SunEdison has largely focussed on the commercial and utility-scale solar market. However, more recently the solar company has been getting into the residential solar market. Now its launched a new power-purchase agreement (PPA) product across seven U.S. states, will use it’s TerraForm YieldCo to purchase residential systems and partnered with residential solar reseller Evolve Solar.
The company announced the moves earlier this week (May 5), along with an announcement that it purchased LightWing, which provides a platform that connects utilities and retail energy providers, expanding SunEdison’s reach to new consumers. Coupled with the other moves the company is speeding its solar energy expansion into the residential sector.
"By executing on these initiatives, we've enhanced our product portfolio and channel platform to fuel significant growth," said Global General Manager and Senior Vice President of Residential and Small Commercial at SunEdison, Vikas Desai. "With the addition of a new residential PPA product and greatly strengthened channel and sales capabilities, we're now positioned to effectively serve every segment of the residential and small commercial market."
The new residential PPA offering will be financed through a partnership with SunEdison’s indirect subsidiary YieldCo Terraform Power and Morgan Stanley. Morgan Stanley will provide tax-equity financing.
"TerraForm is pleased to support the launch of SunEdison's broader residential solar platform. We look forward to being a long-term owner of these residential assets, which we believe will deliver high quality cash flows and growth to our shareholders from this new market segment," said Carlos Domenech, CEO of TerraForm Power.
Days after the announcement of the new partnership TerraForm also filed with the SEC for a new public offering. The company will use the offering to support SunEdison projects around world, which may include residential projects. TerraForm has aggressively raised funds and expanded its portfolio of renewable energy projects since launching in 2014.
In partnering with Evolve Solar, SunEdison also gains access to a sales force of 250 or more. Under that agreement Evolve Solar will exclusively sell SunEdison’s solar products. The company reaches 40,000 potential consumers each month across 9 states.Tweet