Government Solar Finance: Green Loans & HEUF Explained

The $1 Billion Household Energy Upgrades Fund (HEUF)

In a major push to help Australians electrify, the Federal Government has launched the $1 billion Household Energy Upgrades Fund (HEUF). Managed by the Clean Energy Finance Corporation (CEFC), this program partners with banks and lenders to offer significantly discounted "Green Loans" to households.

Top Green Loan Offers for 2025

Through the HEUF and other initiatives, major lenders are competing to fund your solar and battery installation. Here are some of the standout offers:

• Commonwealth Bank (CBA): Offers a Green Loan for existing mortgage holders allowing you to borrow up to $30,000 at 0.99% p.a. fixed for 10 years. This is currently one of the cheapest ways to finance a system in Australia.
• Brighte: As a partner in the HEUF, Brighte offers introductory rates (e.g., 6.99%) for unsecured loans between $2,000 and $55,000. This is a great option if you don't want to refinance your home.
• Plenti: Offers discounted rates for solar and battery systems with loan terms up to 15 years, helping to match your loan repayments to your electricity bill savings.
• Westpac & ING: Both offer "Sustainable Upgrades" or "Green Upgrade" loans up to $50,000 for eligible mortgage customers.

Why Finance Instead of Paying Cash?

With interest rates as low as 0.99%, the cost of borrowing is often lower than inflation. This allows you to keep your cash in an offset account (saving you ~6% on your mortgage) while using cheap government-backed money to fund an asset that generates tax-free savings on your electricity bill.

The "Cashflow Positive" Strategy: The goal is to ensure your weekly loan repayment is less than your old electricity bill. With a 0.99% loan, this is almost guaranteed for most standard solar systems, meaning you are better off from day one.

Eligibility Criteria

To access these HEUF-backed loans, you typically need to:

• Install eligible upgrades (Solar PV, Batteries, Hot Water Heat Pumps, EV Chargers).
• Use a Clean Energy Council (CEC) accredited installer.
• For bank-specific loans (like CBA or Westpac), you usually need to have your home loan with them.