Will new financing options trigger an increase in US solar installs?

Posted: February 14, 2014 by mattmargolis24 in Solar News, Uncategorized
Tags: , , ,

Matt Margolis

PV Magazine recently outlined a new study published in the academic journal Energy Policy  that makes the case for photovoltaic systems themselves to be used as collateral for loans aimed at financing solar installations.  Photovoltaic systems (PV system) is an arrangement of components designed to supply usable electric power for a variety of purposes.

This is no different than a bank taking a security interest in your car when you receive your auto loan.  If there is a liquid market for PV systems it makes sense for the financing companies to accept PV systems as collateral.  Using PV systems as collateral could potentially require less money down, as well as drive down the cost of financing.  If this financing method is embraced by US financial institutions it may just add some sunshine and additional profits for US Solar installers.  As profits rise and balance sheets improve, US Solar companies will buy more efficient equipment to help drive down solar power costs further for you and me.

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