The need for alternate energy resources has forced the investors world over to devote money for research of alternate energy resources. The power of wing has been utilized for milling of cereals since ages but the same potential for electricity generation is now being capped. Similarly the sun energy has been used for drying of products like meat and onion etc but the same is now being converted into electricity by using the photovoltaic cells. One of the companies investing huge amounts in the field of solar energy is SunRun.
History Of SunRun
SunRun is the first ever company in USA that provides solar panel for residential use on lease. They are in fact the pioneers in solar leasing and also offer the loans for research and development projects in the field of solar energy. The company is based in San Francisco, California. It was established by Ed Fenster and Lynn Jurich, two students that established it right after their graduation from Stanford University.
Goals Of SunRun
The SunRun Company has a set of clearly defined goals. The company was established once the theme of global pollution was very popular and hence the company, right from its inception, has the aim to provide the consumers with an environmentally friendly energy source.
Furthermore it has the objective of making solar energy a popular and affordable means of energy for the domestic users. The company works to this end by offering loans and leasing of solar equipment.
Financing By SunRun
The company has a very high repute amongst the investors and it gained an investment of over 18 million dollars during 2008. The company is the pioneer in providing lease for domestic users. The company offers financing in two main ways.
1. Power purchase Agreement
2. Leasing of equipment
Power Purchase Agreement
In a power purchase agreement, all the equipment and facilities are maintained and owned by the company themselves. The SunRun offers PPA for 18 years contract. According to the contract the clients are to pay monthly amount to the company for the amount of electricity consumed. The company is responsible for uninterrupted supply.
Leasing By SunRun
The second financing option offered by the company is of leasing for a period of 20 years. The equipment is given on a monthly lease to the clients but it remains under the ownership of company and company is responsible for the maintenance. However the monthly bill is fixed irrespective of the amount of electricity actually used.