Energy Inequality in California and how Ivy can help Alleviate it
California is one of the most energy-efficient American states. However, it has got to this stature of being able to reduce carbon emissions at the cost of creating notable energy poverty. There has been an immense emphasis on combating global warming and its consequences by shifting to clean energy. However, there have been no concrete strategies that ensure that these efforts and resources to tackle climate change are uniformly accessible to all.
Almost 70% of residents in California are renters or fall under the low-income group. This makes it imperative to consider the income levels of such residents when introducing clean energy upgrades. Besides that, there is a whole set of challenges that renters and non-property owners face in trying to achieve savings by switching to cleaner energy.
We are going to discuss some of the primary issues revolving around the issue of energy poverty in California and how Ivy can help bridge the gap.
Low-income Households Suffer as Measures to Limit Natural Gas Usage Progresses
A considerable proportion of the income in a lower-class household is spent on energy. The inability to afford energy has led to several households living in homes with unsafe temperature levels or having to cut expenses on other necessities to live comfortably. There is an energy injustice owing to a lack of financial support for lower class and renters wanting to switch to more energy-efficient electrical fittings.
The restrictions around using natural gas have tightened over the recent years in California to maintain its green credentials. As a result, what awaits lower-class residents is the imposition of a regressive energy tax and growing dependence on electricity.
To add to that, the electricity prices have been raised exorbitantly in the last decade, with the prices growing 3x than the average since 2017. Both of these factors lead to a wide disparity, as low-income groups are burdened with growing energy costs. These lower-class households are mainly located inland where summers are terrible, leading to ample use of electricity for air conditioning. The same bans and restrictions do not make a significant difference to homeowners and businesses in elite areas of California where wealth is not an issue.
No Incentive for Renters to Switch to Energy Efficient Homes
One of the main barriers that have kept renters in California from enjoying savings by shifting to a more energy-efficient lifestyle is the lack of incentives to do so and the restrictions placed by landlords. There is only a certain extent to which renters can make the changes to adopt a clean energy lifestyle considering the lease contracts which only allow limited alterations to the home.
At the same time, there is also a lack of participation by landlords who can do more to be helpful in this area. A dearth of policies and resources that can help renters negotiate better with landlords further deepens the issues.
Some other factors that can be attributed to the failure of creating equal access to clean energy savings include:
- Fragmented markets and barriers to executing the programs
- Financial issues
- Unavailability of ample data to measure the success of programs
The good news is that there has been a growing impetus to create energy justice for all. Clean energy businesses focusing on creating channels and markets that make clean energy more accessible to low-income residents are on the rise. Such services can help make sure that the green credentials of California are not earned at the cost of its low-income group residents. Ivy Energy is one such service provider that is creating ripples with its services that help create better access to renewable energy.
Why Ivy?
Ivy believes that access to clean energy should not be difficult and has created a proprietary technology to help everyone in California adopt a sustainable lifestyle with solar energy with ease. One of the main challenges for renters is the lack of freedom to make any changes to the property they live on for accessing solar power.
This is where Ivy comes in. It offers a d virtual grid smart software that does away with the complexities of switching to solar, especially in a shared solar setting. There is a lot that Ivy has to offer and why it is the response to solar energy woes for renters in California.
Profit from Shared Solar
Ivy’s hassle-free solutions help property owners monetize the solar energy produced from the solar assets on their properties. With a shared solar energy system in place that offers savings for tenants, landlords can also maximize the asset value.
Accurate Billing and Transparent Usage Data
Ivy deploys a transparent process to help its users understand their energy consumption patterns. The software is a virtual utility for each apartment. It takes into account data of energy usage in real-time for allocating the required amount of solar energy in multi-family structures. This also helps ensure that there is no instance of over-billing and also offers a complete picture of the costs to tenants of all households.
Assured ROI for Property Owners
We understand that investing in something without knowing the returns it will yield can be a deal-breaker. This is why Ivy offers property owners a trial program to help them get better insights into how much they can save with the software before spending on it.
Ivy makes it easier for tenants and landlords to ensure compliance with Title 24 without the need for any hardware or lengthy installation. With shared solar, renters and non-property owners looking for alternate and affordable sources of energy. The cost-effective and transparent approach that Ivy offers can help propel a fair journey to sustainable living without creating further energy poverty.
Pioneering the Future of Multi-Tenant Solar Energy Management
2024 was a trailblazing year for Ivy Energy, where we shattered barriers, redefined possibilities, and delivered innovative solutions to address the multi-tenant solar split incentive challenge. By driving product advancements, forging impactful partnerships, and scaling operational processes, we empowered multi-tenant properties to embrace clean energy with confidence.
