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1000 green energy installations and counting: RateSetter and CEFC extend green loans program

RateSetter media release

  • CEFC extends RateSetter green loans agreement following strong launch period and continuing demand to finance energy efficient products
  • 1000 Australian household installations approved to date with 150+ new green loans every month
  • Over 200 retail investors in RateSetter green loan marketplace investing alongside the CEFC

Sydney, 21 May 2018: RateSetter and the Australian Government’s Clean Energy Finance Corporation (CEFC) have today announced an 18 month extension of their innovative green loan marketplace, which is bringing clean energy borrowers and investors together.

Launched in May 2017, the RateSetter green loan marketplace is the CEFC’s first investment in a peer-to-peer lending platform. Seeded with $20 million from the CEFC, the marketplace provides affordable finance options to Australian home owners and businesses purchasing approved energy efficient products. In the first year alone, over 1000 households and small businesses have chosen to finance energy efficient and renewable energy products through RateSetter.

These loans have helped finance a wide range of green product purchases, including solar panels and battery systems, energy efficient lighting and energy efficient heating and cooling systems. Solar systems financed over the first 12 months of the program have resulted in a reduction of over 2,250 tonnes of CO2 emissions annually.

Retail and other institutional investors have also shown strong interest in the green loan marketplace. In addition to the CEFC, over 200 retail investors have financed green loans, earning up to 6.5% per annum – tapping into strong investor demand for eco-investments with good returns.

Daniel Foggo, CEO of RateSetter, said: “With the support of the CEFC our green loan marketplace has achieved strong traction in its first 12 months. Continued reductions in the cost of solar systems coupled with low cost finance makes these products a smart choice for many more Australians. As power costs continue to rise the benefits of moving to solar power have become very clear. We’re delighted to announce the continuation of our partnership with the CEFC to help meet the green energy finance needs of Australian homes and business.”

CEFC Debt Markets lead Richard Lovell said: “We’re pleased to see this strong early response to the RateSetter green loan marketplace from both borrowers and investors. Already we’ve seen solid lending volumes, and we’re confident additional borrowers will take up the finance as the marketplace develops. This is about giving borrowers a new way to get the most out of clean energy, as well as cut their energy use and lower their carbon footprint. Together with RateSetter, we’re also looking forward to seeing more clean energy investors come into this innovative green loan marketplace.”

The peer-to-peer online lending platform allows investors to nominate the amount they wish to invest and the interest rate they are prepared to accept. This offer is then matched to approved borrowers.

To reach borrowers, RateSetter has secured distribution partnerships with leading manufacturers, installers and suppliers of solar and other clean energy products. These partners understand that a low cost financing option is making these products affordable, boosting sales and creating a great customer experience. Customers installing solar panels often find that, even after loan repayments, they are spending less on power in the first month, with the whole system expected to pay for itself over 5-6 years, but lasting for up to 20 years. 

In addition to the CEFC partnership, the past 12 months have seen RateSetter achieve a number of significant milestones. In March 2018, RateSetter passed $250 million in loans funded by over 10,000 everyday Australian investors registered to lend on the platform. Additionally, the company completed a $10.5 million fundraising led by private equity investor FiveV Capital and appointed former ING Direct CEO Vaughn Richtor as Chair of the Board.


About RateSetter

RateSetter is a peer-to-peer lender which connects investors with creditworthy borrowers. By using technology to replace traditional middlemen and reduce the costs of providing financial services, RateSetter allows investors and borrowers to transact together and share the benefits.

RateSetter was established in Australia in 2012 and launched to the Australian public in 2014. It is locally owned and managed, and is backed by the RateSetter group, Carsales Limited, Stratton Finance, Five V Capital as well as other investors.

RateSetter was the first Australian peer-to-peer lending platform to open to retail investors.

The RateSetter group was founded in the United Kingdom in 2009 and has grown to become the largest peer-to-peer lender in Europe. To date it has facilitated more than 520,000 loans totalling over $4.0 billion.

RateSetter was the first peer-to-peer lender to introduce a provision fund, in order to help protect investors from borrower late payments or default. As a result of the provision fund, and other risk mitigation strategies, all lenders have received their principal and interest repayments in full.

RateSetter is regulated by ASIC, and holds an Australian financial service licence (number 449176) as well as an Australian credit licence (number 449176). Peer-to-peer lending is not without risk. RateSetter takes its legal and compliance obligations seriously. Please read the Product Disclosure Statement for the RateSetter Lending Platform before deciding to invest.

To find out more about how RateSetter works, or to enquire about lending or borrowing, please visit the RateSetter website at or follow RateSetter on Twitter at @RateSetterAUS.

*RateSetter changed its name to Plenti in August 2020.

Media release, 2018

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