THE CONTEXT

Scottfin Finance, established in 2017 as part of the Halfway Group, initially focused on providing vehicle financing for Halfway customers.

Recognising a growing need in the market for accessible renewable energy financing, Scottfin expanded its product offerings to include funding for solar PV installations for residential and commercial markets.

Scottfin Finance specialises in instalment sale agreements and caters to a diverse clientele across the commercial, light industrial, agricultural and residential sectors in South Africa. The company has established key partnerships with originators such as Ooba and individual EPCs to facilitate a streamlined customer financing process.

THE PROBLEM

As South Africa progresses towards a more reliable energy grid, Scottfin Finance faces a unique challenge. While a stable energy future is a positive development for the nation, the reduced urgency for immediate solar solutions due to fewer power outages could lead to decreased demand for Scottfin's financing products.

Consumers may prioritise other financial goals if they no longer perceive solar energy as an immediate need, potentially viewing it as a luxury rather than the long-term benefits

“We are still positive about the uptake of solar PV systems and related financing options in an environment where load shedding has eased. With more stable grid power, homeowners have the opportunity to embrace solar PV systems as a proactive measure rather than a necessity for energy security,” says Stuart McChesney, CEO of Scottfin Finance.

THE SOLUTION

At Standard Bank, we are committed to enabling financial mobility and supporting sustainable solutions that contribute to a greener future. Leveraging our long-standing relationship with Scottfin, we provided a funding facility that empowers them to finance solar PV and battery energy storage systems across the commercial, light industrial, agricultural and residential markets.

We take pride in having played a pivotal role in the formation of Scottfin’s Vehicle and Asset Finance (VAF) business, offering our first facility to support their growth. Our established relationship with the Halfway Group made this partnership a natural fit. With the guidance of our Natural Resource: Power & Sustainable Solutions division and the dedicated efforts of our deal-making team, we were able to tailor a solution that met the needs of both Scottfin and the local market.

“Partnerships with businesses like Scottfin are mutually enabling in broadening our reach with the objective of supporting a larger overall market of consumers and enterprises, and thereby amplifying our impact on collectively driving a low carbon economy while driving another key adjacent objective of financial inclusion,” says Deerosh Maharaj, executive head: Natural Resources – Power and Sustainable Solutions from Standard Bank.

THE OUTCOME

As the power grid stabilises, homeowners can proactively embrace solar PV systems through affordable financing, enjoying benefits beyond just energy security. Reduced electricity bills, a smaller environmental footprint and enhanced property value are all achievable without the pressure of frequent outages.

This shift allows for a more reasoned approach to solar investment, where long-term value and energy independence take centre stage.

This partnership is a testament to our commitment to decarbonisation, lowering the continent’s carbon footprint and investing in responsible partners that support these ambitions.