Insights Newsletter #1
By Thomas Keller & Faith Foushee
Happy Friday!
Welcome to the first edition of the Solar Business Insights bi-weekly newsletter! We’re happy you’re here.
Stay informed on the latest solar market trends, technology, policy updates, strategies, and more. We do the research on each topic and gain insights from solar professionals. Our goal is to provide everything you need to know about solar business, all in one place.
Each newsletter will start with a question we asked the solar business community.
Question of the week: How do you stay informed on state specific solar laws and incentives?
“I use the DSIRE database. This has been a very helpful resource over the years and is kept up to date. The site will mostly give summary descriptions of all the incentive measures, so you may have to do additional research. It saves a ton of time finding the information.”
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Have a question, idea, thought, or comment? Send them our way at solarbizinsights@gmail.com.
Solar Market Trends
Enphase Energy experienced a decrease in customer demand resulting in a 12% revenue drop in the U.S. The European market performed much better over the past quarter with a 25% increase. The U.S. solar market has faced challenges due to increased borrowing costs and net metering reforms, like California’s NEM 3.0.
Overall, Enphase Energy’s second quarter revenue fell 2.1%, equalling $711.1 million. The company’s shares decreased 13.4%.
The decline in U.S. solar demand can serve as a warning for other solar businesses in the country. If your solar business is spread globally, consider focusing efforts and budgets in the European market.
Understanding and addressing regulatory and financial challenges of customers is essential to navigating the U.S. solar market effectively.
Regulatory Updates
On July 28, 2023, the Biden-Harris administration proposed a reform to modernize environmental reviews and accelerate the country's clean energy future. They plan to streamline and expedite the review process for clean energy infrastructure projects and encourage community engagement.
What this means: Solar businesses might expect a more efficient approval process for solar installations. The reform is in favor of growth and expansion for solar business.
Virtual public meetings on the proposed rule will be held on August 26 and 30 and September 11 and 21.
Business Strategy
SunCommon is a solar company in Vermont that has differentiated its brand with a mission-based marketing strategy. They have navigated challenges, like labor and material shortages, by aligning marketing efforts with core values and transparency.
For example, SunCommon partnered with the Vermont Green Football Club to create a short film about the team's first season to engage local partners through shared values. As a result, this strategy increased customer loyalty, brand awareness, and business success.
What it means: Consider how your company can get involved in the local community through mission-based marketing strategies. Ensure your company values align with your marketing strategy.
Solar Technology & Innovation
Mango Power announced a new home battery solution, the Mango Power M. It is a lithium-ferro-phosphate battery for homeowners with rooftop solar. It has a 15 kWh capacity with a built-in-hybrid inverter.
The home battery is scalable to 120 kW, which is suitable for commercial use. The company claims battery install takes only four hours and is compatible with new or existing home energy systems. The starting price is about $20,000.
You may see lithium-ferro-phosphate is also listed as lithium iron phosphate, LiFePO4, or LFP. LiFePO4 batteries are known for their extended longevity, heightened ability to handle temperature fluctuations, and improved safety measures. This kind of battery is becoming more popular for solar and electric vehicle batteries. Learn more about the differences between LiFePO4 and lithium-ion batteries.
Solar Financing
News: SunPower Financial is now the exclusive lease and PPA provider for ADT Solar.
ADT Solar is expanding its reach to customers interested in leasing or PPA financing options. The goal of this partnership is to simplify the solar process and provide high-quality customer service, so switching to solar is easier for any budget.
Whether or not solar leases and PPAs are the best bang for your buck is up for debate, but they do make solar accessible to more customers. Providing solar leases and PPAs as a financing option could be what makes or breaks a sale. Please be straightforward with customers about what they are signing in a solar lease or PPA contract.
Upcoming Events & Conferences
There is always room to learn and grow about solar business — that’s why we’re here. In-person and virtual events are fun too.
Aurora Solar is hosting ‘Aurora Empower 2023,’ a free virtual conference on August 16. Sign up to attend and learn about solar design, engineering, sales, management, and much more.
Want your company or update featured in the newsletter? Send us an email.
Have a great weekend!
The purpose of this newsletter is to stay informed on business in the solar industry. Some advice or opinions may be included, but any actions taken are at your own risk.