Sunworks Inc (NASDAQ:SUNW) shares were flat at $1.54 on Wednesday and barely budged in after-hours trading. Share prices have been trading in a 52-week range of $1.28 to $3.36. The company has a market cap of $33.47 million at 22.44 million shares outstanding.
Sunworks Inc is a company that provides photo voltaic based power systems for the residential, commercial and agricultural markets in California and Nevada. Through its operating subsidiaries, the company designs, arranges financing, integrates, installs and manages systems ranging in size from 2 kilowatt (KW) for residential loads to multi megawatts (MW) systems for larger commercial projects.
Its commercial installations include office buildings, manufacturing plants, warehouses and agricultural facilities, such as farms, wineries and dairies. It also provides a range of installation services to its solar energy customers, including design, system engineering, procurement, permitting, construction, grid connection, warranty, system monitoring and maintenance and has installed over 850 systems in California and Nevada.
Recent developments revealed that the Nevada State Assembly passed Bill 405 or AB405 by a vote of 38-2, which means that the legislation will now be under consideration by the State Senate which has 13 days remaining in the 2017 legislative session.
This bill includes a “Solar Bill of Rights” provision, which reinstates net metering with a new system that uses a tiered approach for calculating the export rate of electricity based on the overall penetration of rooftop solar installations throughout the state. In other words, this restores net metering rates starting at 95% of the full retail rate for excess electricity produced by consumers.
This is considered a plus for solar companies which have been experiencing a lot of uncertainty for the last two years due to a combination of policy changes and reductions in net metering rates by the Public Utilities Commission. These changes virtually ended net metering programs in Nevada and resulted in heavy job losses for those in the solar industry. The new bill promises rooftop solar businesses to return to the existing rate classes of all other consumers, thereby protecting them from discriminatory rates, charges, and fees.
“We’re pleased with the passage of the revised bill. We believe the bill provides greater transparency for consumers and businesses and will enhance Nevada’s solar industry through a sensible rate structure and will lead to accelerated growth in solar-related jobs,” said Sunworks Inc Regional Vice President of Sales, Casey Coffman.