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                                                                 Exhibit 10.42

                              COMMON STOCK WARRANT

THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED,
QUALIFIED, APPROVED OR DISAPPROVED UNDER THE SECURITIES ACT OF 1933, AS AMENDED,
OR THE SECURITIES LAWS OF ANY STATE AND MAY NOT BE SOLD OR OTHERWISE DISPOSED OF
EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER SUCH ACT AND
APPLICABLE STATE SECURITIES LAWS OR AN APPLICABLE EXEMPTION FROM THE
REGISTRATION REQUIREMENTS OF SUCH ACT OR SUCH LAWS AND NEITHER THE UNITED STATES
SECURITIES AND EXCHANGE COMMISSION NOR ANY OTHER FEDERAL OR STATE REGULATORY
AUTHORITY HAS PASSED ON OR ENDORSED THE MERITS OF THESE SECURITIES.

THE SHARES OF COMMON STOCK ISSUABLE UPON THE EXERCISE OF THE SECURITIES
REPRESENTED HEREBY ARE SUBJECT TO AN INVESTOR RIGHTS AGREEMENT, A STOCKHOLDERS
AGREEMENT AND A STOCK TRADING AGREEMENT, AS EACH OF THE SAME MAY BE AMENDED FROM
TIME TO TIME, COPIES OF WHICH ARE AVAILABLE FOR INSPECTION AT THE PRINCIPAL
OFFICES OF THE COMPANY.

                                                                  WARRANT NO. 25

                               WARRANT CERTIFICATE

                       TO PURCHASE SHARES OF COMMON STOCK,

                           PAR VALUE $0.0001 PER SHARE

                                       OF

                               ELECTRIC CITY CORP.

          THIS IS TO CERTIFY THAT RICHARD P. KIPHART or his registered assigns
(the "HOLDER"), is the owner of 281,250 warrants (the "WARRANTS"), each of which
entitles the registered Holder thereof to purchase from Electric City Corp., a
Delaware corporation (the "COMPANY"), one fully paid, duly authorized and
nonassessable share of Common Stock, par value $0.0001 per share (the "COMMON
STOCK"), of the Company at any time or from time to time on or before 5:00 p.m.,
New York City time, on the Warrant Expiration Date, at an exercise price of
$1.00 per share, subject to adjustment from time to time as set forth herein
(the "EXERCISE PRICE"), all on the terms and subject to the conditions
hereinafter set forth.

          The number of shares of Common Stock issuable upon exercise of each
Warrant (the "NUMBER ISSUABLE") shall be determined for each Warrant by dividing
$1.00 by the Exercise Price in effect at the time of such exercise, and is
initially one (1) share of Common Stock. Capitalized terms used herein but not
otherwise defined shall have the meanings given them in SECTION 13 hereof or, if
not therein defined, in the Securities Purchase Agreement.

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          Section 1.   EXERCISE OF WARRANTS. Subject to the last paragraph of
this SECTION 1, the Warrants evidenced hereby may be exercised, in whole or in
part, by the registered Holder hereof at any time or from time to time on or
before 5:00 p.m., New York City time, on the Warrant Expiration Date, upon
delivery to the Company at the principal executive office of the Company in the
United States of America, of (a) this Warrant Certificate, (b) a written notice
stating that such Holder elects to exercise the Warrants evidenced hereby in
accordance with the provisions of this SECTION 1 and specifying the number of
Warrants being exercised and the name or names in which such Holder wishes the
certificate or certificates for shares of Common Stock to be issued and (c)
payment of the Exercise Price for the shares of Common Stock issuable upon
exercise of such Warrants, which shall be payable by any one or any combination
of the following: (i) cash, (ii) certified or official bank check payable to the
order of the Company, (iii) by the surrender (which surrender shall be evidenced
by cancellation of the relevant number of Warrants represented by any Warrant
certificate presented in connection with a Cashless Exercise (as defined below))
of a Warrant or Warrants (represented by one or more relevant Warrant
certificates), and without the payment of the Exercise Price in cash, in return
for the delivery to the surrendering Holder of such number of shares of Common
Stock equal to the number of shares of Common Stock for which such Warrant is
exercised as of the date of exercise (if the Exercise Price were being paid in
cash) reduced by that number of shares of Common Stock equal to the number of
shares for which such Warrant is exercised multiplied by a fraction, the
numerator of which is (A) the Exercise Price and the denominator of which is (B)
the Market Price of one share of Common Stock on the Business Day that
immediately precedes the day of exercise of the Warrant or (iv) by the delivery
of shares of Common Stock that are valued at the Market Price on the Business
Day immediately preceding the day of the exercise of the Warrant that are either
held by the Holder or are acquired in connection with such exercise, and without
payment of the Exercise Price in cash. Any share of Common Stock delivered as
payment of the Exercise Price in connection with an In-Kind Exercise (as defined
below) shall be deemed to have a value equal to the Market Price of one share of
Common Stock on the Business Day that immediately precedes the day of exercise
of the Warrant. An exercise of a Warrant in accordance with clause (iii) is
herein referred to as a "CASHLESS EXERCISE" and an exercise of a Warrant in
accordance with clause (iv) is herein referred to as an "IN-KIND EXERCISE." The
documentation and consideration, if any, delivered in accordance with clauses
(a), (b) and (c) of this paragraph above are collectively referred to herein as
the "WARRANT EXERCISE DOCUMENTATION." For the purposes of this SECTION 1, Market
Price shall be calculated without reference to the last sentence of the
definition thereof.

