Predatory door-to-door solar panel sales prompt municipal ask for increased regulation

As solar panels become more popular in Alberta, several municipalities want the province to tighten the rules around companies' sales tactics.

Door-to-door sales are a sore spot the city of St. Albert intends to ask the province to fix at the next conference of municipalities in the fall.

Solar panels fall under a widespread Clean Energy Improvement Programs (CEIP) plan that allows municipal residents to put property taxes toward home energy upgrades.

This includes furnaces, air conditioning, windows and solar products. In 2017, the Alberta government banned door-to-door sales for all home-energy products – except solar.

St. Albert council says that’s created an uneven playing field for other contractors, as well as a potentially predatory situation for consumers, ever since.

High-pressure tactics and scams are an evergreen concern for homeowners who open their doors to salespeople.

Jordan Kruhlak created Glean Solar Broker to negate door-to-door sales needs completely.

“We started because solar is difficult. It’s hard to figure out which installers to use, it’s hard to compare quotes,” the founder told CTV News Edmonton.

“Door-to-door encourages people to sign contracts on the spot, only to get one quote. We’re the opposite. We encourage people to take their time. This is a large investment. Get multiple quotes.”

He says consumers falling victim to misinformation or bad actors pushing for an expensive sale is hurting the reputation of the solar industry.

“On average, door-to-door prices are definitely higher, anywhere from 1.5 to five times. Homeowners received a quote and didn’t really know what they’re getting themselves into,” he said.

Solar Alberta, a club championing clean energy usage, makes its members abide by a code of conduct that includes a 24-hour cooling-off period before finalizing a door-to-door sale. It wants the province to consider adding similar regulations.

The group doesn’t represent all solar companies, as some choose not to abide by the group’s code of conduct or have previously been expelled for contract and advertising infractions.

Executive director Heather MacKenzie says her group keeps a list of current and expelled members so consumers can get a better background on who they’re buying from, but contractors who play by the rules are also being outsold by those who use aggressive techniques.

St. Albert motion, municipal support and province response

During a fall Alberta Municipalities Convention, St. Albert will put forward a resolution to ask the province to enhance regulatory oversight of door-to-door sales.

“I was pleased to hear that the councils of the Towns of Jasper, Westlock and Rocky Mountain House have all passed motions to second the resolution,” Coun. Sandy Clark told CTV News Edmonton.

Alberta red tape reduction minister Dale Nally says the province is currently reviewing rules around prepaid contracting and direct selling, including solar panel sales.

“Until that work is complete, I encourage Albertans to be cautious of high-pressure sales tactics, ask questions, shop around, and make sure all terms and promises are in writing before signing a contract,” Nally said in a statement.

MacKenzie does hope crackdowns don’t mean an end to all door-to-door solar sales, given what she calls Alberta’s growing micro-generation industry and interest in clean energy.

“I think it would be a real shame if we got to the point where we can’t go and say, ‘Hey, you have a nice roof, you might want to consider (solar panels),’” she added.

“If we’re banning taking signatures and money at the door, then that would be great.”

Handling door-to-door salespeople

Kruhlak echoed the same advice Nally gave in avoiding scams should a salesperson come knocking at your door.

“Don’t sign on the spot, make sure you give yourself some time, hear their pitch but get multiple quotes,” he said.

“Go find two or three other local electrical contractors that can do solar panel installations, they don’t subcontract the work, they don’t use high-pressure sales tactics, and figure out whether the price you originally got lines up.”

He also suggests reading the full financing contract for those “too good to be true” 0-per-cent claims with fees buried in the dealer or system price.

MacKenzie says contractors who aren’t on a public site like Solar Alberta – or who claim to be when they’re not – should also be a red flag.

But she hopes with a bit of research, Alberta neighbourhoods can stay eco-friendly.

“There are almost 45,000 Albertans with solar on their home or business … The vast majority of them are really happy with it, and they’re seeing incredible returns on their investment.”

With files from CTV News Edmonton’s Nicole Weisberg