Barcelona City Council's public company Tersa launched a crowdlending campaign to fund the construction of a photovoltaic system at the Convent Sant Agustí civic centre.

The campaign, the first with these features, used the Ecrowd! platform, a specialist in this type of funding, and managed to raise 105,000 euros in under two weeks to fund the construction of the photovoltaic system.

The system has an output of 32kWp and will generate an annual total of 38,880kWh of electricity (the equivalent of 17 households’ power consumption), which will be used for the building's own consumption. The system is expected to save a total of 14,700 kg of CO2eq of greenhouse gas emissions annually.

What is crowdlending?

The formula chosen, crowdlending, enables citizens to lend money and gradually get it back with interest. Crowdlending is an innovative form of collective loan where, in contrast to crowdfunding, the money contributed is returned.

In this case, citizens investing money to fund the solar rooftop at the Convent Sant Agustí will get their money back at a nominal annual interest rate of 0.95% (of capital not returned) in six-monthly instalments of capital and interest which they will receive over a five-year period. The minimum loan that can be given for taking part in the campaign is € 50 and the maximum is € 3,000.

This crowdlending campaign is part of Barcelona’s programme for promoting the generation of solar power, whose goal is to boost the number of renewable-energy systems in the city on both public and private rooftops, involving not just the local authority but also individuals, private enterprises and other groups to make it possible between them.