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SolarCity aims to double residential solar in U.S.

By | September 7, 2011, 4:44 PM PDT

Military housing, once infamous for its dilapidated conditions, is now set to become a green energy hub.

Military housing, once infamous for its dilapidated conditions, is now set to become a green energy hub.

SolarCity has secured a US$344 million U.S. Department of Energy (DOE) loan guarantee that will allow it to begin a project that could double the number of residential solar photovoltaic installations in the country.

The funds will be used to install rooftop solar panels on military housing complexes across the country in 33 states. It would yield potentially 371 megawatts of new solar generation capacity.

The DOE is providing a conditional loan guarantee for lenders including USRG Renewable Finance and Bank of America. SolarCity says the projected, dubbed “SolarStrong” will create approximately $1 billion in construction work.

“We believe the SolarStrong model will deliver the most affordable solar option available to military housing, and provide a template for financing large-scale residential solar projects well into the future,” Aaron Gillmore, SolarCity’s vice president of solar development said in a prepared statement.

In June, the DOE announced a similar action for Project Amp, which provided a $1.4 billion conditional loan that will be used to install 733 megawatts (MW) worth of solar panels on industrial buildings throughout the nation.

SolarStrong will help the U.S. military move closer toward its goal having renewables constitute 25 percent of its energy mix by 2025.

To that end, the military has deployed wave powered buoys, reclaimed landfill gas to power Marine bases, used biofuel blends in Air Force fighter jets, developed hybrid Army blimps, and an entire Marine Corps unit in Afghanistan is now functioning entirely on solar power.

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David Worthington

About David Worthington

David Worthington is a contributing editor for SmartPlanet.

David Worthington

David Worthington

Contributing Editor, Energy

David Worthington has written for BetaNews, eWeek, PC World, Technologizer and ZDNet. Formerly, he was a senior editor at SD Times. He holds a degree from Temple University. He is based in New York.

Follow him on Twitter.

David Worthington

David Worthington

David does not have financial holdings that would influence how or what he covers. Occasionally he consults for other companies; should David cover a topic in which a client is involved, he will disclose this fact in his writing. His views do not represent those of ScaleOut Software.

He writes for SmartPlanet and is not an employee of CBS.

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+1 Vote
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What is wrong with this picture.
I am confused why Solar City needs to take out a $1.4 billion loan to install leased units on government property. I need more details, but something sounds fishy or badly misrepresented.
Posted by Hates Idiots
8th Sep
+1 Vote
+ -
it's privatized housing
The housing units are not govt property.
Posted by David Worthington
8th Sep
+1 Vote
+ -
When did they do that?
Every base I was on the on base housing was gov owned.
Posted by Hates Idiots
8th Sep
+1 Vote
+ -
Project Amp vs SolarCity
Project Amp is for privately owned buildings. Military housing is typically DOD owned on & off base housing for service members, with or without families. Without more details, 1 might suppose that SolarCity doesn't provide PV units but electricity at a fixed price. Military housing is owned by the USG much longer than ordinary res rental properties are owned by typical investors. The cost of the PV units is amortized over the life of the housing where it will not within a 5 or 10 year investment period.
Posted by hoodedswan
8th Sep
+1 Vote
+ -
good thought.
While SolarCitys business model is leasing, maybe this is a purchase. But why would they need such a big loan if the units were being purchsed?

A few details would help clear things up.
Posted by Hates Idiots
Updated - 8th Sep
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