Business Opportunities Weblog

Big Money in Leasing Solar Panels

By on February 15, 2013 in Ideas

Solar Installers

Business Week:

There’s at least one bright spot in the troubled U.S. solar industry. After a plunge in prices sent panel manufacturers reeling, consumer demand for the alternative energy is soaring. That’s a boon for California companies such as SunRun, SolarCity, and Sungevity. These startups are buying panels at depressed prices and leasing them to homeowners at little or no up-front cost.

By teaming up with lenders such as Bank of America and U.S. Bancorp and taking advantage of a federal tax credit for renewable energy, installers can bring down the costs of panels, which for a home typically run between $30,000 to $40,000, and help consumers and businesses reduce the use of fossil fuels. Their success is helping revive the solar industry, which gained notoriety last year from the collapse of panel maker Solyndra. “The price of solar is coming down even faster than anyone expected, so who benefits? The consumer benefits,” says Steve Vassallo, a general partner at Foundation Capital, which is an investor in SunRun.

The residential market for solar is still nascent, with less than 0.1 percent of U.S. homes outfitted with panels. That number could climb to 2.4 percent by 2020, estimates Bloomberg New Energy Finance. Prices for solar cells fell 51 percent in 2011, to 88¢ a watt, according to data compiled by Bloomberg.

Photo by Elena Elisseeva/ShutterStock.

leasing solar

Business Opportunities Weblog editor and publisher Dane Carlson lives in the Sierra Nevada mountains of California, just 15 miles from Yosemite National Park. He accidentally became a professional blogger in 2001. He has added 12,203 posts to the site.

Another Idea: How to Start a Consumer Researcher Business

  • http://www.solartecusa.com Joe Eric

    Happy to hear about the solar panels for lease which helps the people for their irregular usage of panels for generation of heat as well as solar energy in terms of electricity. Both governmental and non-governmental markets use this concept of solar panels for lease……………

Today's Posts