- Strategies to boost consumer financing amid financial incentives, streamlined processes, and educational campaigns to make solar energy accessible and affordable for all
- Effort between policymakers, industry players, and financial institutions can drive the transition towards a more sustainable energy future
Interview with Mr. Khalid Jamil Ansari — Solar Energy Expert
PAGE: Tell me something about yourself, please:
Khalid Jamil Ansari: With over 35 years of experience in the finance industry, I bring a diverse skill set encompassing Human Resource Management, Banking, Marketing, Administration, Academics, and practical applications. My professional expertise spans project appraisal, human resource management, training and development, general administration, investment banking, general banking operations, marketing, special assets management (SAM), lease financing, and consumer banking.
Throughout my career, I have effectively executed strategies across HR, marketing, legal, and banking domains, ensuring successful outcomes. As a trainer has been trained and certified by the International Finance Corporation (IFC) World Bank Group. I have been training banking staff for over a decade including front liners. My techniques in training are based on deep engagement with participants. My entire ideology is focused on ensuring that participants go back armed with a treasure of knowledge and new skills and a motivated and enthusiastic frame of mind and ready to face new challenges in their professional and personal lives. My training areas include Human Resource Management, Banking, Sales & Marketing,
Leadership Skills, Emotional Skills, Communication, Corporate Etiquette, Grooming, and Performance Management.
Presently, I serve as a consultant at the Institute of Cost and Management Accountants of Pakistan (ICMA), overseeing matters about training and development as well as human resource management functions.
I have a strong command of both written and spoken English and Urdu, along with proficiency in various regional languages. My skill set also includes impressive presentation and interpersonal abilities. I possess the flexibility and drive to lead a team, while also excelling when working independently to meet challenging deadlines.
PAGE: What is your take on investment in solar energy these days?
Khalid Jamil Ansari: Investing in solar energy continues to be a promising option for various reasons. Here are some key points to consider:
Sustainability:Â Solar energy is a renewable resource, meaning it’s virtually inexhaustible and doesn’t produce harmful emissions like fossil fuels. With growing concerns about climate change and environmental degradation, investing in solar helps support a sustainable future.
Cost-effectiveness:Â The cost of solar technology has significantly decreased over the years, making it increasingly competitive with traditional energy sources. Additionally, once solar panels are installed, operational costs are relatively low compared to fossil fuels, as sunlight is free and abundant.
Energy independence:Â Investing in solar energy can enhance energy independence by reducing reliance on imported fossil fuels. This can have economic benefits by stabilising energy costs and reducing vulnerability to geopolitical tensions that affect oil and gas prices.
Technological advancements:Â Ongoing advancements in solar technology, such as improved efficiency and energy storage solutions, continue to enhance the viability and scalability of solar energy systems. These advancements contribute to making solar energy more accessible and attractive for investment.
Government incentives:Â Many governments offer incentives such as tax credits, rebates, and feed-in tariffs to promote solar energy adoption. These incentives can significantly reduce the upfront costs of installing solar systems, making it more financially appealing for investors.
Overall, investing in solar energy aligns with both environmental and economic goals, making it an increasingly attractive option for individuals, businesses, and governments alike. However, as with any investment, thorough research and consideration of factors such as location, regulatory environment, and market trends are essential for making informed decisions.
PAGE: How would you comment on using solar energy over the preceding two years?
Khalid Jamil Ansari: Over the past two years, the use of solar energy has continued to experience significant growth and advancements globally. Here are some key trends and developments:
Continued growth:Â Solar energy installations have expanded rapidly in various regions worldwide. Both residential and commercial installations have seen increased adoption as solar technology becomes more affordable and accessible.
Policy support:Â Many governments have maintained or strengthened their support for solar energy through policies and incentives. This includes initiatives such as renewable energy targets, tax incentives, feed-in tariffs, and regulatory frameworks that encourage solar adoption.
Technological advancements:Â There have been ongoing innovations and improvements in solar technology, particularly in the efficiency and durability of solar panels. Additionally, advancements in energy storage solutions, such as batteries, have enhanced the reliability and flexibility of solar energy systems.
Declining costs:Â The cost of solar energy continues to decline, driven by economies of scale, technological advancements, and increased competition in the solar industry. This has made solar energy increasingly cost-competitive with traditional fossil fuels in many markets.
