2023-04-20 18:29:27 ET
A government program intended to support the take-up of alternative energy sources was supporting Sunnova Energy 's (NYSE: NOVA) stock on Thursday. On news that Sunnova had won this backing from the federal government's Department of Energy (DoE), investors traded the stock up by almost 15% on the day.
The DoE is providing a partial loan guarantee of up to $3 billion to Sunnova, which covers 90% of the $3.3 billion of solar energy loans the company is planning to originate. Under a company program called Project Hestia, that amount aims to help provide disadvantaged customers with financing that builds or expands solar energy systems.
This ties in well with the Biden administration's goal of boosting green energy solutions in the U.S. While the upfront costs of solar aren't as burdensome as they used to be, systems can still be rather expensive to build from the ground up.
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Why Sunnova Energy Stock Surged Nearly 15% Higher Today