Pacific Venture Capital LLC, a subsidiary of Pacific Gas & Electric (PG&E) Corp., and SolarCity Corp. have announced $60 million in tax-equity financing for solar installations for U.S. homes and businesses.
The investment, funded by PG&E shareholders, is expected to allow SolarCity to install more than 1,000 solar systems for U.S. homeowners and businesses via the company's SolarLease and power purchase agreement financing options.
Under the terms of the agreement, in return for providing the upfront investment needed for the new systems, Pacific Venture Capital will receive lease revenues from SolarCity customers, along with the benefits of federal investment tax credits and local rebates for the solar energy projects. The transaction represents the first such tax equity financing investment by a utility holding company and the first such collaboration between a utility holding company and a solar power provider, according to the companies.
The solar systems funded under the agreement are expected to be installed in 2010, predominantly in California, with some in Arizona and Colorado.
SOURCE: SolarCity Corp.