Singapore's Solar AI Technologies raises $1.5 million to offer rent-to-own solar plans

Monthly rentals for the rent-to-own plans are about SGD200 ($149) per month.

Solar AI Technologies, a start-up based in Singapore, has raised $1.5 million to expand its 'solar-as-a-service' model, which allows customers to rent solar power systems rather than own them outright. The funding round, led by Earth Venture Capital with participation from Undivided Ventures, Investible, and angel investor David Pardo, will be used to expand beyond Singapore, where more than 100 customers have signed up for the platform. The firm offers three payment plans, including 5-year deals with 50% down payments, 10-year plans with no upfront costs, and a traditional upfront purchase plan.

Monthly rentals for the rent-to-own plans are about SGD200 ($149) per month. One of the advantages for customers is that Solar AI covers any maintenance and warranty costs during the term of the contract. Excess solar energy generated is exported to the grid, with users paying for it irrespective of the energy provider used. Solar AI's platform has been successful in Singapore thanks in part to organic searches and referrals, said Bolong Chew, its founder. Singapore's rooftop solar penetration rate is still below 1%, so there is much untapped potential in the region, added Ben Lindsay, investment manager for Investible.