          As promptly as practicable, and in any event within two (2) Business
Days after receipt of the Warrant Exercise Documentation, the Company shall
deliver or cause to be delivered certificates representing the number of validly
issued, fully paid and nonassessable shares of Common Stock issuable in
connection with such exercise, and if less than the full number of Warrants
evidenced hereby are being exercised, a new Warrant Certificate or Certificates,
of like tenor, for the number of Warrants evidenced by this Warrant Certificate,
less the number of Warrants then being exercised or surrendered; PROVIDED,
HOWEVER, that no new Warrant Certificate need be delivered if the Warrant
Expiration Date has occurred. Such exercise shall be deemed to have been made at
the close of business on the date of delivery of the Warrant Exercise
Documentation so that the Person entitled to receive shares of Common Stock upon
such exercise shall be treated for all purposes as having become the record
holder of such shares of Common Stock at such time.

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          The Company shall pay all expenses in connection with, and all taxes
and other governmental charges (other than income taxes of the Holder) that may
be imposed in respect of the issue or delivery of any shares of Common Stock
issuable upon the exercise of the Warrants evidenced hereby. The Company shall
not be required, however, to pay any tax or other charge imposed in connection
with any transfer involved in the issue of any certificate for shares of Common
Stock in any name other than that of the registered Holder of the Warrants
evidenced hereby.

          In connection with the exercise of any Warrants evidenced hereby, at
the Company's option, no fractions of shares of Common Stock shall be issued,
but in lieu thereof the Company may elect to pay a cash adjustment in respect of
such fractional interest in an amount equal to any such fractional interest
multiplied by the current Market Price per share of Common Stock on the Business
Day that precedes the day of exercise. If more than one such Warrant shall be
exercised by the Holder thereof at the same time, the number of full shares of
Common Stock issuable on such exercise shall be computed on the basis of the
total number of Warrants so exercised.

          SECTION 2.   ADJUSTMENTS. The Exercise Price shall be subject to
adjustment from time to time as provided in this SECTION 2.

          (a)  ADJUSTMENT OF EXERCISE PRICE UPON ISSUANCE OF COMMON STOCK. If
after June 4, 2002 (the "ISSUE DATE") the Company shall issue or sell any shares
of its Common Stock (except upon exercise of the Warrants and shares issued as a
result of adjustments made under the terms of the Warrants) for a price per
share less than (including, without limitation, those circumstances described in
paragraphs (i) through (vii) below), the Exercise Price in effect on the date
immediately prior to the date of such issue or sale, then, immediately upon such
issue or sale, the Exercise Price then in effect shall be reduced to such lower
price per share.

               (i)     ISSUANCE OF RIGHTS OR OPTIONS. In case at any time after
the Issue Date the Company shall in any manner grant (whether directly or by
assumption in a merger or otherwise), any rights to subscribe for or to
purchase, or any options or warrants for the purchase of, Common Stock or any
stock, notes or securities convertible into or exchangeable for Common Stock
(such convertible or exchangeable stock, notes or securities being herein called
"CONVERTIBLE SECURITIES"), whether or not such rights, options or warrants or
the right to convert or exchange any such Convertible Securities are immediately
exercisable, such grant shall be deemed a sale by the Company of its Common
Stock and the price per share for such deemed sale of Common Stock shall be
determined by dividing (A) the total amount, if any, in cash or in property
received or receivable by the Company as consideration for the granting of such
rights, options or warrants, plus the minimum aggregate amount of additional
consideration, if any, payable to the Company upon the exercise of such rights,
options or warrants, plus, in the case of such rights, options or warrants that
relate to Convertible Securities, the minimum aggregate amount of additional
consideration, if any, payable upon the issue or sale of such Convertible
Securities and upon the conversion or exchange thereof, by (B) the total maximum
number of shares of Common Stock issuable upon the exercise of such rights,
options or warrants or upon the conversion or exchange of all such Convertible
Securities issuable upon the exercise of such rights, options or warrants.
Except as provided in SECTION 2(a)(iii), no further adjustment of the Exercise
Price shall be made upon the actual issue

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of such Common Stock or of such Convertible Securities upon exercise of such
rights, options or warrants or upon the actual issue of such Common Stock upon
conversion or exchange of such Convertible Securities.

