Since 2013, Belvedere has collected solar system data for about 2,800 California non-residential solar projects for which we have quoted financing. In 2020, we quoted financing for 238 solar projects proposed by 74 installers.
Here are some highlights.
- Covid-19 slowed activity. Total quotes were down 35%.
- System prices continue to fall. The median system price dropped about 3% – from $2.71/watt in 2019 to $2.62 in 2020.
- Utility savings improved. Median first year electricity cost savings as a percent of system price increased slightly, almost offsetting the reduction in the energy credit to 26%. Savings are substantially better in PG&E and SDG&E service areas than in SCE territory.
- 79% of prospects requested that we quote a lease or both lease and loan. Since a lease is suitable for companies that don’t have a high enough tax bill to use the energy credit, proposing only a cash purchase with tax benefits the customer may not be able to use risks overstating the value of the project.
- Only 21% of quotes were for non-profit or government projects. Nevertheless, PPA isn’t the only answer for these prospects. Belvedere’s solar analysis model can show you the difference.
The full, 24-page report breaks down the data by system parameters, financing structures and activity by utility. Contact us for a copy of the report.