They provide a significant reduction in operating costs, long-term energy independence and a reduction in the carbon footprint.
Despite the many advantages, the cost of designing, supplying and installing PV systems can be significant and create a major barrier for many businesses. Fortunately, various forms of financing can ease this financial burden. These include bank loans and government subsidy programs that cover a portion of the costs, making solar integration more affordable and attractive to companies.
Bank financing programmes for PV systems
UBB Bank:
- Loan for PV plants up to 500 kW: For electricity generation for own consumption or sale. Borrowers can be legal entities, freelancers and farmers with at least 18 months of active activity. The maximum loan amount is BGN 600 000, with financing up to 90% of the project cost (excluding VAT) or up to 100% in case of participation in European grant programmes. Collateral can be the photovoltaic installation, real estate, machinery, vehicles and other assets.
- Credit for FPP up to 2 MW: For small and medium enterprises, corporate customers and farmers. Financing is up to BGN 2 million with a repayment period of up to 120 months. Excess energy can be sold on the open market.
Bank Allianz:
- Loan for FPP up to 3 MW: For electricity generation for own consumption or sale on the free market. The bank offers financing of up to 80% of the investment cost with a term of up to 12 years and a grace period of up to 6 months. Additional concessions are offered for systems up to 30 kW.
UniCredit Bulbank:
- Investment loan. The loan has preferential interest rates and reduced collateral conditions. The bank finances up to 90% of the installed capacity of the system, with a requirement of at least 10% equity participation.
- For projects participating in the state programme for the construction of new renewable energy sources with local energy storage systems.
Commercial Bank D:
- Long-term credit: For photovoltaic installations up to 2 MW. The loan covers up to 80% of the cost (excluding VAT) of equipment and installation, with a maximum loan term of 120 months and a grace period of up to 12 months.
Postbank:
- Financing of FPPs up to 2 MW: For corporate customers with a minimum equity requirement of 10% of the investment amount. The maximum financing limit is BGN 4 million with a term of up to 12 years and a grace period of up to 18 months.
Fibank:
- Project Company Loans. The maximum loan term is 15 years with a grace period until the plant is commissioned.
Balancing the electricity system
With the increase in PV capacity in Bulgaria, which now exceeds 3 GW of installed capacity, an imbalance in electricity supply and demand is being created, leading to record low, even negative, electricity prices on the power exchange. In this context, energy storage systems provide a vital solution for stabilising the electricity grid and making optimal use of the energy produced.
Financing programmes for storage systems
In March 2024, the Department of Energy launched two funding programs under the National Recovery and Sustainability Plan (NRSP) targeting renewable energy generation system projects with energy storage systems. These schemes provide significant support to businesses, making these technologies more affordable.