) has inked a partnership deal with Conn.-based renewable energy
supplier, Viridian Energy, to provide solar energy directly to
homeowners at discounted rates unlike local utilities'
Founded in 2009, Viridian Energy provides green electricity at
an affordable price. The company offers high-quality renewable
energy that meet or exceed the proposed 2020 federal
environmental goal of 20% renewable energy. The company has a
well known brand and reputation for high quality service.
Currently, the company has more than 230,000 customers in the
Based in San Mateo, Calif., SolarCity is a leading service
solar provider with more than 3,300 employees, 68,000 customers
and more than 400 Megawatts (MWs) deployed. The company plays to
its strength by providing renewable power at a lower rate than
the grid price to residential and commercial markets in the
While SolarCity offers affordable clean energy, it can only be
used during the day. Viridian, on the other hand, allows
consumers to use the energy at any time of the day or night.
Therefore, the deal will help the consumers to get clean energy
whenever they want and at affordable rates.
As per the deal, Viridian will offer SolarCity's solar
products and services to both new and existing customers through
its network of independent contractors. This will help SolarCity
to increase its already large customer base and better compete
with other energy producers like
NRG Energy, Inc.
In return, Viridian Energy will receive a commission from
SolarCity for each sale made through the partnership. The new
solar offering will initially be available to Viridian customers
in New York, New Jersey, Connecticut, Massachusetts, Maryland and
In recent times, the utilization of solar energy is rising
primarily due to its clean nature and a growing awareness among
the masses about its benefits. Also, government incentives and
financing options that lower the cost of solar panel installation
have led to an increase in solar business.
In fact, solar power is currently the only viable choice for
residential consumers seeking an environment-friendly power
alternative. Solar power limits the expenses and losses
associated with transmission and distribution from large-scale
electric plants to end users, unlike other renewable resources,
such as hydroelectricity and wind power.
Recently, SolarCity announced that it will provide solar
electricity to the town of East Bridgewater for 25 years. The new
project will power approximately 350 homes with clean energy at
During the recently reported second quarter, the company's
residential MWs deployed increased 144%; cumulative energy
contracts signed and outstanding increased 105% and cumulative
customers increased 97% from the year-ago quarter.
SolarCity carries a Zacks Rank #3 (Hold).
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