Secure Futures LLC, developer of the 104 kW solar energy system at Eastern Mennonite University, today announced that it has closed a $110,000 loan backed entirely by the nation’s first ever “Solar Certificate of Deposit.”
Sold through Park View Federal Credit Union, based in Harrisonburg, funds collected by the Solar CDs will secure a $110,000 loan from Park View to Community Solar LLC, a subsidiary of Secure Futures that operates the array of 328 photovoltaic panels hosted at EMU, the largest solar energy system in the state of Virginia.
“This loan represents, we believe, a first of a kind as a commercial loan for a solar power project backed by individuals through share secured deposits, earning above market-rate on a five-year solar CD,” said Dr. Anthony Smith, CEO of Secure Futures.
The solar energy industry could triple in size to reach $12 billion by 2012, according to “The U.S. Solar Energy Market,” a report recently released by SBI, Specialists in Business Information. But pricing, affordability, financing and lack of investment are preventing solar energy from advancing as explosively as it could and reaching the mainstream.
The Solar CD represents a way to make solar power more affordable by bringing down the cost of financing, one of the biggest variable costs of any commercial-scale solar project.
Deposits from the Solar CDs will allow Park View to offer financing at a preferred rate to Community Solar, lowering the overall cost of the EMU solar energy project.
“The Solar CD extends Secure Futures’ commitment as a triple-bottom-line company to create financial, ecological and social value,” said Smith. “It gives members of the local community a chance to participate in solar energy in Harrisonburg while helping build the deposit base for Park View.”
About Secure Futures
Secure Futures, LLC designs, develops and co-finances distributed solar solutions with and for tax-exempt entities to reduce their electricity costs and to protect against future grid price increases through 15 to 25 year Solar Power Purchase Agreements (SPPAs). Secure Futures is based in Staunton and may be found online at www.securefutures.us.