KfW-Programme Producing Solar Power

This programme, introduced in 2005, offers low-interest loans for small investments in solar PV generation. Private investors are the main beneficiary as only projects with an overall investment up to EUR 50,000 are supported. 100% of the investment cost can be financed. The Reconstruction Loan Corporation (KfW) runs the programme and provides interest rates between 3.6% and 4.15% p.a. Credit terms may vary between ten and twenty years with a redemption-free initial phase of two to three years. The programme is running successfully. As of July 2006, more than 25,000 loans had been provided, for a total amount of EUR 784 million and a capacity of 199 MWp in photovoltaic systems.