Solar company Sol Systems secures $675 million in funding to move forward despite hurdles in the U.S. solar market.
In a significant stride towards clean energy expansion, Sol Systems has secured a $675 million revolving construction finance facility to support the development of an initial 500 megawatts (MW) of solar and storage projects in Illinois, Ohio, and Texas. This financing will cover construction loans, tax equity bridge loans, and letters of credit, enabling the company to scale its clean energy infrastructure efficiently.
The financing deal, structured by KKR Capital Markets, is a testament to strong investor confidence in Sol Systems’ long-term clean energy strategy. It aligns with state-level and corporate decarbonization goals, allowing Sol Systems to expand its independent power producer (IPP) platform rapidly and deliver utility-scale solar and storage solutions that support grid reliability, economic benefits, and environmental goals for local communities.
The first group of these projects is expected to come online by the end of 2026. Sol Systems, one of the oldest and most trusted Solar Renewable Energy Certificate (SREC) aggregators in the country, is well-positioned to scale up its operations and roll out projects faster with this new financing.
The Tilden Solar Project in Randolph County, Illinois, is one such project currently under construction. Once complete, it will produce enough clean energy to power approximately 33,800 homes annually. The Tilden Solar Project symbolizes energy transformation, turning a once carbon-intensive mining site into a hub for renewable power and local economic renewal.
However, the solar sector has faced a 22% decline in installations during the first quarter of 2025, with the U.S. adding 10.8 gigawatts-direct current (GWdc) of new solar capacity, representing a 7% decline from the same period in 2024 and a steep 43% drop from Q4 2024. This decline can be partially attributed to the recently passed "One Big, Beautiful Bill" (OBBB) by the U.S. government, which imposes tighter deadlines and reduces incentives for solar and wind developers.
Despite these challenges, the U.S. is projected to add around 43 GWdc of new solar capacity each year through 2030, driven by strong demand from utilities, corporations, and state programs. Sol Systems' new pipeline includes shovel-ready projects aligned with local and corporate decarbonization goals, positioning the company to capitalize on this growing demand.
The syndicate for this financing includes top global banks such as BBVA, ING Capital LLC, Intesa Sanpaolo S.P.A., National Australia Bank Limited, NatWest, Natixis, and others. The financing will support construction loans, tax equity bridge loans, and letters of credit, ensuring a smooth transition from development to operation for Sol Systems' solar and storage projects.
Each SREC, representing 1 megawatt-hour (MWh) of power from renewable sources, is a symbol of the clean energy revolution. With Sol Systems at the forefront, the future of clean energy in Illinois, Ohio, and Texas looks bright, promising a greener and more sustainable future for these communities.
- Sol Systems' $675 million construction finance facility highlights the investment community's commitment to the regulation of clean energy expansion.
- This financing policy supports renewables like solar and storage projects, aligning with state and corporate decarbonization goals.
- The science behind renewable energy is underscored by Sol Systems' growth, as it delivers utility-scale solutions that benefit grid reliability, the economy, and the environment.
- The Tilden Solar Project, a testament to environmental-science innovation, is turning a carbon-intensive site into a hub for clean energy and local economic renewal.
- In the face of a 22% decline in solar installations in Q1 2025, Sol Systems' shovel-ready projects, positioned for local and corporate decarbonization goals, capture the growing demand for sustainable-living solutions.
- Technology is a crucial enabler in the transformation of the energy industry, as the financing syndicate of global banks supports Sol Systems' expansion with construction and tax equity loans.
- The business of clean energy is poised for growth, with the industry expected to add around 43 GWdc of new solar capacity each year through 2030.
- The lifestyle shift towards home-and-garden sustainability is echoed in Sol Systems' projects, aimed at reducing carbon emissions and promoting renewable energy usage.
- The finance sector recognizes the value of investing in renewable energy, as Sol Systems' new pipeline capitalizes on the burgeoning market for sustainable resources.
- Even in sectors like sports and sports-betting, discussions around sustainable practices are prevalent, as the clean energy revolution impacts various aspects of modern life.
