Many homebuilders already offer solar solutions at their communities, driven by homeowners’ demand for electricity savings and sustainable energy solutions. Further, California’s new solar mandate requires almost all new homes, condos and apartment buildings be equipped with solar power beginning in 2020. RGS expects this new mandate to drive even greater demand for POWERHOUSETM 3.0 as homebuilders seek the most affordable option.
Homebuilders will have a few options. They can install a traditional rack & mount solar array on the new roof top, or opt for a solar shingle like POWERHOUSETM or Tesla Solar Roof. However, RGS believes POWERHOUSE™ will be the most affordable solution for homebuilders, as costs are blended with general roof installation.
Preliminary Price Comparison of POWERHOUSETM vs. Other Solar Roof Solutions
Solar System +
Full Asphalt Roof
Solar Roof = Full
Solar Shingle +
|Cost of asphalt roof, 2,776 sqft home1||$7,728||$0||$5,093|
|Solar system size (watts)||6,000||6,000||6,000|
|Cost of roof installation per watt||$1.29||$0.00||$0.85|
|Cost of solar system installation in watts|
|Tesla (full roof with solar)3||$8.14|
|All in Cost to Homebuilders||$5.02||$8.14||$4.15|
|1. National Association of Home Builders, “Cost of Constructing a Home,” posted December 1, 2017|
|2. energysage, “How Much Do Solar Panels Cost in the U.S. in 2018?”, posted April 22, 2018.|
|3. energysage, “Tesla solar roof cost vs. solar panels: worth the premium?”, posted April 22, 2018.|
|4. POWERHOUSE™ kit includes shingles, inverter, monitoring and non-electrical balance-of-system.|
|5. pickmysolar.com, “The Cost of Solar,” posted October 21, 2016.|
“We believe that POWERHOUSE™ 3.0 offers the most compelling value proposition to homebuilders,” said Brad Bentzen, RGS’ Director of POWERHOUSETM. “POWERHOUSETM will have the lowest cost, be easy to install and can be blended with the general construction. It will also be aesthetically pleasing, with panel efficiency in-line with the majority of traditional solar panels, and use technology developed by a trusted brand, the Dow Chemical Company.”
Next Generation POWERHOUSETM 3.0
By coupling roofing with an energy saving solar panel in a singular product, the POWERHOUSETM Solar Shingle uniquely addresses the needs of residential homeowners that seek an affordable visually stunning solar option. POWERHOUSETM is designed to work with asphalt roofs, which represent about 85 percent of U.S. homes. Currently, more than 1,000 homeowners are enjoying benefits of earlier generations of POWERHOUSETM.
RGS Energy believes POWERHOUSETM addresses a large, untapped market, appealing to both single-family homeowners and new home builders. The forthcoming POWERHOUSETM 3.0 is designed to maintain or improve upon earlier generation product features, while substantially reducing manufacturing costs. POWERHOUSETM 3.0 will offer a more competitive value proposition, even after the recently imposed tariff on imported solar cells.
RGS Energy estimates if POWERHOUSETM achieves a 1% share of the re-roof and new home build markets, the product could be propelled to the billion-dollar revenue mark.
About RGS Energy
RGS Energy (Nasdaq: RGSE) is America’s Original Solar Company providing solar, storage and energy services whose mission is clean energy savings. The company is the exclusive manufacturer of POWERHOUSETM, an innovative in-roof solar shingle using technology developed by The Dow Chemical Company. RGS Energy also sells, designs and installs solar systems for residential homeowners, commercial businesses, non-profit organizations and government entities.
For more information, visit RGSEnergy.com and RGSPOWERHOUSE.com, on Facebook at www.facebook.com/RGSEnergy and on Twitter at twitter.com/rgsenergy. Information on such websites and the websites referred to above in this press release is not incorporated by reference into this press release.
RGS Energy is the company’s registered trade name. RGS Energy files periodic and other reports with the SEC under its official name “Real Goods Solar, Inc.”
POWERHOUSETM is a trademark of The Dow Chemical Company, used under license.
Forward-Looking Statements and Cautionary Statements
This press release contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties, including statements regarding RGS Energy’s plans for the commercialization of the POWERHOUSETM 3.0 Solar Shingle, and RGS Energy’s business and financial strategies. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they provide our current beliefs, expectations, assumptions, forecasts, and hypothetical constructs about future events, and include statements regarding our future results of operations and financial position, business strategy, budgets, projected costs, plans and objectives of management for future operations. The words “forecast,” “project,” “expect,” “plan,” “future,” “believe,” “may,” “hypothetical,” “will,” “anticipate,” “estimate,” “goal,” and similar expressions as they relate to RGS Energy are intended to identify such forward-looking statements.
Forward-looking statements should not be read as a guarantee of future performance or results, and will not necessarily be accurate indications of the times at, or by, which such performance or results will be achieved, if at all. Forward-looking statements are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in or suggested by the forward- looking statements. Therefore, RGS Energy cautions you against relying on any of these forward-looking statements.
Key risks and uncertainties that may cause a change in any forward-looking statement or that could cause our actual results and financial condition to differ materially from those indicated in the forward- looking statements include: RGS Energy’s ability to successfully and timely commercialize POWERHOUSETM 3.0; the ability to obtain requisite UL certification of POWERHOUSETM 3.0; the adequacy of, and access to, capital necessary to commercialize POWERHOUSETM 3.0; RGS Energy’s ability to satisfy the conditions and our obligations under the POWERHOUSETM 3.0 license agreement; RGS Energy’s ability to manage supply chain in order to have production levels and pricing of the POWERHOUSETM 3.0 shingles to be competitive; cost and availability of raw materials; the ability of RGS Energy to successfully expand its operations and employees and realize profitable revenue growth from the sale and installation of POWERHOUSETM 3.0, and to the extent, anticipated; the potential impact of the announcement of RGS Energy’s expansion into the POWERHOUSETM 3.0 business with employees, suppliers, customers and competitors; RGS Energy’s ability to successfully and timely expand its POWERHOUSETM 3.0 business outside of the United States; foreign exchange risks associated with the POWERHOUSETM 3.0 business; intellectual property infringement claims and warranty claims related to the POWERHOUSETM 3.0 business; competition in the built-in photovoltaic solar system business; rules, regulations and policies pertaining to electricity pricing and technical interconnection of customer- owned electricity generation such as net energy metering; the continuation and level of government subsidies and incentives for solar energy; the continuation and level of utility and state incentives for solar energy; changes in general economic, business and political conditions, including tariffs on imported solar cells and changes in the financial markets.
You should read the section entitled “Risk Factors” in our 2017 Annual Report on Form 10-K, which has been filed with the Securities and Exchange Commission, which identify certain of these and additional risks and uncertainties. Any forward-looking statements or forward-looking hypothetical examples made by us in this press release speaks only as of the date of this press release. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We do not undertake any obligation to publicly update or revise any forward-looking statement or forward-looking hypothetical example, whether as a result of new information, future developments or otherwise, except as may be required by law.
Investor Relations Contact
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