San Francisco catches on to bulk solar purchasing by using Groupon model

 In an effort to boost the city’s solar energy use, San Francisco officials have launched a pioneering program keying in on a simple model: group discounts.

Solar@Work, developed by the city’s Department of the Environment and the National Renewable Energy Laboratory, encourages commercial business owners to join together to create one solar purchasing group. The larger the group, the cheaper each owner’s cost.

While San Francisco has been promoting solar power over the past years, this model targets the daunting prices of solar panel installation and use, which at times can range into the hundreds of thousands of dollars. Group purchasing could cut these prices up to 15 percent.

And business owners won’t be the only group profiting from this program. The city selected San Mateo’s SolarCity to be the provider of solar panels in bulk, as it is a local company and is already a city-used business. SolarCity plans on adding 100 new employees to their staff, in preparation for an installation influx, by the end of the year.

This business model follows in the footsteps of Groupon, the popular coupon website founded on group purchasing. While Solar@Work provides a more large-scale example, Groupon’s daily deals — ranging from facials to wine tasting — are clearly in the roots of this endeavor.

Few guidelines, including building size and style, limit which businesses can apply. The program is specifically looking for business buildings shorter than three stories with accessible and available roof space for the installation.

All business types are encouraged to join by contacting renewables@sfgov.org.