A Year of Growth and Market Expansion
Ivy has grown its active project pipeline 450% compared to 2023, with a line of sight to clear +600% in active projects by the end of the year. Our tech-enabled solutions empower more communities than ever. With $18M in Series A funding (Read more) and the strategic acquisition of Glow Energy (Read more), we are poised for unprecedented growth and impact. This investment enables us to enhance our technology, streamline operations, and expand our reach into new markets nationwide.
Entering new markets with increased resources allows us to address diverse energy challenges and deliver tailored solutions to property owners and tenants. Additionally, the launch of our consulting arm provides expert guidance for our clients and partners to save money and enhance ROI while navigating intricate solar investments.
Meaningful Operational Updates
At Ivy, innovation isn’t just about technology—it’s about creating digital tools that empower our clients and their tenants:
- PropTech Integrations: Partnered with RealPage, Entrata, and Yardi to automate rent roll syncing, move-in/move-out updates, and direct charge posting to resident ledgers. These integrations reduce monthly processing time by up to 2 hours per property while enhancing data accuracy and operational efficiency.
- NEM Credit Delay Optimization: The Utility Coordination team adopted the CPUC informal complaint process to reduce delays in NEM activation after PV solar system commissioning. This improvement cut the average resolution time for delayed NEM credits from 123 days in 2023 to 49 days in 2024, allowing property owners to see Net Operating Income over two months sooner on average.
Platform Advancements that Lead the Industry
Our engineering team broke new ground, ensuring our platform stays ahead of the curve:
- Migrated to a new infrastructure processing system for faster processing and further automation improvements across operational features.
- Introduced IvyDual in response to regulatory requirements in California, which allows us to enter new markets where consolidated billing is not viable.
- Achieved SOC 2 Compliance, reaffirming our commitment to data security. (Read more)
- Built initial public API for Conservice integration and new utility data access pathways, strengthening our platform’s versatility and reliability.
Empowering Positive Experiences with CX
At Ivy Energy, our customers rely on us as true partners in their clean energy journey, helping them achieve long-term NOI growth while providing exceptional support for property owners and tenants. We consistently deliver this experience by simplifying complex utility processes and offering our white-glove service that ensures our clients feel supported, informed, and empowered to succeed. This year, Ivy’s Customer Experience Team launched two significant platforms:
- Ivy Implementation Portal: A step-by-step, transparent portal that simplifies solar implementation for our clients and partners across multiple organizations. (Watch a walkthrough of the new portal here.)
- Resident Help Center: Educate tenants about the solar program with helpful resources and offer direct support online or by phone. (Explore the Help Center)
Shaping the Future Through Thought Leadership
In 2024, Ivy Energy reinforced its position as an industry leader; our Virtual Grid 3.0 impressed the judges and earned first place in Solar Power World’s “Best in Show” award for large-scale solar innovation. (Read more)
Leadership team members Alex Dogan, Tanya Kuhn, and Sean Nam were celebrated in San Diego Business Journal’s Leaders of Influence in Technology 2024 for their contributions to advancing sustainable energy. (Read more) Ivy was also featured in Alt Energy Magazine (Read more), San Diego Business Journal (Read more), and on Solar Academy. (Read more)
Logan Carter showcased Ivy’s groundbreaking innovations in a main stage speech at Cretech NY (Watch here), an engaging appearance on the IMN Podcast (Listen here), and a deep-dive interview with Chris Moreno, also known as “Mr. PropTech.” (Watch here) Ivy’s policy team further expanded its influence by authoring a Model VNEM Whitepaper, a critical guide to enabling multi-tenant solar models nationwide. (Read the Whitepaper).
Measurable Environmental Impact
This year, Ivy Energy amplified its environmental contributions, with contracted units in implementation set to offset an astounding 109 million pounds of CO2. Meanwhile, active units have already offset 9 million pounds of CO2, demonstrating our ongoing dedication to reducing carbon emissions.
Looking Ahead to 2025
As we celebrate 2024’s successes, we are always looking to the future. In 2025, we’ll continue to push boundaries, deliver innovations that empower our clients, improve tenant experiences, and lead the multi-tenant housing sector toward a sustainable future.
A Message from Dover Janis, CEO of Ivy Energy
“2024 was a year of progress and adaptation. While utility-caused delays challenged our growing pipeline, our focus on agile problem-solving reduced their impact and kept the market moving forward. This is a testament not only to the dedication and focus of our team but also to the strong macro-level foundation that the onsite energy business model provides for real estate owners, even in the face of monopoly-driven resistance. With a large and expanding customer base and hundreds of projects, we have continued to validate the transformative potential of clean energy solutions for shared communities. I’m incredibly proud of our team—now among the most mature, knowledgeable, and experienced in the industry—as we trail blaze the path forward. The market is primed to grow and drive transformative change in local communities. I’m deeply grateful to our partners and customers, whom we have the privilege of serving every day as we continue to lead the way.”
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