Ethical investor Triodos Bank UK has provided a £3 million loan to the Solar for Schools Community Benefit Society (CBS).
The Solar for Schools CBS will use the senior debt, combined with crowdfunding bond financing, to expand its network of solar-powered schools across the UK. It currently owns and operates more than 150 rooftop installations, but has more than 100 schools on its waiting list.
Solar Options for Schools develops and manages the projects for Solar for Schools and works closely with CBS to secure financing.
Furthermore, Solar Options for School provides interactive education for primary and secondary school students to learn more about renewable energy, climate change, green skills and sustainability; these topics are also all linked to science, technology, engineering and mathematics (STEM) subjects.
The collaboration with Triodos Bank was highlighted at a school in East London. Deputy headteacher James Easter said: “With hidden solar panels on the roof, pupils could easily get to school without even noticing. The educational work contributes to a lasting legacy at school and in the community.”
CBS is owned and operated by the schools themselves, allowing them to save on energy bills and help local authorities make progress towards net zero targets. Any excess solar energy generated throughout the community is shared with the schools and they only pay for the electricity they use at a pre-agreed unit price – lower than the grid’s electricity cost – that is fixed for the life of the solar panels .
Robert Schrimpff, co-founder of Solar Options for Schools and volunteer director of CBS, explained: “There are almost 25,000 schools in the UK alone, which would require around £2 billion to install solar on all sensible roofs. install. But individually these schools are far too small to attract cheap project financing.
“Creating a financing structure that meets the needs and constraints of each school, its councils and the Department of Education, whilst meeting the stringent requirements of institutional lenders, is therefore key to unlocking solar energy across the educational domain.”
To date, CBS has raised the majority of its funds through ethical bond offers to individuals, but hopes the partnership with Triodos Bank will unlock even more opportunities for investment from larger lenders.
Triodos Bank says it has lent £85 million to more than 30 community energy projects in its 30 years in the UK. According to head of energy and project finance, Amandine Tetot, the latest financing is in line with the bank’s mission to support projects that make a “meaningful difference” to the environment.
Solar powered schools
Another scheme, funded by Oxford County Council and delivered by Oxford Brookes University and the Low Carbon Hub, provides an £800,000 fund to help county-maintained schools reduce their energy consumption.
Action on Carbon and Energy in Schools (ACES) has been running since June 2023 and in August an interest-free loan of just under £12,000 was awarded to a local primary school.
Previously, Solar for Schools worked with National Grid on a £2.7 million venture to raise money and enable the installation of solar projects worth £10 million in schools. National Grid has pledged to help schools in areas of economic deprivation reach net zero targets.
The educational element of the Solar for Schools program will be of particular importance in the energy transition, as Energy Secretary Ed Miliband seeks to reframe the way solar installations – both rooftop and large-scale projects – are discussed.
As part of National Grid’s solar initiative for schools, students in Birmingham participated in hands-on educational workshops, meetings and a library of STEM-related resources on energy, efficiency, sustainability and economics.
