Resources For Business Owners
Billing and Credit
No. Sunnova generally files a UCC-1 to secure our interest in the system only, not on your business property. A UCC-1 is a “financing statement” filed to provide notice that a creditor has a security interest in a debtor’s personal property. It is a notice that one person claims an interest in someone else's property, usually as collateral for a debt.
Sunnova Lease/Power Purchase Agreement (PPA) - When you choose the Sunnova Lease or Power Purchase Agreement energy plan, Sunnova will file a UCC-1, which is a public declaration of our system ownership. This helps prevent the unauthorized sale of our equipment.
Sunnova Loan - If you choose our Sunnova Loan energy plan, Sunnova will file a UCC-1 on the system as evidence of its security interest in the system until the loan is paid off.
Sunnova Cash Purchase - If you choose our Sunnova Cash Purchase energy plan, Sunnova may file a UCC-1 for the period during which the system is being built. If we require a UCC-1 filing, Sunnova will remove the filing once the system is in service and paid in full.
In all cases, it’s important to note that Sunnova files a UCC-1 financing statement with respect to the equipment only, not your business or building. Some states refer to these filings as a lien on collateral – which in our case is the solar system and all other equipment installed.
If you are selling your business or securing financing using your business as collateral, there may be conditions that require the removal of the UCC-1 filing before selling or completing the financing process. The UCC-1 filing should not impact your ability to sell your business as it will be removed and refiled under the new title owner’s name. However, we recommend you contact us as soon as you think you will be selling your business as the UCC removal process may take a few weeks.
With every energy plan, if you are planning to sell your business or property, you must notify us and receive our consent in advance as the removal process of the UCC-1 filing (lease and loan only) and approval of the new owner takes time. Sunnova customers are responsible for any UCC-1 removal expenses and fees.
Yes, you will still get a monthly electric bill if your business is still connected to the utility grid. There are a couple of reasons for this:
- Non-Bypassable Charges - Electric providers charge fixed fees just for being connected to them; they are not related to energy consumption. These are called “Non-Bypassable Charges” and will always show on your electric bill.
- Additional usage - In months where you consumed more energy than your solar system produced, that additional consumption will also show on your electric bill. However, if you produced more solar energy than you consumed in prior months and your provider offers net metering, this additional consumption could be offset by credits you received for sending excess solar energy back to the grid. (Net metering is not available in all jurisdictions and can be subject to limitations.)
The net metering relationship between your solar system and the utility grid creates a bi-directional, give-and-take relationship between you and the utility company. It enables you to both consume energy from the utility grid and export excess solar energy to it for a possible credit from your electric provider. The bills you receive from your electric provider will reflect your energy consumption from the grid, any other fees it may charge, and, if offered, your net metering credits. Since net metering policies are determined by the utility, Sunnova cannot guarantee credit for net energy exported to the utility grid as laws, regulations and utility policies may change over time.
Net metering is only applicable to systems connected to the utility grid. If your system is not connected to the grid at all, such as a stand-alone microgrid, you will not be able to export any excess energy or be eligible for net metering credits.
Net metering credits in California have been historically attractive, despite repeated attempts by utilities to limit them. However, the California Public Utilities Commission (CPUC) passed D.22-12-056 in December 2022, establishing the Net Billing tariff (NBT) as a successor to NEM 2.0. This new net metering tariff is commonly known as “NEM 3.0,” but you may also hear it referred to as “Solar Billing Plan” by the utilities. Solar Billing Plan goes into effect April 15, 2023, reducing energy export credits for solar customers in California and completely removing higher energy export bonus credits for businesses. If interconnection paperwork is submitted by April 14, 2023, you could be grandfathered into NEM 2.0, which offers better energy export credits. Approval of net metering is outside of Sunnova’s control. Sunnova makes no guarantee regarding approval, which must go through your utility in a timely manner.
