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July 14, 2024

Fintech platform teams up with BPI for solar mortgage program

Climate financial technology firm Helios announced its collaboration with Bank of the Philippine Islands (BPI) to launch Asia’s first solar mortgage program. The initiative integrates solar energy solutions into residential properties acquired through home loans.

“The solar mortgage is the first of its kind. It is a bona fide Filipino innovation. The idea is the green loan with BPI is cash flow positive, meaning the savings you unlock from adding solar to your home will be larger than any payment capacity. We help our consumers who are servicing home loans make their home more affordable,” said Alex Aronson, co-founder of Helios.

With options ranging from P400,000 to over P10 million, the solar mortgage caters to new home purchases and existing homes seeking a solar upgrade. Offering flexibility based on individual needs and budgets, the solar home mortgage makes solar energy more accessible and tailored to the diverse requirements of homeowners.

Since its rollout in the fourth quarter of 2023, about 100 new homeowners have already benefited from the introductory offering of the solar mortgage. BPI aims to establish itself as a thought leader and market innovator in financing products and services, such as those offered in collaboration with Helios.

Aronson said the average Filipino household allocates 30 percent of its spending to utility costs, amounting to P2 million to P3 million over 20 years. With the solar mortgage, electricity costs could dramatically decrease to just 5 percent, while also promoting environmental consciousness and energy efficiency.

BPI and Helios solar mortgage offers a 7% interest rate, with a 7-year fixing period, along with waiving fees of up to P70,000.

Helios also partnered with Longi Green Energy Technology Co. Ltd., a developer of solar power projects, for the program. Longi provides homeowners with solar mortgages through Helios with a 25-year guarantee.