Promoting Renewable Energy

As part of the continuing effort to encourage the use of renewable energy (and energy efficient) technologies, the Ministry of Finance, Trade and Investment in partnership with all its stakeholders including the United Nations Development Program (UNDP) – Global Environment Facility (GEF), Seychelles Energy Commission (SEC), Ministry of Environment, Energy and Climate Change (MEECC), Public Utilities Corporation (PUC), the Commercial Banks, Development Bank of Seychelles (DBS) and the Seychelles Credit Union have partnered up to offer the following funding programs:

The Seychelles Energy-Efficiency and Renewable Energy Programme (SEEREP) 

SEEREP is open to all households and is a loan facility available from Commercial Banks and the Seychelles Credit Union. The loan facility is limited to scr 100,000 per household and is for use exclusively to purchase and install energy-efficiency home appliances, energy saving devices and renewable energy systems. The loan duration is for a period of 1-5 years, with 5% interest rate per annum. The required borrowers’ personal contribution shall not exceed 2.5% of the loan amount and normal loan processing fees will be waived under this scheme. Click here for more information 

THE PROCESS: Your supplier will submit the SEEREP Application Form together with their quotation to SEC for processing. Once approved, you can submit your application to your respective financial institution.

The solar photovoltaic (PV) rebate

This scheme which will run until 2016 is aimed at reducing the one-off cost of acquiring a grid-connected solar photovoltaic (PV) system by providing cash incentives. Currently, households can receive up to 25% rebate on the cost of purchase and installation of solar (PV) systems up to 3kWp based on a USD per watt installed cost of a solar (PV) system in Seychelles. This rate is subject to variation as the market evolves both locally and internationally. On inception in 2014, the value was set at USD 3.20 per Wp and at an exchange rate of SCR12 = USD 1 for the residential sector, that is roughly scr 40,320 cash rebate on the cost of installing a 3kWp solar (PV). Today, the dollar per watt for the residential rebate is USD 2.8/Wp. 

For commercial premises, the rebate payment is made on 15% of total amount based on a calculated US$ per watt basis up to a maximum 15kWp PV system size. The USD/Wp used for commercial installations is USD 3.2/Wp and like for the residential premises, the exchange rate is SCR12 = USD 1.

NOTE: SEC reserves the right to change the terms and conditions of the Rebate Scheme  – please visit the SEC website for more information on the most recent updates related to the PV rebate scheme.

THE PROCESS: A PV Rebate Application Form (contact SEC or your PV supplier) needs to be completed and forwarded to the SEC who will verify that the system meets the Terms and Conditions as specified under the Rebate Programme. The Commission will then contact the applicant in regards to their application, whether or not it has been successful. The rebate payment for successful applicants will be disbursed by the Development Bank of Seychelles (DBS). 

The Small and Medium Enterprise (SME) loan scheme

This scheme is aimed at encouraging business development and entrepreneurship in various sectors other than retails and wholesale. It covers loans up to scr3 million for new business loan applications, with an annual turnover of no more than scr 5million. Like the SEEREP loan, this facility is also available for purchase and installation of solar photovoltaic (PV) systems but in this case is aimed at commercial premises. 

The scheme is based on a two-tier interest rate structure with Government providing some element of interest subsidy where the client will be charged as follows:

  • 5% interest on the first scr 1million
  • 7% interest on the next scr 2million
  • For any additional amounts above scr 3million, the interest rate would be negotiated between the bank and the client. 

The grace period could be up to 6 months during which time the client and the bank can negotiate to pay either interest only or capitalize on interest. The repayment period could be up to 7 years or higher subject to negotiations between the client and the bank. The personal contribution shall not exceed 2.5% of the loan amount, or 20% for real estate development or construction projects. 

THE PROCESS: please contact your financial institution for more information.