The nation’s largest residential solar company is opening a Vermont branch. SolarCity uses a business model it hopes will attract customers who might not have considered going solar.
The company will occupy a 12,000-square-foot warehouse space in South Burlington, where it was busy setting up shop last week.
Regional Vice President Lee Keshishian says the move is part of the California company’s East Coast growth spurt. SolarCity recently moved into New Hampshire and Massachusetts, and Keshishian says Vermont is particularly attractive to the company.
“I think Vermont is in a unique situation, in that it has some of the best solar policies," he says. "It’s a very progressive market on solar. We feel like it’s a natural place for us, as we’re expanding."
SolarCity sells very few residential solar systems; instead, it leases systems to homeowners, who pay the company on a monthly basis.
The payments are less than the monthly electric bill. SolarCity maintains the system and guarantees it will produce a certain amount of power.
The company receives any incentives or rebates that the system might qualify for.
Keshishian says the lease approach makes solar affordable for a broader range of homeowners.
"[Vermont] has some of the best solar policies. It's a very progressive market on solar. We feel like it's a natural place for us, as we're expanding." - Lee Keshishian, SolarCity regional vice president
“What it’s done is, it's opened it up to middle class and the average homeowner,” he says.
Keshishian says the company has already hung out the help wanted sign at its website for installation and sales people.
“Our expectations are probably to hire a couple of dozen people here in a very short period of time. Then as the sales process continues, we’ll continue to add on,” he says.
Keshishian says SolarCity has done more than 250,000 installations nationally and hopes to be installing 100 systems a month in Vermont.
Vermont’s largest residential solar installer is SunCommon, in Waterbury Center, which sells and installs both residential and community solar projects in most areas of the state.
Community-based projects enable people who have siting problems or own structures that can’t accommodate panels to take advantage of solar.
"If there are different financial models, it can really help that potential customer, that Vermonter, to go solar." - Gabrielle Stebbins, Renewable Energy Vermont executive director
One reason solar systems are generally purchased rather than leased in Vermont is that banks and other lenders are more friendly to the idea than they are in many other states.
A generous federal solar rebate program, set to expire in about 18 months, also helps.
Gabrielle Stebbins, executive director of Renewable Energy Vermont, says its good to see SolarCity coming to the state.
She says the more options there are for consumers, the better.
“If there are different financial models, it can really help that potential customer, that Vermonter, to go solar,” says Stebbins.
SolarCity has done more than 250,000 installations nationally and hopes to be installing 100 systems a month in Vermont. It will serve the area in a one-hour drive from its South Burlington warehouse.
Stebbins says the biggest adjustment for SolarCity may be adapting to Vermont's weather.
“If a company is used to doing installs 12 months a year, a new business experience for them is going to be to not do as many projects for the winter season and part of the spring season,” she says.
SolarCity plans to begin installing systems later this year, although they will not be available in much of the state.
The company will serve the area within a one-hour drive of its South Burlington warehouse.
