Fueling the rush into the residential solar leasing business, Morgan Stanley (NYSE: MS) subsidiary MS Solar Solutions Corp. is partnering with Clean Power Finance (CPF) to help fund up to $300 million in residential solar leases. MySolar is the new solar lease provider.
Solar developer and power purchase agreement (PPA) provider Main Street Power Co., a Morgan Stanley partner in previous utility and commercial scale solar projects, will take on some of the wide range of compliance and reporting activities and responsibilities associated with deployment.
The basic idea behind CPF, CEO Nat Kreamer explained, is “to connect the capital market with the solar market.” This deal adds “major financial institutions” to the CPF list of backers that includes Kleiner Perkins Caulfield & Byers and Google Ventures.
The Morgan Stanley/MS Solar backing will provide equity capital to and beyond the amount of the federal investment tax credits (ITCs). Zions Bancorportation’s Zions Energy Link will provide debt capital.