The schemes, branded ‘Sunflower Home’ and ‘Sunflower Business’, were presented at a news conference by Strategy director Yiannos Stavrinides and Product Development director Constantinos Vrahimis.
“The twonew products contribute to reducing energy cost of businesses and consumers, and improve life quality,” the CCB said in a statement.
“With these schemes, the CCB covers the financing needs of a home or small-to-medium business. They are the first schemes marketed with a view to help the public tap into the Energy ministry’s subsidies for cost-cutting residential and business upgrades.”
Each of the two Sunflower loan products comes in two versions – one for installing photovoltaic cells for power production, and another for upgrading the energy efficiency of buildings.
The ‘Sunflower Home’ scheme offers interest rates ranging from 4.25% to 4.95% (with and without collateral, respectively) for loans up to €6,000, repayment periods up to seven years, and a six-month grace period. Under this scheme, borrowers need no up-front cash as the loan may cover the cost of the whole of the ‘net-metering’ system for domestic power generation.
Alternatively, the CCB offers credit up to €50,000 for enhancing a home’s energy efficiency, at interest between 3.85 to 4.5% – according to the borrower’s own contribution – repayment periods up to ten years, a 12-month grace period, and one or two creditworthy guarantors.
Either option incurs initial administrative expenses of €30, the CCB said.
The ‘Sunflower Business’ scheme offers loans up to €600,000 to businesses or local government bodies for setting up large-scale photovoltaic power-generation systems up to 500 kilowatts, at interest rates ranging from 2.8% to 3.75% (depending on the borrower’s own contribution to the project), a repayment period up to 12 years, and a 12-month grace period.
The second option relates to the financing of a business’ entry to the energy ministry’s subsidised energy-efficiency upgrading programme.
Under this option, the CCB would fund the entire cost of the upgrade – up to €400,000 – at interest from 2.8% to 3.75% (depending on own contribution), and a 12-year repayment period.
In both cases the borrower must contribute at least 20% of the cost and be able to post collateral, while initial administrative costs are €70.
“In all schemes, the borrower may repay the loan, in part or in full, at any time,” the CCB announced.
Source: Cyprus Mail
