San Francisco-based solar company SunRun has created two financing programs to help homeowners who want PV on their rooftops. SunRun's Power Plan and Total Solar programs offer solar as a service, enabling consumers to forget about maintenance and to reduce the upfront cost of installing solar panels.

SunRun president Nat Kreamer says the plans offer 18-year contracts that guarantee minimum power delivery, a fixed energy rate, and the company will replace non-functioning panels during the life of the contract.

The Power Plan can cost as little as $2,000 upfront, or customers can spread that amount over the first year. The Total Solar plan requires full upfront payment for the contracted amount of power upfront through a power purchase agreement (PPA), but eliminates the worries of consumers having to service the equipment.

Kreamer says paying the fixed rate for solar power will shave about 30 percent off monthly utility bills. Homeowners can prepay to end the contract early, or assign the contract to the new owner should they decide to sell their home.

The credit crunch doesn't appear to have impacted SunRun's business as much as you might expect. In November, US Bancorp provided SunRun with $105 million in financing so that it could create PPAs with up to 2,000 homeowners. According to Kreamer, SunRun added 400 residential customers in 2008 and is now one of the top 5 residential solar companies in the state. He says with the downturn consumers aren't spending on luxury items, while reducing energy costs remains an attractive investment.

SunRun keeps its costs down by selling the renewable energy credits (RECs) that are created by generating electricity from solar power. Kreamer says the value for the company selling RECS into the market is greater than what consumers can get on their own. Not owning the REC shouldn't be a negative to consumers, because homeowners' reducing their carbon footprint generates its won "societal value."

SunRun is eyeing expanding outside of California, with Arizona, Colorado and Oregon on its short list. Most of its customers are currently served by Pacific Gas, Southern California Edison and San Diego Gas Electric, but Kreamer hopefully that the mayor's office in Los Angeles as well as the county's Department of Water & Power will "allow companies like us to operate there."