Hundreds of billions of dollars of U.S. clean energy incentives under consideration as part of the recently unveiled Inflation Reduction Act seem "highly likely" to soon become law, turbocharging demand for rooftop solar arrays, according to Sunrun Inc. CEO Mary Powell.
"We're on the precipice of some monumental and impactful climate legislation that is going to be felt ... [in] seismic ways in terms of the drive toward electrification and the surging demand that's going to turbocharge ... solar energy," Powell said Aug. 3.
Speaking on the San Francisco-based company's second-quarter earnings call, Powell and other Sunrun executives highlighted the potential for the legislation to accelerate consumer adoption of electric vehicles and electric heating, boosting overall household electricity demand and expanding Sunrun's total addressable market.
Sunrun, the nation's largest residential solar supplier, estimates that households purchasing an EV will roughly double their electricity use, stoking demand for residential solar and batteries.
"We have a fantastic opportunity here," added Edward Fenster, co-chair of Sunrun's board.
Sunrun is exploring how it can qualify for a bonus incentive for installations in low-income areas, which account for a third of the company's more than 724,000 customers, on top of a base solar investment tax credit of 30% in the bill, Fenster said.