Munich Startup: Solation enables tenants to get electricity directly from their own roof – how does it work exactly?
Sebastian Hugl, Solation: A good example of this is our current installation in downtown Munich. A long-established family business with several rental properties commissioned us to provide affordable solar power to its tenants. we Solation Energy. The electricity generated on the roof can be used directly by the residents. Every tenant automatically has the app and can see in real time how much locally generated energy they are currently using. This gives residents one more reason to rejoice in Munich's high number of hours of sunshine, because for them, it means affordable green electricity.
The landlords have nothing to do with this issue; instead, they receive the values for their electricity bill at the end of the year. This is done via the utility bill and is integrated into this process. The installation gradually pays for itself through the sale of the electricity to their landlords. A win-win situation for both sides.
Munich Startup: This also adds a social dimension to the topic of tenant electricity – for example, for subsidized housing, so-called social housing. Are you already seeing interest from the providers in this area? Are you approaching them directly about this?
Sebastian Hugl: Yes, we're already seeing initial interest from social institutions and are discussing initial projects in this area. I'm incredibly pleased that we're well on our way to making green electricity available to financially disadvantaged sections of the population, thus bucking the trend in the renewable energy sector.
That's why tenant electricity makes so much sense: financially disadvantaged people can become more independent from the big energy companies and save money at the same time.
“For families, pensioners or even students with limited financial means, this makes a huge difference.”
In Germany, an average of eight percent of a household's income goes toward energy and electricity costs. With 3,500 kWh of electricity consumption per year, a household without solar power pays approximately €1,141. With Solation Energy, these costs could be reduced to €770 to €875. This makes a huge difference, especially for families, retirees, or even students with limited financial resources. I can still remember how important it was to keep utility costs low in our student apartment.
Munich Startup: Do you see any other ways to create social impact?
Sebastian Hugl: Yes, we see several approaches and have been researching how we can make electricity donatable for some time. Technically, it's simple, but regulatory-wise, it's extremely complicated – where tax law meets energy law. All very interesting topics.
Currently, the biggest social lever is that we our business model In the long term, they can provide tenants with electricity at up to 30 percent lower prices, while landlords still enjoy a good return. This is one of the few situations where there is a real intersection between ecology, economy, and social responsibility. At the end of the day, there has to be money to be made; otherwise, nothing will change, and the impact will always remain limited.
Munich Startup: What prompted you to take this path?
Sebastian Hugl: Our drive is to make green electricity accessible to everyone – including tenants. We have set ourselves the ambitious goal of supplying one million tenants in Germany with locally produced green electricity by 2030. The emissions saved are equivalent to approximately those of 400,000 cars!
Only since the passage of Solar Package 1 has it been possible for landlords to sell electricity to tenants without requiring landlords to act as energy suppliers. The new legislation makes it significantly easier.
Solation puts its employees at the center
Munich Startup: And what about Solation itself?
Sebastian Hugl: Fundamentally, at Solation, we pursue a corporate management approach that puts our employees first. I believe that companies exist for people, not the other way around. That's why we've introduced several measures at Solation to make us a healthy and fair workplace. I've already written a lot about this on LinkedIn, which you'll find helpful. here You can read and comment as well. But in short: Our employees are people, not cogs in a machine – and we want to respect that.
Munich Startup: What are your next steps for even more social impact?
Sebastian Hugl: We hope that, as pioneers, we can supply a large number of tenants with green and affordable electricity in the future, so that access is not only reserved for wealthy homeowners. This way, we not only help the tenants, but of course also the environment.
