SolarCity that it will utilise US$1 billion that it raised from a fund that includes an investment from Credit Suisse to set up 300 megawatts of solar rooftop projects in the US.
SolarCity and Credit Suisse finalized the deal in February and began funding the first projects in late March. The fund is expected to finance more than 300 megawatts of new commercial solar projects over the next two years. It will also including investment in battery storage systems for businesses, schools and government organizations across the U.S.
Credit Suisse previously acted as structuring agent and bookrunner for SolarCity’s securitization transactions, and also as structuring agent and administrative agent for the facility to finance the purchase of solar energy systems through SolarCity’s new MyPower loan program.
“We’re thrilled to support SolarCity’s mission to bring clean, affordable solar energy to businesses across the United States,” said Jerry Smith, managing Director at Credit Suisse. “The fund will help more businesses, schools and government organizations save money and help the environment – it’s a win-win scenario. We’re proud to support this progress with our investment.”
The fund was created to finance projects that utilize new SolarCity technologies that make it possible for more businesses and non-profit organizations to pay less for solar electricity than they pay for utility power. These include ZS Peak, a mounting system that can allow SolarCity to reduce commercial project build time from multiple weeks to just a few days, and DemandLogic, an intelligent battery storage system that allows businesses to further reduce energy costs by using stored electricity to reduce peak demand and associated utility demand charges.
“Continuing technology improvements, cost reductions and strong financing support from partners like Credit Suisse are making solar economically attractive to a growing number of businesses across the U.S.,” said Brad Buss, SolarCity’s CFO. “SolarCity has installed more than 1,800 commercial solar projects in 21 states—and we’ve barely scratched the surface of the addressable market.”