Crowdsourcing and Scaling Rooftop Solar Energy | CleanEdison

Crowdsourcing and Scaling Rooftop Solar Energy | CleanEdison

n order to effectively take advantage of the potential of rooftop solar, a model must be adopted that brings down the cost of capital, increases the amount of available capital, and builds a larger base of stakeholders to support strong policies for solar. The new concept giving hope to small-scale solar proponents is known as “Crowdsourcing Solar.”
One company has taken the forefront on this innovative new crowdsourcing model. Mosaic, an Oakland-based company developed a platform that connects investors to solar projects that need financing. These investors can contribute as little as $25 to the project of their choice in the country. Currently, the only states that allow non-accredited investors to invest in the Mosaic platform are New York and California, but the company is working with the SEC and other state governments to allow more individuals to make investments directly through their platform.
With expected yields of between 4.5% and 6.38% annually, the investments made through Mosaic are roughly on par with historical returns of the S&P 500. The interest was almost immediate - on the first day of the project’s launch, Mosaic funded all four potential projects totaling $313,000, and since 2011 it has deployed $1.1 million from more than 400 investors to fund a total of 11 projects. Moreover, the platform opens up the ability for those without a suitable rooftop to invest in clean energy.