Once the “Solar Billing Plan” goes into effect, battery storage will be imperative in California as battery storage can store your excess solar energy instead of sending it back to the grid for reduced compensation. This excess solar energy within the battery can then be used to further offset your consumption from the utility and potentially reduce your electric bill further by:
- Powering your business when your solar system is not producing
- Protect you from unpredictable demand charges, if charged by your electric company
- Supplying energy during high peak rates
Note: Net metering is only applicable to systems connected to the utility grid. If your system is not connected to the grid at all, such as a stand-alone microgrid, you will not be able to export any excess energy or be eligible for net metering credits.
Installation Process
Sunnova has an extensive network of dealers (local solar contractors) we work with to deliver customized solutions to businesses across the U.S. Our dealers have first-hand knowledge of your local market and understand how to work with the respective utilities and entities to provide a more seamless customer experience. Our dealer is your central point of contact through design, installation, construction, and utility approval of the system. However, once you sign a Letter of Intent (LOI), you will also work with Sunnova as we conduct a financial underwriting analysis. While you work with your dealer on the final custom design of the system, Sunnova will start collecting financial information from you as part of our credit due diligence. While your dealer works on all aspects related to installation, Sunnova works with them to help ensure your system meets your needs and that it is constructed with high-quality.
Once the utility approves the system and you are producing renewable solar energy, your dedicated Commercial Services Team at Sunnova will be your main point of contact and can answer any questions or concerns as needs arise. You can have peace of mind knowing your Sunnova solar and solar + battery storage service comes with our Sunnova Protect® Business plan, which includes maintenance, monitoring, and a limited warranty for repair and replacement of the solar and battery system components for 25 years.
With Sunnova, you get the best of both worlds - local knowledge from our dealers backed by Sunnova, a national, well-capitalized, publicly traded Energy as a Service (EaaS) provider.
Our goal is to make going solar smooth and seamless by supporting you from system design and installation through 25 years of service. Below are details on the installation process and what is needed from you.
- Initial Proposal and LOI - Sunnova will gather data from you to assess your current energy usage, such as 12 months of electric bills. We will then develop an initial proposal and custom design. Once approved, you will sign a letter of intent (LOI) and provide the requested financial information.
- Design and Due Diligence - Our solar experts will survey your business to understand your energy needs and custom design a holistic solution to help meet your goals. In addition, financial underwriting analysis is completed.
- Final Agreement - Sunnova will create a final proposal to help achieve program goals and adherence to applicable codes and standards, as well as provide you with a written contract to review and execute.
- Construction and Commissioning - Your installer will receive all the necessary permits and equipment for your installation. Sunnova will work with your installer to help ensure high-quality construction.
- Solar On and Ongoing Service - Once the utility approves the system, you can start producing renewable solar energy. And you can enjoy peace of mind knowing your solar investment comes with our 25-year Sunnova Protect® Business plan, including maintenance, monitoring, and system support for the solar and battery system components. If you have any questions or concerns, you can contact your dedicated Commercial Services Team at Sunnova, who will serve as your central point of contact as any needs arise.
System Monitoring
Sunnova business customers will have access to a web-based platform for clients to gain visibility into:
- Near real-time solar production data
- Near real-time battery charge data
- How much power is being consumed via EV charger usage
- Progress against ESG goals
Products and Services 101
How My System Works
Solar Only
- During the day - The solar system will produce clean, renewable solar energy to power your business.* If the system produces more solar energy than your business consumes, this excess solar energy is sent back to the grid as long as the system is configured to export energy. If your electric provider offers net metering or net billing, you could receive credits on your electric bill for the energy you send back, which would help offset any electricity you pull from the grid when solar energy is not powering your business (such as at night). However, Sunnova cannot guarantee credit for net energy exported to the utility grid as states’ policies may change over time.
- At night or during times of low solar production (like cloudy or foggy days) - Your business will pull electricity from your utility to meet your energy needs. This is why you will continue to receive an electric bill even if your business has a solar system.
- During a power outage – A solar-only system will not provide power. Only systems paired with battery storage that are configured to provide backup power will continue to produce solar energy.
Solar + Battery
How a solar + battery system works depends on the battery installed and how it is configured, which is based on your electricity rate structure and energy needs.
