Finance
Investment Companies
A BREAKTHROUGH IN SOLAR FINANCE
During 2010, D-SUN's first Solar Energy Investment Company (SEIC), sunONE, provided the equity financing portion for small to mid-sized commercial solar projects across four states in the Mid-Atlantic with an array capacity ranging from 50 kW to 200 kW per site. As one of the first investment vehicles of its kind, sunONE broke new ground in solar finance. sunONE was fully commissioned by February 2011.
D-SUN’s SEICs generate revenue from long-term power sales to creditworthy host customers and from trading renewable energy credits with aggregators and obligated parties. These revenues are supplemented by a combination of tax and depreciation advantage and other state and federal support to deliver above-market returns to investors.
sunONE is the first of three SEICs that D-SUN will deploy between 2010 and 2015. sunTWO provide capital for PV projects in the 1 MW+ range and will be fully commissioned by 2012. sunREV will allow D-SUN to continue serving small-to-medium commerical PV through the end of 2013.
MEETING A GROWING DEMAND
The United States is expected to surpass Spain and Germany to become the largest market for photovoltaics in the world by 2012. Much of this growth will occur in the four states where D-SUN has already deployed sunONE and in other states where D-SUN will build sunTWO and sunTHREE. The four originally targeted states have set mandatory minimums for solar power production, which will result in compound annual growth rates of 45 - 81%. D-SUN’s proprietary market share strategy takes full advantage of these state policies, as well as its exclusive project pipeline and low cost of capital structures.
