SolarBank Races to Meet US Tax Credit Deadline

• SolarBank races to complete 100 MW US solar projects, leveraging $100M financing, while diversifying with Canadian battery systems to mitigate policy risks.

SolarBank Corporation (NASDAQ:SUUN) is set to complete its US solar projects, totaling nearly 100 MW, before the new clean energy investment tax credit (ITC) deadline. CEO Richard Lu expressed confidence in meeting the timeline, leveraging a USD 100 million financing deal with CIM to expedite construction on a 97-MW portfolio in high-value markets. The projects must begin by July 4, 2026, and reach commercial operation within four years to qualify for the full tax credit, as mandated by President Trump's legislation.

In addition to its US endeavors, SolarBank is installing battery storage systems in Ontario under the IESO's Long-Term RFP framework. This diversification across Canada provides a buffer against US policy risks. Lu remains optimistic about the future of solar and storage, citing falling costs and rapid market entry as key advantages.

How is SolarBank Corporation navigating US and Canadian markets amid policy changes?

• Strategic Partnerships: SolarBank Corporation is forming strategic partnerships with local developers and financial institutions in both the US and Canada to enhance project execution and financial stability.
• Policy Adaptation: The company is closely monitoring policy changes in both countries, ensuring compliance and leveraging incentives such as the US ITC and Canadian federal and provincial renewable energy programs.
• Technology Integration: SolarBank is integrating advanced solar and battery storage technologies to increase efficiency and reliability, making their projects more attractive to investors and customers.
• Market Diversification: By expanding into both solar and battery storage markets, SolarBank is reducing dependency on any single market or policy, thus mitigating risks associated with policy changes.
• Local Workforce Development: The company is investing in local workforce training programs to ensure a skilled labor pool, which helps in meeting project timelines and quality standards.
• Sustainability Goals: SolarBank is aligning its projects with broader sustainability goals, appealing to environmentally conscious investors and customers in both markets.
• Regulatory Engagement: The company is actively engaging with policymakers and industry groups to influence favorable regulatory outcomes and stay ahead of potential policy shifts.
• Financial Resilience: By securing substantial financing deals, SolarBank is ensuring it has the necessary capital to navigate market fluctuations and policy changes effectively.
• Project Pipeline Expansion: SolarBank is continuously expanding its project pipeline in both countries to capitalize on emerging opportunities and maintain a competitive edge.
• Customer Education: The company is investing in customer education initiatives to increase awareness and adoption of solar and storage solutions, thereby driving demand in both markets.