Solar power residential installations are getting yet another financial boost today as Pacific Gas & Electric (PG&E), a utility in California, and SunRun, a provider of home solar financing, announced a financial partnership totaling $100 million. This investment infusion is a tax equity project financing agreement that will fund SunRun’s installation of more than 3,500 new home solar installations across the nation.
PG&E said this agreement, the largest residential solar financing vehicle established to date, is being funded through its Pacific Energy Capital non-utility subsidiary. It will fund solar systems, mostly likely for this year and in 2011, in at least five states, including Arizona, California, Colorado, Massachusetts, and New Jersey. It is said SunRun currently has over 4,000 customers in those states and that it now partners with 15 leading solar integrators that are located across the country and that collectively employ more than 2,500 solar workers.
SunRun, who will manage the projects, will receive payments from its solar customers along with Pacific Energy Capital. The company also recently got other funding in December 2009 via a project finance fund with U.S. Bancorp. It says it is currently growing 500 percent year over year.
“As a company in a region where distributed solar is becoming increasingly important, we are focused on continuing to take advantage of smart, strategic opportunities that enable us to acquire an in-depth understanding of this market and these technologies,” said Brian Steel, Senior Director of Corporate Strategy and Development at PG&E Corporation, in a statement. “Our investment with SunRun reflects this ongoing effort. Additionally, it allows us to continue supporting the advance of renewable energy, which is a priority for our company, utility customers and policymakers.”