Corporate commitments:Â Many businesses and corporations have made significant commitments to renewable energy, including solar power. This includes large-scale solar installations to power operations, as well as commitments to sourcing renewable energy for their supply chains.
Resilience and sustainability:Â The resilience and sustainability benefits of solar energy have become more apparent in the face of climate change-related challenges and extreme weather events. Solar energy systems can provide reliable power generation and contribute to reducing greenhouse gas emissions.
Overall, the use of solar energy over the past two years has continued to demonstrate its importance as a key component of the global energy transition towards a more sustainable and resilient future. As technology advances, costs decrease, and policy support strengthens, solar energy is expected to play an increasingly significant role in the global energy landscape.
PAGE: What must be done to encourage consumer financing in solar energy?
Khalid Jamil Ansari: Encouraging consumer financing in solar energy requires a combination of measures aimed at making solar installations more affordable and accessible to homeowners and businesses. Here are some strategies that can help promote consumer financing in solar energy:
Financial incentives:Â Governments can offer financial incentives such as tax credits, rebates, grants, and low-interest loans to offset the upfront costs of installing solar panels. These incentives can make solar energy more affordable and attractive for consumers.
Net Metering and Feed-in Tariffs:Â Implementing net metering policies, where consumers can sell excess electricity generated by their solar panels back to the grid, or feed-in tariffs, where consumers are paid a premium for the renewable energy they generate, can provide financial incentives for investing in solar energy.
Financing programmes:Â Establishing financing programmes specifically tailored to solar energy, such as solar loans or solar leasing arrangements, can help consumers spread out the cost of solar installations over time. These programmes often offer favourable terms and low interest rates, making solar energy more accessible to a wider range of consumers.
Educational campaigns:Â Increasing consumer awareness and understanding of the financial benefits of solar energy through educational campaigns and outreach programmes can help overcome misconceptions and barriers to adoption. Providing clear information on the long-term cost savings and return on investment associated with solar installations can incentivise consumers to consider financing options.
Partnerships with financial institutions:Â Collaborating with banks, credit unions, and other financial institutions to develop specialised loan products or financing packages for solar energy can expand access to financing options for consumers. Offering competitive interest rates and flexible repayment terms can make solar financing more attractive to consumers.
Streamlined permitting and installation processes:Â Simplifying and expediting the permitting and installation processes for solar energy systems can reduce costs and barriers for consumers. This can include standardised permitting procedures, expedited approval processes, and online tools to facilitate project planning and implementation.
By implementing these measures, policymakers, industry stakeholders, and financial institutions can work together to promote consumer financing in solar energy, making renewable energy more accessible and affordable for individuals and businesses alike.
PAGE: What is your standpoint on taxes on the solar system?
Khalid Jamil Ansari: Taxes on solar systems can have both positive and negative implications, depending on how they are structured and implemented. Here are some considerations:
Tax incentives:Â Many governments offer tax incentives to promote the adoption of solar energy, such as investment tax credits (ITCs) or tax deductions for the purchase and installation of solar panels. These incentives can significantly reduce the upfront costs of solar installations, making them more financially feasible for consumers and businesses.
Property tax exemptions:Â Some jurisdictions provide exemptions or reductions in property taxes for properties with solar energy systems. This can help offset any increase in property value due to the addition of solar panels and encourage more widespread adoption of solar energy.
Sales tax exemptions:Â Exempting solar energy equipment from sales taxes can further reduce the cost burden on consumers and incentivise investment in solar systems. This can make solar installations more affordable and accessible to a broader range of individuals and businesses.
Tariffs and import taxes:Â Taxes or tariffs on imported solar panels and related components can increase the cost of solar installations and hinder market growth. In some cases, trade policies aimed at protecting domestic industries may inadvertently raise prices and limit consumer access to affordable solar technology.
Carbon taxes and environmental levies:Â Some jurisdictions impose taxes or levies on carbon emissions or fossil fuel usage, aiming to internalise the environmental costs associated with conventional energy sources. In this context, solar energy systems may indirectly benefit from such policies by offering a clean and sustainable alternative to fossil fuels.
Overall, while taxes on solar systems can present challenges, well-designed tax policies that incentivise investment and promote the adoption of solar energy can play a crucial role in accelerating the transition to a more sustainable energy future. It’s essential for policymakers to carefully balance tax considerations with broader energy and environmental goals to maximise the benefits of solar energy for society as a whole.