Financing The RESCO Business in Fiji

This report was prepared by Herbert Wade for the Office of the Promotion of Renewable Energy Technologies within the Fiji Department of Energy.

A Renewable Energy Service Company (RESCO) provides renewable energy based electrical services by purchasing renewable energy powered generation systems (such as solar PV systems) and selling the services of those systems to end users with the capital investment amortised over many years in order to keep the ongoing cost to the customer as low as possible. Therefore, the typical RESCO requires a great deal of capital since there usually is the requirement for the RESCO to purchase the renewable energy equipment then receive repayment spread over 10 or more years. The most important asset an individual and small business can have is a good credit history. The most successful businesses always use as much external money as possible to expand their business.