Financing for Vivint Solar Will Support Thousands of New Solar Projects Across the State, Representing $167 Million in Private and Public Investment
NY Green Bank Deals – Resulting in $686 Million of Private and Public Investments to Date – Support New York’s Clean Energy Standard and its Aggressive Mandate to Achieve 50% Renewables by 2030
NY Green Bank announced the closing of a $37.5 million loan to Vivint Solar. All which will result in approximately $167 million in new investment in New York’s growing clean energy economy. Moreover and providing financing for thousands of new solar projects at homes across the state. NY Green Bank and its investments in clean energy are advancing the Governor’s Clean Energy Standard. All to supply 50 percent of New York’s electricity from renewable resources such as solar and wind by 2030.
Most noteworthy, Vivint Solar is a residential solar developer with six offices and approximately 300 local employees in New York State. With the loan from NY Green Bank. So the company is expected to continue to expand. That’s adding to its existing New York projects totaling nearly 58 megawatts of solar. That’s on a total of approximately 8,250 New York homes.
These solar systems will add to the more than 50,000 New York homes that have already installed solar.
With this latest deal, NY Green Bank has now closed 11 transactions. Thereby committing $158 million of its capital. That’s stimulating almost $686 million in total investments in clean energy projects across the state.
These projects are expected to reduce greenhouse gas emissions by 3.5 million metric tons. That’s the equivalent to taking 42,000 cars off the road for the next 18 years. It also helps the state achieve its goal of a 40% emissions reduction by 2030.
With a $1 billion capitalization, NY Green Bank is the nation’s largest green bank. For it is a critical component of Governor Cuomo’s Reforming the Energy Vision (REV) strategy. All to build a clean, affordable and resilient energy system for all New Yorkers.
So, NY Green Bank is providing financing to Vivint through a consortium of capital providers led by Investec. That’s an international specialist bank and asset manager. All which is providing a total financing of $313 million to the company for residential projects nationwide.
This deal represents a significant milestone for NY Green Bank. That’s triggering authorization of release of NY Green Bank’s next $150 million in funding. All from the Public Service Commission towards its $1 billion capitalization.
NY Green Bank
NY Green Bank is a division of the New York State Energy Research and Development Authority (NYSERDA). It is a key component of New York’s 10-year, $5.3 billion Clean Energy Fund (CEF). That’s to accelerate the use of clean energy, reduce greenhouse gas emissions. Also increase energy efficiency and spur economic development in New York State.
Most noteworthy, the loan is structured as a medium-term (five-year) note.
For it allows Vivint Solar to recycle capital. All that can be used for the installation of new residential solar systems in New York. Demonstrating that alternative markets may be accessed to finance residential solar portfolios will result in increased project development. That’s as developers will have greater confidence in their ability to access capital.
In addition, NY Green Bank’s current active pipeline (i.e. deals where there is agreement in principle between parties and momentum to move the transaction toward final execution and closing). That includes community solar; residential and commercial energy efficiency. Also residential solar, commercial and industrial solar. Finally municipal, university, school and hospital energy efficiency; and microgrids.
About Reforming the Energy Vision
Reforming the Energy Vision is New York Governor Andrew M. Cuomo’s strategy. For that’s to build a cleaner, more resilient and affordable energy system for all New Yorkers. REV places clean, locally produced power at the core of New York’s energy system. One which also protects the environment and supports the State’s goal. That’s to reduce greenhouse gas emissions by 40 percent. All the while generating 50 percent of its electricity from renewable energy sources by 2030.
Successful initiatives already launched as part of REV include NY-Sun, NY Green Bank, NY Prize, K-Solar. It also includes a commitment. Especially to improve energy affordability for low-income communities. Finally and to learn more about REV, please visit www.ny.gov/REV4NY or follow us at @Rev4NY.