Solar Company Sungevity Secures $70 million Investment.
Oakland-based residential solar developer Sungevity Inc, had announced on Friday that it had managed to raise over $70 million in new equity round from investors that included German utility E.On SE and the venture capital am of General Electric. The investment made into Sungevity was the very first for E,ON DE:EOAN, Germany’s largest utility, with GE Ventures previously investing in Sungevity.
During the previous week, utility giant NRG Energy Inc. had purchased Roof Diagnostic Solar, expanding their presence in the growing solar powered market. Other utilities have been purchased or invested on solar installers and solar financing companies.
Several investment banks and consultants have commented on grid parity possible arriving throughout most U.S. households in the next couple of years, and much more sooner for those who live in areas with that guzzle down high energy prices. Grid parity is the point in which solar power costs will be around the same as energy from much more conventional sources.
The Rocky Mountain institute had released a study during February, stating that a combination of solar power and storage capabilities could push many customers off the conventional gird, an actual threat that will present dangs for utilities.
According to solar industry data, the average price for a solar panel has declined to 60% since 2011. Leasing rooftop solar has become increased the popularity around residential solar systems, and new financing have made it their goal to help along with ownership.
Sungevity said that the recently acquired money will be used to expand it service to customers“in the growing list of grid parity markets around the world.” That have been making up parts of Australia and Europe, according to reports.
Sungevity mostly offers solar system leases, in which a home owner will pay a small amount of upfront cost and must pay a monthly leasing fees, usually for 20 years. The company had said that its U.S. sales have manged to double since the previous year, and sales within the Netherlands and Australia have rapidly increased.
“E.ON is in the business of servicing energy customers across several countries, and as new, more customer-centric solutions around residential solar arise, we want to provide our customers with the best solutions available,” said Susana Quintana-Plaza, vice president of technology and innovation at E.On. “Our capital investment in Sungevity’s technology and customer-centric platform is a significant part of this.”