Mercatus Adopts SAPC Standards to Accelerate Solar Securitizations

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Mercatus announces that it has formally adopted the SAPC Working Group standard contract documents for both residential and commercial solar. The move provides yet another vote of confidence in the SAPC standards, which have been widely supported by the solar industry.

 

In the late 1980s and early 1990s, Sematech helped ignite the U.S. semiconductor market. Haresh Patel, CEO of Mercatus, Inc., believes that the Solar Access to Public Capital (SAPC) initiative will have a similar impact on the solar industry.

 

That’s a major vote of confidence, and the company is standing behind the claim. Mercatus, an enterprise-level investment analysis and decision-making platform for solar energy investors, announced today that it has formally adopted the SAPC Working Group standard contract documents for both residential and commercial solar.

 

The U.S. Department of Energy’s (DOE) National Renewable Energy Laboratory (NREL) convened the SAPC Working Group in 2013 with a mission to enable securitization of solar PV assets and associated cash flows in the marketplace. Since then, securitization has become one of the biggest developments in the solar industry.

 

Patel elaborated on the importance of SAPC in a news release today: “The SAPC public-private initiative provides the credibility and gravitas necessary to drive the establishment of standards needed to accelerate securitization and other financing options necessary to bring residential and commercial solar investment to the next level of scale,” he said.

 

“Mercatus has been very instrumental in the SAPC’s effort to define risk and credit parameters, especially in helping develop standard C&I risk methodologies for the SAPC’s mock rating effort,” said John Joshi, a consultant to NREL for the SAPC group.

 

“It’s great to see the continuing industry support for the SAPC standards,” said Michael Mendelsohn, Senior Financial Analyst at NREL. “Mercatus’ contributions on standards development and incorporation into its platform have been extremely helpful and will be essential to help mobilize the industry.”

 

Mercatus has other plans to help advance the availability of capital and financing options for the solar and other distributed energy technologies, which now includes solar securitization. The company will also support the Solar Energy Finance Association (SEFA) in their ongoing efforts to advance the availability of capital and financing options for the solar and renewable energy industries.

 

Since its 2009 inception, Mercatus has assessed over 20GW of commercial and residential solar projects. It currently serves 50% of the distributed generation U.S. solar market.