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Knox Council has signed its first Environmental Upgrade Agreements (EUA) with Glenfern Dental in Upper Ferntree Gully, allowing the business to install a 12.6kW solar PV system that will ultimately reduce operating costs and reduce its environmental impact.
An EUA is an agreement between a commercial property owner, a finance lender and Council, which facilitates the financing of a building upgrade to improve its efficiency.
The financial institution advances funds to a commercial property owner to undertake the upgrade works, and repayments are made through the Council rates system. Council then forwards the repayments to the financial institution.
Council’s involvement provides a higher level of security for the financial institution, which in turn offers attractive loan terms.
Upgrades can include water and energy efficiency projects and installation of renewable energy systems such as solar.
The agreement also means that building tenants can contribute towards the loan repayments, proportionate to the savings they enjoy from lower bills.
As stated by Mayor, Cr Jake Keogh:
- This type of financing allows businesses to invest in efficiency improvements, and in cases where the buildings are tenanted, to share the cost and benefits of those improvements.
- This is a great opportunity for local businesses to reduce their running costs, do something positive for the environment and contribute to a stronger local economy.
- We hope that other Knox business owners will consider EUAs as a cost-effective way to secure lasting improvements and savings.
As stated by Dr Julia Hong, owner of Glenfern Dental
- Signing this Environmental Upgrade Agreement will help us to invest in a solar PV system to reduce future operating costs and do something positive for the environment.
- This investment will provide significant savings over the long term, which is an important consideration for every small business.
