It’s no surprise that in less than a decade community solar has become the fastest-growing segment of the solar industry. Anyone who pays a power bill can save money, support their local community, and contribute to the growth of the clean energy industry without having to install equipment or make a big investment.
However, as investors weigh the risks associated with backing the development of new projects, potential subscribers are being assessed at an individual level with a heightened focus on credit worthiness. This practice limits subscriber participation, and most community solar programs today are already set up with additional high barriers to entry. Subscribers are often required to pay two separate bills, fill out extensive paperwork, agree to long-term binding contracts with cancellation fees, and more. This white paper outlines a new model for assessing and managing subscriber risk— one that simultaneously increases subscriber participation, decreases the risk of nonpayment, and will propel the growth of the community solar market.