Sunnova files bankruptcy amid residential solar demand slump

Houston’s Sunnova Energy filed for Chapter 11 in Texas after losing a $2.92B loan guarantee, citing $10.67B in debt and cutting 718 jobs to reduce spending.

By Prudhvi Rani 10 Jun 2025 | Updated On 10 Jun 2025 13:31 IST in America Bytes

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Sunnova TEP Developer also entered bankruptcy as weakening demand and loan cancellation added pressure to the company’s $10–$50B liability range. Image Source: KindelMedia/Pexels

Houston-based solar company Sunnova Energy has filed for Chapter 11 bankruptcy in Texas, citing $10.67 billion in debt and weakening demand. The company estimates its liabilities to be between $10 billion and $50 billion. In March, it warned of financial instability and last week cut 55% of its workforce, or 718 jobs. Its unit, Sunnova TEP Developer, also entered bankruptcy earlier this month. The US residential solar sector is under pressure from high interest rates, reduced incentives in California, and potential subsidy cuts. Last month, the Trump administration canceled a $2.92 billion loan guarantee previously awarded by the Biden administration. Industry uncertainty deepened after SunPower collapsed last year following an SEC subpoena and its CEO’s exit

#Texas #Houston #SunnovaTEPDeveloper #Sunnova

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