In 2010, Richard Turner – founder and CEO of solar installation company Zen Home Energy Systems – was recognised as the Ernst & Young Entrepreneur Of The Year for South Australia and the Central Region after he grew his company by 600 per cent in five years. Adrian Ferraretto, founder of Solar Shop Australia was featured on the 2010 Business Review Weekly (BRW) Young Rich List, as head of a company that installed approximately 30 megawatts of solar energy in ten years, and solar hot water company Apricus Australia was ranked seventh in the 2010 BRW Fast 100 List in recognition of its growth by 175 per cent in three years.

EcoGeneration spoke with representatives from each of these companies to discover the key to their solar success.

Zen Home Energy Systems aims for 300 per cent growth in 2012

Zen Home Energy Systems (ZEN) was established as a Renewable Energy research and development company in 2004 and launched its range of ZEN Home Energy Systems in 2007. ZEN employs over 30 staff at its Adelaide head office and supports a network of more than 200 installers and retail sales staff located across Australia. EcoGeneration asked Richard Turner, founder and CEO of ZEN, how he took it from a start-up to one of the most widely recognised solar companies in the nation.

What are some of the strategies ZEN has engaged to ensure its success?

We have formed positive relationships with the local government association in South Australia, and regional and metropolitan councils and shires across Australia. We’ve also expanded beyond residential with a growing commercial division that specialises in large scale rooftop dual-axis solar trackers of grid and micro-grid systems, including at Monarto Zoo in South Australia. Our solar training academy ensures all of our installers, technical sales representatives and customer service staff provide an accurate and high level of consistent service.

How important have federal, state and local government solar incentives been to the growth of ZEN Homes?

Government incentives have been important to help establish the solar energy industry in Australia. ZEN is now well established, and customers are not drawn to our services and products because of rebates, but because of our reputation for the highest quality.

Is it feasible that the company continues to grow as rapidly as it has since its 2004 inception?

ZEN plans to achieve 100 per cent growth in 2011 and 300 per cent growth in 2012. While this is fast growth, it will be achieved in a controlled fashion to ensure ZEN is well resourced and able to maintain high-quality service. We are currently embarking on a major national expansion into shopping centres, with plans for 20 metropolitan retail stores and 30 regional franchise operations to open over the next 24 months.

Apricus Australia matches service with growth

Apricus Australia manufactures and distributes evacuated tube technology solar hot water systems, designed by Michael Humphreys – co-owner of the company. Apricus Australia was founded in 2005, and now has an annual turnover of $20 million. EcoGeneration spoke to Chris Taylor, Managing Director of the company about Apricus Australia’s swift ascent up the solar ladder.

When you started the company, did you expect it to grow so rapidly?

I was always confident Apricus Australia would be successful, but to be honest the rate at which we started to grow exceeded my expectations.

I’ve always been careful to make sure our ability to serve our customers has never been outstripped by our growth. We still have less than 40 staff and they’re the best people for their jobs with a real commitment to quality and sustainable energy.

Why do you think Apricus Australia has been so successful?

My approach was to launch the product initially into regional areas, working on the ground to form partnerships with local installers or retailers I thought were really committed to quality and their local community.

My early focus was in northern New South Wales. I kept overheads down, worked from my house and focussed on maintaining customer relationships while building the business with dynamic, highly-motivated staff with lots of energy.

The other thing we did from the start was to devote 20 per cent of the business focus to innovation. We have in-house research and development staff because if you don’t innovate, you don’t move forward.

How important have federal, state and local government solar incentives been to the success of Apricus Australia?

Government incentives lower the cost of entry for householders moving to sustainable energy for their hot water, but aren’t the biggest driver for our business.

What is coming up for Apricus Australia in the next twelve months?

Our aim for the next twelve months is to keep building on what we’re doing and stay focussed on quality and our relationships with our resellers. We’re expecting to see a lot of activity in the solar hot water market as people become aware of the mandated national phase-out of electric systems from the end of 2011. On the installation side, we’re hoping other states will follow Queensland’s lead and put a greater focus on education and improving professional standards.

Solar Shop Australia builds on strong management

Solar Shop Australia was founded just over ten years ago by Adrian Ferraretto. Originally comprising of six employees, Solar Shop Australia now has 14 retail stores located around Australia and employs more than 250 people. Since its inception, Solar Shop Australia has installed in excess of half a million solar panels on residential and commercial premises across Australia. EcoGeneration asked Solar Shop Australia CEO Tony Thornton what sets this company apart from others.

Why do you think Solar Shop has been so successful?

Solar Shop Australia has the strongest management cadre that I have had the pleasure of working with. An exceptional culture of performance and ‘whatever it takes attitude’ pervades our teams and we have had the luxury of great people wanting to join the team at all levels of the organization for several years. That, plus an obscene amount of hard work. There are no shortcuts or secrets in growing from a small, regional player to the leading provider with a nationwide network of retail outlets, the Southern Hemisphere’s largest commercial photovoltaic (PV) installation division, and starting up Australia’s first solar finance company, Sunworks Finance. The word entrepreneurial gets used quite a bit but I believe we are simply good business people who have a decent idea from time to time and follow it through.

How important have federal, state and local government solar incentives been to the growth of Solar Shop?

Critical. The solar industry, like many embryonic industries, requires near-term support from the government to level the playing field between established and entrenched players in the energy sector if significant change is to occur in the time-frame required. The coal-fired electricity markets have received billions of dollars in support over the years and continue to receive government funding. Naturally the solar industry requires incentives that allow the PV industry to gain traction so that economies of scale can be reached. Within the next five years experts predict that grid parity will be reached, allowing solar subsidies to be reduced significantly or eliminated.

What is coming up for Solar Shop in the next twelve months?

Solar Shop Australia has begun a significant expansion of its retail footprint across Australia to embed our branch network throughout the communities that we service. On the large scale, power plant side, our commercial solar division has contracted multiple megawatts.