- During the day - The solar system produces clean, renewable solar energy to power your business.* If the system produces more solar energy than your business consumes, the excess solar energy will first charge your battery. Once your battery is charged, the excess energy can go back to the grid if that is allowed by your utility and your state and local laws. If your local utility offers net metering or net billing, energy your business consumes from the utility could be offset by credits you receive for sending excess solar energy back to the grid. In addition, your battery could help protect you from the following if your electricity rate plan includes these types of charges:
- Demand charges - If your electricity rate structure includes demand charges, when your energy consumption is expected to be over the maximum power allowed by your utility, your battery will automatically discharge to protect you from demand charges as long as it has enough energy stored within it. This helps protect you from unpredictable and expensive demand charges.
- Time-of-Use - Smart software protects you from peak rates and optimizes your savings by automatically powering your business with solar energy produced by your system and stored in your battery when rates peak. And it will be configured to send excess energy back to your utility during peak rate times (when on a time-of-use electricity rate plan in participating markets).
- At night or during times of low solar production (like cloudy or foggy days) - Your business will pull electricity from your battery first and then from the utility to meet its energy needs. This is why you may continue to receive an electric bill even if your business has a solar system and battery.
- During a power outage - If you have a battery and it is configured to provide backup power, you will have power during an outage since your solar system will continue to produce solar energy during the day. This energy will be used to power the essential equipment you have backed up, and any excess solar energy will be stored in the battery for later use.
Note: Net metering is only applicable to systems connected to the utility grid. If your system is not connected to the grid at all, such as a stand-alone microgrid, you will not be able to export any excess energy or be eligible for net metering credits.
In most cases, if your solar system generates more energy than your business needs at any given time, the excess energy will flow back to your utility if you are connected to the utility, and it is allowed. Your electric company may provide you with a credit for energy you send back to it, which can help offset any electricity you may need to pull when your solar system is not producing enough to power your business. This credit is called net metering. Since net metering policies are determined by the utility and your local laws and regulations, Sunnova cannot guarantee credit for net energy exported to the utility grid as utility policies and local laws and regulations may change over time. Moreover, customers in states that have a cap on net metering may be limited in the amount of energy they can export and in the maximum number of net metering credits.
If you have a battery with your solar system, excess solar energy produced by your system (energy not being immediately used by your business) will first be used to charge your battery. This energy stored in the battery can then be used to further offset your consumption from the utility and potentially reduce your electric bill further by:
- Powering your business when your solar system is not producing
- Helping to protect you from unpredictable demand charges, if charged by your electric company
- Supplying energy during high peak rates
Once the battery is charged, additional excess solar production will be sent back to the utility if allowed. Note that certain utilities will limit net metering for solar + battery systems. We recommend you check with your utility for more information.
Note: Net metering is only applicable to systems connected to the utility grid. If your system is not connected to the grid at all, such as a stand-alone microgrid, you will not be able to export any excess energy or be eligible for net metering credits.
If you have a solar system without a battery, your solar system will not work during a power outage. And your business can therefore be vulnerable if the grid goes down. Your business will not be able to produce or consume solar energy while the power is out since your solar-only system will automatically turn off. This is to prevent solar energy flowing through the utility grid while repair crews fix any downed power lines or other failures. When the utility grid comes back up, your solar-only system will automatically turn back on.
If you have a battery and it is configured to provide backup power, you will have power during an outage since your solar system will continue to produce solar energy during the day. This energy will be used to power the essential equipment you have backed up and any excess solar energy will be stored in the battery for later use. In the event there is not enough solar production during the day, such as during a cloudy day, your battery will discharge. At night, your essential equipment will be powered by any energy stored in the battery. The amount of power available will vary depending on:
- How much power your solar system is producing
- How much energy you have stored
- What you are powering during the outage
Battery Storage
Fluctuating rates and various fees for electricity, including demand charges, can make energy costs for your business unpredictable and forecasting difficult. By installing a solar system and generating your own power, you can offset your electricity consumption from the utility and gain greater budget certainty with predictable solar energy costs.
When you also install battery storage, you can you take even more control of your energy costs and potentially further reduce your electric bill by:
- Offsetting Additional Consumption - By using energy stored in your battery to power your business when your solar system is not producing, you can further offset your business’ consumption from the utility.
