Axon Energy Partnership
Become a member to support this project.
Find out how by visiting our Co-op members page and apply to become a member of the Pingala Co-op.
The Pingala Co-op and Axon Energy have entered into an agreement that both how will allow for more community solar installations to be installed more quickly and with less administration.
To do this, the Pingala Co-op has pre-approved a loan facility to Axon Energy for $120,000 that Axon can draw down on any time they have a new project ready to be installed.
In order to draw down on this amount they need to provide the Pingala Co-op with key design and approval documentation that shows what and where the installation is and that Axon has all the necessary permissions to complete the installation.
Axon Energy is encouraged to do a minimum amount of installations each quarter in return for a discount on the interest rate on the loan.
The combination of more projects and an easier approval process will mean that together Pingala Co-op and Axon Energy hope to have over $150,000 worth of new installations by the end of 2023.
Who is Axon Energy
Axon Energy is a new company started by Dr Alexander Slade (LinkedIn) and Rommel Macaraeg (LinkedIn). Their goal is to lead the local economy’s transition toward 100% clean energy. Starting with rented properties, they want to open the market for businesses that have previously been locked out of solar. Almost no small and medium enterprises (SMEs) who are renting can justify an outright purchase of a solar system. Success of their model would accelerate the adoption of high-quality solar technologies on commercial buildings, help grow the solar industry, improve its reputation, create more local jobs and increase community engagement by supporting many local entrepreneurs in Western Sydney and beyond.
Axon Energy offers a no upfront cost power purchase agreement (PPAs) with businesses for the energy that is produced by the electricity generate by solar panels in the roof of the premises that Axon Energy
Benefits to Co-op Members
New and existing members can expect to have all the rights and responsibilities laid out in the Pingala Co-op’s Disclosure Statement.
The partnership will allow members to grow their involvement in the Pingala Co-op and purchase more shares to support more projects. We look forward to seeing new members join our organisation as well as having existing members become a bigger part of our work.
Pingala Co-op members are brought together in their shared interest in seeing more solar on roofs and having a direct stake in Australia’s energy system. We encourage members to be energy citizens and become more aware of what is happening in different parts of the electricity network.
Shareholders vote on Co-op business, can nominate as directors and are encouraged to contribute to the strategies of the Pingala Co-op.
Pingala Co-op issues a collective dividend which is the same for all shareholders, typically this is around 5% and is calculated annually at the end of the financial year.
Benefits to Pingala Co-op
The Pingala Co-op benefits from this agreement in 2 ways; a pipeline of projects that will see more solar on more roofs, and an opportunity for medium term growth to extend our reach and capacity.
A pipeline of projects
- Axon Energy is incentivized to bring new projects to the Pingala Co-op.
- Axon Energy’s business model means that many of these systems will go on business that may not otherwise have installed solar.
- The Pingala Co-op know how many projects it will be doing and when.
- Members will have more options to get involved with different projects.
Opportunity for growth
- The partnership is designed to grow projects by $150,000 in the first year.
- The Pingala Co-op is now able to open up membership applications to more people and grow its membership base.
- Axon Energy will focus on the business development and maintenance of the solar systems leaving the Pingala Co-op the opportunity to focus on membership and community engagement.
We have already completed independent projects together with Axon Energy ahead of the partnership and we are working together as we speak on several more.
Who is Pingala?
What is a Co-operative?
What does it mean to become a member?
How many shares can I buy?
Can I purchase more than $1,000 of shares? Can I purchase less than $250 of shares?
Unfortunately, we can’t offer smaller investment sizes than $250 as it becomes too expensive to administer our share register when we have too many small shareholders.
What is the rate of return on my investment? When are dividends paid and how often?
What happens after the 10 year project life is over?
What if I need to access my capital? Can I sell my shares? How soon can I sell them?
- Finding another member to buy your shares. This is the preferred method of selling your shares. You can either find a buyer yourself or you can use the Pingala Shares for Sale register. People who are interested in purchasing shares can view the register and request Pingala to put them in touch with the prospective seller.
- Pingala repurchase of shares. This is recommended for situations where a buyer cannot be found and there are urgent reasons for selling shares. You can apply to the Co-operative to repurchase your shares and in most circumstances this will be possible. The Co-operative is not obliged to repurchase shares if it will be detrimental to the Co-operative.
Can I complete a joint application?
You may register a trust or company as a member, but only one member of the trust or company can have voting rights in the Co-op.
How do I pay for the shares?
For this you will receive a membership invoice with payment details. You may pay by card or EFT. If paying by bank transfer, you must add your full name in the description field of the transfer.
Will I be able to contact someone if I have a question about my shares?
Will the dividends be franked?
Rules – our constitution
Co-operatives have a constitution just like companies do, but they’re called Rules. The Rules set out the ways in which the Co-operative operates, the obligations of members, the purpose of the organisation and the way in which meetings are run and so forth.
Disclosure Statement – a bit like a prospectus
Pingala Co-operative is a for-profit entity. Technically this is what is known as a distributing co-operative. That’s just a fancy way of saying we distribute surplus/profit to our shareholders. So, we’re a for-profit Co-op.
Just like a company needing to issue a prospectus if they make a public offer to investors, our Co-operative must always have an up-to-date Disclosure Statement that outlines the financial involvement and liability of member-investors as well as the overall prospects of the organisation into the future.
This is your main document to determine what sort of investment you’ll be making if you were to become a member and buy shares. The document includes a section on risk, which you should pay particular attention to (although all parts of the document need your attention, so don’t just read the risk section!)
You can find the Rules and Disclosure Statement on our Co-op Members page.