Insights Newsletter #8
Want the latest solar updates? Read on to catch up on news, market trends, & more.
Happy Friday!
Welcome to the latest edition of the Solar Business Insights bi-weekly newsletter! We’re happy you’re here.
Stay up to date on the latest solar market trends, technology, policy updates, strategies, and more. We research 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 starts with a question with answers from the solar business community.
Question of the week:
Q: How can I determine which panels and inverters are eligible for the 10% domestic content adder?
A: Products must be manufactured domestically and you must apply with the manufacturer details to receive the credit.
Want to make a real impact on the solar business community? Share your feedback, thoughts, and ideas with the SBI team today. Your valuable input can help us continue to improve and grow.
Solar Energy News
Green energy lender, Sunlight Financial filed for voluntary bankruptcy at the end of October but was acquired by a group of established investors in the solar industry.
What does this mean?
Innovation and Development: A well-funded and restructured Sunlight Financial may have the resources to invest in innovative financing solutions and technologies that can drive advancements in the solar energy space. This could lead to more flexible and accessible financing options for solar installations.
Stability and Trust: The restructuring and the company's commitment to maintaining relationships with trade creditors and suppliers without interruption can enhance stability and trust in the industry. This is important for solar installation companies relying on these financial services.
Investor Confidence: The involvement of a consortium of established investors can boost investor confidence in the solar energy sector. This may attract more investment in solar-related businesses, leading to increased opportunities for growth and development.
Sunlight Financial's acquisition and restructuring can positively impact the solar business sector by promoting growth, competition, innovation, and stability. It may also enhance offerings for residential customers interested in adopting solar energy solutions. However, the exact outcomes will depend on the company's strategies and how it integrates with the broader solar industry.
Market Trends
The trends in solar storage technology are set to shape the future of the energy infrastructure as the world transitions to cleaner and more renewable energy sources. Several key factors are influencing this transition:
Inflation Reduction Act (IRA): The IRA introduces investment tax credits for standalone energy storage technology with a minimum capacity of 3 kWh, benefiting various energy storage technologies, including batteries. It also supports clean energy manufacturing to increase the supply and lower the cost of solar and storage technologies.
State and Utility Incentives: State government incentives are driving significant growth in the solar storage market, making it more attractive for homeowners and businesses to invest in solar storage systems. These incentives are expected to lead to increased demand, fostering innovation and reducing costs in the industry.
State-Level Net Metering Reforms and Utility Rate Increases: Net metering policies and utility rate changes significantly impact the solar storage market. Favorable policies can drive adoption, while high electricity prices and dynamic pricing encourage energy storage adoption. Changes in net metering policies can have both positive and negative effects on the market.
Extreme Weather Events: The increasing frequency of extreme weather events highlights the importance of energy storage solutions. Battery storage systems can provide backup power during disruptions to solar power generation, making them essential for grid stability and resilience in the face of climate change.
Installer Education Gap: Installers need to adapt to the evolving energy storage landscape and acquire the skills and knowledge necessary to effectively sell, design, install, maintain, and optimize energy storage systems. They will also need to help customers navigate incentive programs, utility rates, and backup options.
The combination of these factors is likely to lead to new ideas and improvements in how we store solar energy, which should make it cheaper and available to more people.
There's also a growing trend where companies that provide electricity can manage the energy stored in many homes, even though homeowners still own the equipment. This suggests that the solar energy storage market has a bright future in 2024.
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Solar Innovation
In past newsletters, we talked about floating solar, and now we have solar-powered boats. A former Tesla executive, John Vo introduced a 30-foot electric boat with a solar canopy to provide shade and absorb sunlight.
Here are key features and goals:
221-kilowatt-hour battery for 8 hours of runtime
800 horsepower dual motor for speed up to 45 mph
Total cost = $300,000
Vo justifies the cost by highlighting its advanced technology and features, but is much more expensive than most gas-powered boats on the market.
Regulatory Policy & Incentive Updates
California: California utility regulators are postponing a decision on a controversial plan to regulate solar energy on properties with multiple electric meters for the third time. The plan involves revising Virtual Net Energy Metering (VNEM) rules as part of a legislatively mandated review of the state's solar tariffs. This review has already resulted in reduced value for electricity sold back to the grid by residents with new solar arrays.
The new proposal addresses VNEM rules for properties with more than one electric meter, eliminating the option to offset electricity use during the daytime and sell excess electricity back to utility companies.
The delay suggests changes are likely, with an emphasis on low-income renters and community solar programs. The state's investor-owned utilities argue that developing a new VNEM system would be complicated and expensive.
Solar Industry Job Search
Interested in a new opportunity in the solar industry? Make a profile on Waivolt, the premier platform connecting talent with solar companies. Create your profile, highlight your skills and experience, and unlock your next solar-powered journey.
Are you hiring? Create a profile for your solar business on Waivolt to expand your team and find the perfect candidate.
Upcoming Events & Conferences
November 15: Solar+ Manufacturing Summit
Have a fantastic weekend!
- SBI
The purpose of this newsletter is to stay informed on business in the solar industry. Advice or opinions may be included, but any actions taken are at your own risk. This page includes some referral links, meaning we may earn a commission if you make a purchase, it is not an added cost. By using our referral links, you are helping support Solar Business Insights. Please contact us with any questions.