- Potentially Reducing Demand Charges –Some commercial electricity rate structures include demand charges, which can be one of the most variable and expensive parts of your electric bill. When your energy consumption is expected to be over the maximum power allowed by the utility, your battery will automatically discharge to help protect you from demand charges if it has enough energy stored within it.
- Protecting Your Business from Peak Rates – Smart software within the battery helps protect you from peak rates and optimizes your savings by automatically powering your business with solar energy produced by your solar system and stored in your battery while also sending excess energy back to your utility during peak rate times (when on a time-of-use electricity rate plan in participating markets).
In addition, with battery storage, you can improve your financial returns even more since your system can be designed to help you avoid high electricity rates through participation in energy arbitrage (buying electricity when rates are low and using that electricity during peak rate periods) and leveraging available revenue streams where available, such as participating in local grid services.
And, depending on the battery type and configuration, you may also have reliable backup power. A solar-only system will not work during an outage. By adding a battery that is configured to offer backup power to your business, your system can still produce and store solar energy to help keep your essential equipment and business running.
When we design a system for your business, we look at various data points on your energy usage, such as frequency of power outages, 12 months of electric bills, and interval data (how much power is consumed every 15/30/60 minutes) to better understand how much energy you consume and at what points during the day. This data adds a lot of insight into when and how energy usage occurs and how storage would need to respond. In addition, we do a deep dive with you to understand what essential equipment you need backed up. From there, we customize a solar and battery storage system that will meet your needs when the grid is up and also keep your business running during a power outage, subject to limitations outlined below.
How Your System Works During an Outage - If you have a battery that is configured to provide backup power, your solar system will continue to produce solar energy during the day if a power outage occurs. This energy will be used to power the essential equipment you have backed up. And any excess solar energy will be stored in the battery for later use. In the event there is not enough solar production during the day, such as during a cloudy day, your battery will discharge. At night, your essential equipment will be powered by any energy stored in the battery. If the power goes out at night, it works the same – your batteries will provide backup power for essential equipment as long as there is energy in your battery.
When solar is paired with a battery, this cycle will repeat daily until the power is restored and your system reverts to its normal operation.
How Much Energy is Available During an Outage - While your system will be designed to provide backup power for your essential equipment, the actual amount of power available will vary depending on:
- How much power your solar system is producing
- How much energy is stored in your battery when the power outage occurs
- What you are powering during the outage
You will have visibility into your solar production and battery charge in near real time. This allows you to monitor your energy during a power outage. That way, if you need to, you can employ some energy reduction tactics to help you extend the backup power even further (such as opening doors in the early morning to cool down the building).
Warranty Coverage and System Maintenance
We are committed to safeguarding your solar investment. You can have peace of mind knowing your Sunnova solar and solar + battery storage service comes with a Sunnova Protect® Business plan. We have two tiers of service: Premium+ and Platinum. Our Premium+ plan is offered with our Sunnova Loan, Lease, and Cash Purchase options while our Platinum plan is offered with our Sunnova Power Purchase Agreement (PPA). Our Sunnova Premium+ plan includes monitoring, diagnosis, and complete management of repairs, replacements, and labor for the solar and battery system components by Sunnova for 25 years.
With our Platinum plan, you get all the coverage offered with our Premium+ plan, but we also help ensure the system performs as expected by monitoring its performance, conducting inspections, and performing preventive maintenance. With the Platinum plan, we guarantee the system will produce the estimated annual energy or we will credit you the difference. Refer to the agreement for terms and limitations.
And, if you have our Sunnova Lease or Power Purchase Agreement, we also protect against theft or damage, including repairs needed due to natural disasters, such as hurricanes, wildfires, and earthquakes. Some coverages limited to the first twenty (20) years of your lease. See your contract for limitations and restrictions. To ensure your system and battery continue to be covered by Sunnova, we recommend you always contact us to report an issue so one of our technicians or approved dealers can assist you. Any damage caused by contractors not approved by Sunnova is not covered under Sunnova’s limited warranty.
If your solar system needs repair, please contact your dedicated Commercial Services Team.
