162

Megawatts

installed to date, equal to the electricity used by 105,000 average US homes

4.4

Stars

based on 1,700+ verified customer reviews by residential customers


The Path to Drawdown: Solar PV Manufacturing

To solve climate change and stay below 1.5ºC of global warming, the world needs to switch from generating power from fossil fuels to using 100% emissions-free sources.

The biggest source of this clean energy is the sun (barring advances in nuclear fusion). Photovoltaic or PV solar panels (the kind you see on rooftops) have emerged as the predominant way of capturing the sun's energy and converting it into electricity.

The solar PV industry has been growing fast and, as of 2020, solar panels are now the cheapest source of electricity in most places on earth.

Solar accounts for ~2% of global electricity today. According to Project Drawdown, to be on a path to remain under 1.5ºC of warming, rooftop and utility scale solar will need to be generating a combined ~40% of global electricity by 2050.

To get there, the PV solar industry will need to continue to massively scale over the few next decades:

  • 720 TWh of solar electricity generated in 2019
  • 28,200 TWh needed by 2050
  • CAGR of 12.56% from 2019 - 2050

Another analysis from the IEA predicts that, to reach a 100% clean electricity grid by 2050, annual solar panel manufacturing capacity will need to scale from 110 GWs in 2019 to 630 GWs in 2030.

About

Sunworks, Inc. (stock ticker: SUNW) is a provider of high performance solar power systems for agricultural, commercial, industrial, public works, and residential markets. Headquartered in Roseville, California, they’ve been serving customers in California, Nevada, Oregon, Florida and Texas.

SUNW’s Role in Drawdown

Sunworks provides (p. 3) solar PV-based power systems for the agricultural, commercial, industrial, public works, and residential markets. They design, arrange, finance, integrate, install, and manage systems ranging in size from 2 KW for residential customers to multi-MW systems for agricultural, commercial, industrial customers and public works. 

Nearly half of Sunworks’ revenue is generated by contracts with customers in the agricultural, commercial, and industrial sectors. The rest comes from sales to public works and residential customers, each accounting for about 25%.

SUNW: What We Like

We’ll update this section once Sunworks makes their sustainability efforts available.

SUNW: What We Want to See Improve

Report GHG Emissions


While we commend Sunworks for helping their business and residential customers avoid GHG emissions by providing them with solar PV systems, we also need to see Sunworks’ own direct and indirect emissions. The company’s executives should track their scope 1, 2 and 3 emissions and report these metrics in an annual sustainability report.

Set Cear Emissions Reduction Targets


Once emissions are tracked and reported, the next step would be to reduce emissions. Sunworks’ fleet of vehicles (p. F-13), as well as regional and local offices could be transitioned to renewable electricity and clean energy. These transitioned should be in a context of science-based targets for reducing overall GHG emissions within a specific timetable, which should also be included in their sustainability report.

Scale Up to Faster


Sunworks has had a large deficit and suffered losses (p. 8) since their inception. In terms of revenue, too, the company’s sales have been on the decline in 2016. We want to see Sunworks scale up their operations and sales to the point of achieving profitability and year-on-year revenue growth.

Other Residential Solar Stocks in the Climate Index

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