Rooftop solar has a fraud problem. The industry is working to build back trust

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The rooftop solar business is a big source of consumer complaints. Across the country, prosecutors are investigating sales practices and financing arrangements. Now the solar industry is working to repair its reputation.

. But an emerging problem in the U.S. solar business that installs panels on homes risks slowing the effort to cut the country’s emissions.increased more than 1,000% since 2018. Across the country, prosecutors are investigating high-pressure sales tactics and misleading financing arrangements. Some customers say they were victims of fraud and forgery. This threatens rooftop solar’s“There have been a lot of shady business practices in residential solar.

In December 2022, Minto says a door-to-door salesman approached him about a government program to help senior citizens save on their electric bills.“‘This program is going to cost about $20,000 out of your pocket, but don’t worry about it, you’re only going to pay about $100 a month,’” Minto says the salesman told him. The cost would be over 20 years, and Minto says the salesman told him it would cut his electric bill in half. “So I said, ‘Well, that would be good.

According to a lawsuit filed against the companies involved, the contract was discovered later when Minto’s granddaughter got access to the email. His attorney says the only messages in the inbox were from the solar installer and the financing company. “I feel like I'm the one being defrauded. I feel like this is a hustle to try and get money,” Koontz told NPR. He says the case likely will bankrupt his company.

Milz says he’s handled more than 100 cases like this, and he’s part of a loose network of attorneys around the country who specialize in fraudulent solar sales., there’s a constant stream of complaints and requests for help from dissatisfied residential solar customers. Part of the reason is that many customers who feel victimized don’t know where to turn.

In July, Connecticut Attorney General William Tong sued SunRun, and two smaller companies it worked with, alleging deceptive, unfair and illegal sales of solar power systems. Minnesota is suing firms who finance solar power systems for homes. The case alleges that four lending companies deceived customers with hidden, upfront fees in exchange for lower interest rates.

The three other companies being sued by the Minnesota AG, Dividend Solar Finance, Sunlight Financial and SolarMosaic, disputed the allegations but declined to comment specifically on the allegations.

 

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