As with any equipment, some regular maintenance is needed to ensure your system produces at its maximum potential. These are the top three maintenance items you are responsible for to ensure your system stays up and running and produces at its maximum potential:
- Shading - You should ensure no trees, landscaping, or other structures block sunlight from hitting your panels.
- Cleaning - Panels will become dirty over time. Typically, rainfall will wash away a lot of the residue on the panels. However, it may be necessary to periodically rinse your solar panels. Be sure to avoid harsh chemicals that could damage the panels – rinsing them with water from a garden hose should be sufficient.
- Environment - Some maintenance issues are related to the solar system’s wires rather than faulty panels and/or equipment. To prevent problems with your solar system, check that there is no accumulation of leaves, debris, snow, or critters (like squirrels, birds, or rodents) under the solar panels.
Why Sunnova
End of Term, Selling Your Business, Relocation
Each energy plan is unique and, therefore, what happens at the end of the contract term will vary. See below for details on each plan.
Sunnova Lease / Power Purchase Agreement (PPA) - With a Sunnova Lease or Power Purchase Agreement, you have the option to renew your agreement for two additional five-year terms. If you choose not to renew your agreement, Sunnova will remove the system at no cost to you.
Sunnova Loan - With a Sunnova Loan, you own the system immediately. At the end of your term, your loan is paid off and you continue to own your system, which, if it has been properly maintained, should still be producing solar energy so you can continue to enjoy the benefits of going solar. However, your Sunnova Protect® Business plan will no longer be in effect, and you will be responsible for all maintenance and repairs.
Sunnova Cash Purchase - With a Sunnova Cash Purchase, you pay for the system outright and own the system immediately. At the end of your term, if it has been properly maintained your system should still be producing solar energy so you can continue to enjoy the benefits of going solar. However, your Sunnova Protect® Business plan will no longer be in effect, and you will be responsible for all maintenance and repairs.
Some energy plans are unique in this regard and, therefore, what happens if you sell your property or business may vary. See below for details on each plan.
Sunnova Lease, Power Purchase Agreement (PPA), or Loan - With a Sunnova Lease, PPA, or Loan, you can transfer the agreement to the new owner, subject to the terms of your contract, and the proposed new owner must be approved by Sunnova. Once you know you are selling the business or property, contact your dedicated Commercial Services Team to determine next steps. If the new owner is approved by Sunnova, they will assume the monthly payments, if applicable, and will receive the Sunnova Protect® Business plan for the remainder of the term.
Sunnova Cash Purchase - With a Sunnova Cash Purchase, you can transfer the agreement to the new owner subject to the terms of your contract, and Sunnova must be notified. Once you know you are selling the business or property, contact your dedicated Commercial Services Team to determine next steps. The new owner will receive the Sunnova Protect® Business plan for the remainder of the system coverage term.
No matter what energy plan you transfer to the new owner, it is important to note that how much energy a business consumes and at what time will vary business to business. Therefore, the new owner’s electric bills and overall savings will be different than what you experienced.
Each energy plan is unique and, therefore, the way in which Sunnova handles relocation varies with each. With any plan, you must contact your dedicated Commercial Services Team to notify Sunnova who will provide a Sunnova-approved contractor for removal and reinstallations. And, you will be responsible for covering all costs associated with the removal and reinstallation of the system.
To maintain your Sunnova Protect® Business coverage, you must use the Sunnova-approved contractor to disassemble and reinstall your system and pay any service fees incurred by Sunnova to inspect and restart the system. Please note, when removing and reinstalling a system, we cannot guarantee future performance, utility connection, or additional utility charges at the new location. See below for details on each plan.
Sunnova Lease - With a Sunnova Lease, you have the option to relocate the system, subject to the terms of your lease agreement, if Sunnova approves of the new location and it is within the same utility coverage area.
Sunnova Loan or Power Purchase Agreement - With a Sunnova Loan and Power Purchase Agreement, you have the option to relocate the system with consent from Sunnova, subject to the terms of your agreement.
Sunnova Cash Purchase - With a Cash Purchase, since you own the system outright, you can move it to another facility at your expense.