{"id":23260,"date":"2018-08-16T16:08:06","date_gmt":"2018-08-16T05:38:06","guid":{"rendered":"https:\/\/www.solarquotes.com.au\/blog\/?p=23260"},"modified":"2018-08-16T16:10:53","modified_gmt":"2018-08-16T05:40:53","slug":"origin-solar-flex-review","status":"publish","type":"post","link":"https:\/\/www.solarquotes.com.au\/blog\/origin-solar-flex-review\/","title":{"rendered":"Death Match: Origin Solar Flex Leasing Vs. Buying Your Own System"},"content":{"rendered":"
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Solar power for $0 upfront sounds tempting. But is it a good deal?<\/p><\/div>\n

This is Thunderdome.<\/em><\/p>\n

Two methods of putting solar on your roof enter.<\/em><\/p>\n

One method leaves.<\/em><\/p>\n

Today’s deathmatch is between Origin Energy’s Solar Flex leasing agreement and Private Ownership!<\/em><\/p>\n

Private Ownership is the undisputed champion in Australia and by far the most popular method of getting solar panels on roofs.\u00a0 Its opponent, Solar Leasing, is almost unknown.\u00a0 While doing well in the United States, here it’s mostly confined to a segment of the commercial solar<\/a> market and an insignificant number of residences.\u00a0 So far it has lurked in the shadow of Private Ownership’s success, but today it will emerge from that darkness in the form of Origin Energy’s Solar Flex plan to do battle!\u00a0 It’s going to get grisly folks, because this fight is not going to end until a well supported conclusion is reached.<\/em><\/p>\n

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Is it just me or is the combination of light machine gun plus blindfold a poor fashion choice?<\/p><\/div>\n

Leasing = Free Solar?<\/h2>\n

For several years it has been possible to get solar on your roof for free.\u00a0 At various times AGL, Origin Energy, and others have offered ‘no cost’ solar power.\u00a0 Sound good? A few of you may be thinking, “Free solar?\u00a0 Sign me up, baby!” but most people are completely unaware it exists. \u00a0It is almost unknown – \u00a0not because it is one of Australia’s best kept secrets – but because it has a number of unattractive features that make people flock to private ownership instead.\u00a0 If you read on it will become clear why Australians don’t give a flock for solar leasing.<\/p>\n

How Origin Solar Flex Leasing Works<\/h2>\n

This is how Origin’s Solar Flex leasing works:<\/p>\n

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  1. Origin Energy puts solar on the roof of your home or business for free.<\/li>\n
  2. You have a contract period for 7, 10, or 15 years called a Power Purchase Agreement or PPA.<\/li>\n
  3. During this period you pay Origin for every kilowatt-hour of electricity the solar system generates.\u00a0 The charge increases with the Consumer Price Index.\u00a0 It doesn’t matter if you use the electricity yourself or if it is sent into the grid for a feed-in tariff<\/a>.<\/li>\n
  4. If you end the agreement early you have to pay to buy the system from Origin or pay more to have it removed.\u00a0 For the plan I have seen after 15 years it was $1,000 either way.\u00a0 If you do nothing they’ll just keep charging you for the electricity it produces.<\/li>\n<\/ol>\n

    It’s Not Quite Free…<\/h2>\n

    While the solar installation itself is free you may be required to pay for wiring upgrades, fixing a crap roof, and the cost of getting a new meter.<\/p>\n

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    Oh look! An asterisk! Everybody loves asterisks!<\/p><\/div>\n

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    Sorry, my mistake.\u00a0 I was actually thinking of this Asterix. (Image: Albert Uderzo)<\/p><\/div>\n

    Try Not To Move Out<\/h2>\n

    If you get an Origin Solar Flex lease you’d want to be confident you aren’t going to sell your home during the contract period.\u00a0 If you do, paying the buy-out price may be your only option.\u00a0 It is possible to transfer the agreement to a new owner but they’d have to both be willing and meet Origin’s credit requirements.<\/p>\n

    If You Can’t Borrow, Solar Flex May Not Be Available<\/h2>\n

    While there are a number of drawbacks to leasing solar it does let you get panels on your roof quickly with no money down.\u00a0 So if you are broke and unable to borrow it this is probably your only option[1 \u00a0barring relatives who are both rich and generous].\u00a0 But if you want to use Solar Flex you have to meet Origin’s credit requirements, so my guess is: if you can’t borrow money you can’t get Solar Flex.\u00a0 Also, you can only use Solar Flex for a roof you own. Most people who own homes or businesses are able to borrow money.<\/p>\n

    Origin Pays For Repairs And Maintenance<\/h2>\n

    One advantage of Solar Flex is that during the term of the contract Origin is responsible for any repairs and maintenance because they own the system.\u00a0 As they only get paid for electricity it produces they have an incentive to keep it working and repair it quickly if there’s a problem.<\/p>\n

    An Origin Solar Flex Example<\/h2>\n

    My cousin Gerda\u00a0has sent me some information on Origin Flex Solar Plans.\u00a0 What she has done is give me an example plan that is supposed to be representative of what’s available for Queensland homes.\u00a0 It matches up with what I’ve seen from other sources so it looks right to me, but if you work for Origin and see something that’s not correct please let me know in the comments.\u00a0 Also, my cousin doesn’t actually work for Origin.\u00a0 Honest.\u00a0 So don’t go looking for her.\u00a0 Origin Energy probably doesn’t even have anyone called Gerda working for them, so that proves it1<\/a><\/sup>.<\/p>\n

    I will describe the features of this example plan and compare it to the benefit of simply buying a similar sized solar power system instead.<\/p>\n

    The Location<\/h2>\n

    All I know about the location of the example system is it’s somewhere with a lot of sunshine and Ergon is the Distributed Network Service Provider.\u00a0 So let’s say Maryborough, just for convenience, as that isn’t where my cousin Gerda lives.\u00a0 But if Origin doesn’t actually provide Solar Flex in Maryborough, don’t blame me.\u00a0 No wait, do blame me.\u00a0 It’s totally my fault for picking a random location.<\/p>\n

    The Details Of The Solar Lease<\/h2>\n

    The example Origin Solar Flex offer promises the following:<\/p>\n