SolarCity and Direct Energy create US$124 million solar investment fund

September 11, 2013
Facebook
Twitter
LinkedIn
Reddit
Email

Commercial and industrial customers of US energy and energy services retailer Direct Energy will soon be able to utilise solar power at ‘little or no upfront cost’, following an agreement the company has signed with PV energy services provider SolarCity.

The two companies have created a direct investment fund capable of financing up to US$124 million in solar projects, including US$50 million from Direct Energy.

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

Direct Energy customers joining the scheme will be able to choose from a range of plans, with the package offered expected to include installation, insurance, repairs and monitoring services. Participation is dependent on eligibility, with companies allowed to either pre-pay for solar power or pay monthly.

SolarCity believes the scheme will make it possible for Direct Energy Business customers to pay less than the current rates for clean power.

Direct Energy, a subsidiary of Centrica, has a customer base spanning 46 US states and includes residential as well as commercial customers. Participating in the scheme will be Direct Energy Business, the division of Direct Energy responsible for 180,000 business customers.

Jimmy Chuang, vice president of structured finance at SolarCity said: “This unique relationship demonstrates how traditional energy companies and renewable energy companies can work together to make clean energy more accessible and affordable. Direct Energy is giving business and industrial customers direct access to cheaper, cleaner energy. SolarCity gains an important new avenue to provide its groundbreaking services to businesses at a lower cost”.

“Solar is a viable opportunity that positions Direct Energy Business as a total energy management service provider for commercial and industrial customers,” added Mike Senff of Direct Energy Business. “Solar complements Direct Energy Business' other product offerings while supporting our customers' corporate sustainability goals.”

In mid-August SolarCity purchased Paramount Solar for US$116.3 million with a combination of stock and cash. The Paramount Solar deal is thought to have gone ahead with a view to SolarCity expanding its share of the residential market. 

Read Next

December 12, 2025
A roundup of three solar PV project financing stories from Australia, Texas and California, with updates from Potentia Energy, Origis Energy and Baywa r.e.  
December 12, 2025
A round-up of news coming from Europe, with IPP Encavis acquiring a 265MW solar PV portfolio in Italy, Iberdrola starting construction on 366MW of solar PV in its home country and IPP Sonnedix signing a renewables supply agreement with a subsidiary of Volkswagen in Spain.
December 12, 2025
India’s flagship solar PV manufacturing incentive has driven “robust growth” in the sector since its launch, but hurdles remain to building a complete domestic supply chain.
December 12, 2025
Solar PV companies in the US are not waiting for guidance from the US Departments of the Treasury or Energy to act regarding Foreign Entity of Concern (FEOC), according to a survey conducted by Crux.
December 12, 2025
US solar PV module prices have stabilised at just over US$0.28/W in the three months to November 2025, according to Anza.
December 11, 2025
The Chinese polysilicon industry has emerged with a new "inventory platform" with a RMB30 billion capital aimed at increasing prices.

Upcoming Events

Upcoming Webinars
December 17, 2025
2pm GMT / 3pm CET
Solar Media Events
February 3, 2026
London, UK
Solar Media Events
March 24, 2026
Dallas, Texas
Solar Media Events
April 15, 2026
Milan, Italy
Solar Media Events
June 16, 2026
Napa, USA