CNBC PROResidential solar power has been around for years: after all, President Jimmy Carter famously installed panels on the White House in 1979. But it has yet to go mainstream, so to speak, with just 3% of the 84 million eligible homes across the U.S. sporting rooftop panels.
If the industry initially attracted eco-conscious consumers, people are now choosing to go solar based on economics. The declining cost of solar, paired with fluctuating electricity prices from traditional providers, means that in many places across the U.S., solar power is competitive, if not cheaper. The immediacy of climate change and more frequent power outages from outdated grids are also driving adoption.
From an investment standpoint, industry growth in residential solar should continue to fuel companies' top-line results, while a greater focus on ESG, or environmental, social and governance metrics, should drive attention toward the space, all of which can benefit Sunrun in particular.
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