Getting their own solar power is something a lot of homeowners would like to do, but many lose interest when they see the upfront installation cost.
Enter SunRun, an up-and-coming San Francisco–based company that’s partnering with New Resource Bank to make residential solar systems affordable. SunRun’s pioneering business model offers homeowners power purchase agreements (PPAs), which let them get solar at a reduced or no upfront cost. They pay only a monthly bill for electricity use; SunRun installs and maintains the systems.
New Resource helps SunRun efficiently deliver solar power as a service through short-term financing arrangements.
“For us to help, team members like Rachel Johnson had to really dive into the extensive financial and operational details of the PPA programs to boil down our financing to a standard approach,” says New Resource Vice Chairman Peter Liu. “Our bankers love to help build markets for green products, so they enjoy learning the details.”
“New Resource is an important partner to SunRun,” says SunRun CEO Edward Fenster. “They were able to understand the complexities of financing residential solar projects in order to help us achieve capital efficiencies.”
Solar expertise runs deep
Liu notes that New Resource is no stranger to solar. The bank also provides solar home equity loans directly to consumers and serves technology innovators, large-scale manufacturers, and integrators (installers). Customers and partners include Borrego Solar, Next Energy, REC Solar, Solaria, SunPower, and Tioga Energy.
“We know the technology,” Liu says. “We know the government incentives, both local and federal. We know how solar system integration works with utilities. We know the financeability of PPAs.”
Solar CD provides double benefit
Another way New Resource supports solar energy is through its popular Solar CD, which provides a double benefit: customers earn interest while providing funding for solar projects. “It’s pretty holistic,” says New Resource CEO Vince Siciliano. “With this CD, our personal banking clients can provide matching funding to put solar systems on roofs and help deliver clean energy resources.”