CAMBRIDGE, Mass., July 23, 2024 /PRNewswire/ — Solstice, a leading community solar provider and long-time advocate for energy equity in under-resourced communities, proudly announces funding from Google.org to advance its groundbreaking EnergyScore initiative.
Developed to address the disparities faced by low- to moderate-income (LMI) households in accessing clean energy, EnergyScore is a breakthrough machine learning-based qualification metric designed by Solstice. Today, approximately four out of every five American households are excluded from rooftop solar installations due to factors such as eligibility restrictions, homeownership status, and limited access to financing. This disparity creates a clear socioeconomic division, with less than 5 percent of solar installations belonging to households earning less than $40,000 per year. The latest step in the support from Google.org, Google’s philanthropic arm, marks a significant step towards creating inclusive energy solutions for traditionally marginalized communities (Energy.gov, 2016).
“Solstice was founded on the belief that solar energy should be accessible to all, regardless of socioeconomic status,” stated Steph Speirs, Co-founder and former CEO of Solstice. “EnergyScore is a scalable solution to include more households in our clean energy transition, aiming to bridge the gap for households unable to qualify for clean energy upgrades.”
EnergyScore combines utility payment history and customer data with advanced AI algorithms to provide solar developers with a metric that surpasses the accuracy and inclusivity of FICO credit scores in predicting subscriber bill payment behavior for utilities. This metric incentivizes solar developers to adopt EnergyScore, expanding their customer base and reducing customer turnover rates, while importantly qualifying a higher proportion of LMI individuals to access renewable energy products.
“Early results have been promising,” added Sandhya Murali, Co-founder and newly appointed CEO of Solstice. “Our analysis of nearly 875,000 customer records demonstrates that EnergyScore results in a 1.9 percentage point reduction in default rate compared to FICO and increases the number of LMI households by 14%. This support will empower us to advance our research and launch EnergyScore, ensuring that clean energy access is equitable and inclusive.”
The generous support from Google.org will significantly propel the EnergyScore initiative, enabling companies to redefine how they qualify individuals for clean energy products. EnergyScore challenges the reliance on outdated FICO credit scores as a qualification metric, aiming to introduce a more inclusive and accurate system for assessing eligibility for clean energy programs.
As artificial intelligence applications proliferate across industries, the importance of designing responsible machine learning-based systems is escalating. Ethical model design is essential to EnergyScore. With this collaborative support, Solstice will design and implement dynamic monitoring and evaluation frameworks for both data and model signals, allowing for continuous assessment and mitigation of biases.
An essential component of Solstice’s project is the initiation of a pilot project. This initiative will involve Solstice partnering with a residential solar financier or developer to rigorously evaluate the efficacy of EnergyScore. The primary goal is to demonstrate tangible impacts for marginalized communities, which have historically been excluded from green energy financing. Solstice will begin recruiting pilot partners later this year.
Google’s commitment to a sustainable future aligns seamlessly with Solstice’s mission. In addition to supporting organizations like Solstice, Google remains steadfast in its commitment to sustainability and climate action. “At Google, we believe in leveraging technology and innovation to drive positive change for our planet. Our collaboration with Solstice represents our dedication to empowering initiatives that create equitable access to clean energy solutions,” commented Karla Palmer, Manager of AI for Social Good & Sustainability at Google.org.
Google’s sustainability ethos involves utilizing their platforms and innovations to assist individuals, organizations, and governments in making more sustainable choices. The company is committed to achieving net-zero emissions across its operations and value chain by 2030, supported by a goal to power its data centers and office campuses with 24/7 carbon-free energy such as solar and wind.
This collaboration between Solstice and Google.org represents a significant stride towards a more inclusive and sustainable future, underscoring a shared commitment to environmental stewardship and equitable access to clean energy.
About Solstice Power Technologies LLC
Solstice Power Technologies is a leading U.S. customer acquisition and management service provider in community solar. Originally based in Cambridge, MA, Solstice was founded in 2016 by women of color co-founders who believe every community can be powered by renewable energy. Solstice is dedicated to bringing affordable solar power to the 77% of American households that cannot support a rooftop system. Community solar offers a solution, enabling residents to support local clean energy at no upfront cost and save money on their electric bill every year. Solstice offers customer solutions for the community solar industry ‒ enrolling households and local organizations in shared projects, creating financing innovations that expand access to underserved communities (the EnergyScore), and providing a frictionless subscriber management software platform for projects. For more information, visit https://solstice.us.
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