SunPower announced it has secured financing commitments of more than $450 million for its residential solar and storage loan program from climate solutions investor HASI and sustainable finance provider Crédit Agricole CIB. Under the agreement, the vehicle will acquire loans made to SunPower customers and is non-recourse to SunPower. Through this transaction, SunPower's loan business SunPower Financial will continue to provide customers with attractive loan options for up to 25 years.
"Among our leading value propositions is full consumer choice when it comes to how our customers purchase our solar and storage systems. We continue to build and strengthen our suite of world-class financing products to meet growing demand. This new transaction also illustrates the health and resilience of consumer credit markets during the recent period of shifting conditions," said Guthrie Dundas, interim CFO of SunPower.
With SunPower Financial, SunPower offers a seamless solution for purchasing solar and other home energy services through a single provider, including design, sales, installation, warranty and financing. In 2022, the company's loan business grew 99% year-over-year.
Additionally, SunPower has established itself as a national leader in providing solar lease financing to customers through its partnership with HASI. The company plans to participate in the new Treasury bonus incentive program by providing lease financing to customers in qualified Energy Communities or areas leading the energy transition. This program is in addition to the recent extension of the 30% solar investment tax credit, from which customers are already benefiting.
Both the transaction and incentive program above are indicative of strong demand for solar deployment and loan solutions as well as the current state of the economic environment. SunPower's practices are at the forefront of industry trends and serve as a reference for other solar businesses.