Current:Home > ScamsSolarCity Aims to Power Nation’s Smaller Businesses-VaTradeCoin
SolarCity Aims to Power Nation’s Smaller Businesses
lotradecoin fiat currency support View Date:2024-12-25 23:38:34
In a move to accelerate the spread of solar power in the United States, the nation’s largest residential solar installer launched a new offering Tuesday aimed at the underserved small- and medium-sized business market.
SolarCity has grown quickly with a boost from new financing options for residential installations that have removed or significantly lowered the up-front costs. Now the company hopes to do the same thing for smaller commercial customers.
SolarCity said it will start in its home state of California, targeting businesses with 5,000 to 50,000 square feet of available flat roof space for solar systems that will generate between 30 and 500 kilowatts of power at a cost 5 to 20 percent below California market rates. The business would have a fixed lease payment over the life of the 20-year contract.
The company eventually hopes to expand beyond California and offer service to a market that includes more than 28 million small and medium-sized businesses nationwide.
For years, that market has largely been left to smaller, local solar companies because costs and financing challenges made the market unattractive for the national solar installers such as SolarCity and SunEdison, according to SolarCity chief executive officer Lyndon Rive. The company’s chairman is Elon Musk, founder of Paypal and Tesla, the electric car and renewable energy company.
For its large business and government installations, SolarCity worked with subcontractors to perform the work—which is too expensive for smaller commercial projects, according to Rive.
That and limited access to credit to finance the work has caused the smaller business market to lag behind installation rates for residential and corporate customers, said Rive, who noted, “We think we’ve cracked the nut on both of those.”
Rive said SolarCity will cut the cost of serving that market 30 percent by using its own crews and technology to speed up installation and fit more solar panels on each roof. In California, solar leasing customers can now tap into the state’s Property Assessed Clean Energy (PACE) program, which allows businesses and residents investing in energy efficiency and renewable energy to add the costs onto property tax bills as an assessment. Late last year, California expanded the program to include leased solar transactions too.
The PACE program allows customers to begin saving on energy bills without paying the full cost up front. The energy savings is meant to more than offset the larger property tax bills. The payments can also be tax deductible along with the property taxes.
Eventually, SolarCity expects small- and medium-sized businesses to be the second-largest market for rooftop solar. But, Rive said, the market “needs time to mature.”
The announcement comes a day before the company releases its second-quarter earnings, which will show that the fast-growing company is not yet profitable. Last quarter, SolarCity posted a net loss of $147 million.
The company, founded in 2006, employs 12,000 and operates in 18 states. It expects to install enough solar panels to 1 gigawatt of power this year.
veryGood! (7612)
Related
- What was 2024's best movie? From 'The Substance' to 'Conclave,' our top 10
- How to strengthen your pelvic floor, according to an expert
- Disney superfan dies after running Disneyland half marathon on triple-digit day
- Election 2024 Latest: Harris concentrates on Pennsylvania while Trump stumps in the West
- She grew up in an Arizona church community. Now, she claims it was actually a religious cult.
- How to strengthen your pelvic floor, according to an expert
- Norfolk Southern Alan Shaw axed as CEO after inappropriate employee relationship revealed
- Teen Mom's Amber Portwood Slams Accusation She Murdered Ex-Fiancé Gary Wayt
- Beyoncé will perform halftime during NFL Christmas Day Game: Here's what to know
- 3-year-old dies after falling into neighbor's septic tank in Washington state
Ranking
- See Mariah Carey and Nick Cannon's Twins Monroe and Moroccan Gift Her Flowers Onstage
- Tua Tagovailoa is dealing with another concussion. What we know and what happens next
- Jon Bon Jovi helps woman in crisis off bridge ledge in Nashville
- How Today’s Craig Melvin Is Honoring Late Brother Lawrence
- We can't get excited about 'Kraven the Hunter.' Don't blame superhero fatigue.
- Jill Biden and the defense chief visit an Alabama base to highlight expanded military benefits
- Tua Tagovailoa is dealing with another concussion. What we know and what happens next
- Actor James Hollcroft Found Dead at 26
Recommendation
-
Luigi Mangione Case: Why McDonald's Employee Who Reported Him Might Not Get $60,000 Reward
-
This Beloved Real Housewives of Miami Star Is Leaving the Show
-
Montana miner to lay off hundreds due to declining palladium prices
-
Alaska high court lets man serving a 20-year sentence remain in US House race
-
Mystery drones are swarming New Jersey skies, but can you shoot them down?
-
Disney, Marvel, and Star Wars Items That Will Sell Out Soon: A Collector's Guide
-
How to strengthen your pelvic floor, according to an expert
-
Remains found in Phoenix are identified as an autistic teen missing for 5 months