               (ii)    ISSUANCE OF CONVERTIBLE SECURITIES. In case at any time
after the Issue Date the Company shall in any manner issue (whether directly or
by assumption in a merger or otherwise) or sell any Convertible Securities,
whether or not the rights to exchange or convert thereunder are immediately
exercisable, such issuance or sale of Convertible Securities shall be deemed a
sale by the Company of its Common Stock and the price per share for such Common
Stock shall be determined by dividing (A) the total amount received or
receivable in cash or in property by the Company as consideration for the issue
or sale of such Convertible Securities, plus the minimum aggregate amount of
additional consideration, if any, payable to the Company upon the conversion or
exchange thereof, by (B) the total maximum number of shares of Common Stock
issuable upon the conversion or exchange of all such Convertible Securities;
PROVIDED, HOWEVER, that (I) except as otherwise provided in SECTION 2(a)(iii),
no further adjustment of the Exercise Price shall be made upon the actual issue
of such Common Stock upon conversion or exchange of such Convertible Securities,
and (II) if any such issue or sale of such Convertible Securities is made upon
exercise of any rights to subscribe for or to purchase or any option to purchase
any such Convertible Securities for which adjustments of the Exercise Price have
been or are to be made pursuant to other provisions of this SECTION 2(a), no
further adjustment of the Exercise Price shall be made by reason of such issue
or sale.

               (iii)   CHANGE IN OPTION PRICE OR EXERCISE PRICE. If the purchase
price provided for in any right or option referred to in SECTION 2(a)(i), the
additional consideration, if any, payable upon the conversion or exchange of any
Convertible Securities referred to in SECTION 2(a)(i) or 2(a)(ii), or the rate
at which any Convertible Securities referred to in SECTION 2(a)(i) or 2(a)(ii)
are convertible into or exchangeable for Common Stock shall change (other than
under or by reason of provisions designed to protect against dilution), the
Exercise Price then in effect hereunder shall forthwith be readjusted (increased
or decreased, as the case may be) to the Exercise Price that would have been in
effect at such time had such rights, options or Convertible Securities still
outstanding provided for such changed purchase price, additional consideration
or conversion rate, as the case may be, at the time initially granted, issued or
sold. No readjustment pursuant to the preceding sentence shall have the effect
of increasing the Exercise Price by an amount in excess of the amount of the
adjustment thereof originally made in respect of the issue, sale, grant or
assumption of rights, options or Convertible Securities. On the expiration of
any such option or right referred to in SECTION 2(a)(i) or the termination of
any such right to convert or exchange any such Convertible Securities referred
to in SECTION 2(a)(i) or 2(a)(ii), the Exercise Price then in effect hereunder
shall forthwith be readjusted (increased or decreased, as the case may be) to
the Exercise Price that would have been in effect at the time of such expiration
or termination had such right, option or Convertible Securities, to the extent
outstanding immediately prior to such expiration or termination, never been
granted, issued or sold. If the purchase price provided for in any such right or
option referred to in SECTION 2(a)(i) or the rate at which any Convertible
Securities referred to in SECTION 2(a)(ii) are convertible into or exchangeable
for Common Stock shall be reduced at any time under or by reason of provisions
with respect thereto designed to protect against dilution, then in case of the
delivery of shares of Common Stock upon the exercise of any such right or option
or upon conversion or exchange of any such Convertible Securities, the Exercise
Price then in effect hereunder shall, if

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not already adjusted, forthwith be adjusted to such amount as would have
obtained had such right, option or Convertible Securities never been issued as
to such shares of Common Stock and had adjustments been made upon the issuance
of the shares of Common Stock delivered as aforesaid, but only if as a result of
such adjustment the Exercise Price then in effect hereunder is thereby reduced.

               (iv)    CONSIDERATION FOR STOCK. Anything herein to the contrary
notwithstanding, in case at any time any shares of Common Stock or Convertible
Securities or any rights, options or warrants to purchase any such Common Stock
or Convertible Securities shall be issued or sold for cash, the consideration
received therefor shall be deemed to be the amount received by the Company
therefor, without deduction therefrom of any expenses incurred or any
underwriting commissions or concessions paid or allowed by the Company in
connection therewith.

               In case at any time any shares of Common Stock or Convertible
Securities or any rights or options to purchase any such shares of Common Stock
or Convertible Securities shall be issued or sold for a consideration other than
cash, in whole or in part, the amount of the consideration other than cash
received by the Company shall be deemed to be the fair value of such
consideration as determined reasonably and in good faith by the Board of
Directors of the Company, without deduction of any expenses incurred or any
underwriting commissions or concessions paid or allowed by the Company in
connection therewith. In case at any time any shares of Common Stock or
Convertible Securities or any rights or options to purchase such shares of
Common Stock or Convertible Securities shall be issued in connection with any
merger or consolidation in which the Company is the surviving company, the
amount of consideration received therefor shall be deemed to be the fair value
as determined reasonably and in good faith by the Board of Directors of the
Company of such portion of the assets and business of the nonsurviving
corporation as the Board may determine to be attributable to such shares of
Common Stock, Convertible Securities, rights or options, as the case may be. In
case at any time any rights or options to purchase any shares of Common Stock or
Convertible Securities shall be issued in connection with the issue and sale of
other securities of the Company, together comprising one integral transaction in
which no consideration is allocated to such rights or options by the parties
thereto, such rights or options shall be deemed to have been issued for an
amount of consideration equal to the fair value thereof as determined reasonably
and in good faith by the Board of Directors of the Company.

               (v)     RECORD DATE. In case the Company shall take a record of
the holders of its Common Stock for the purpose of entitling them to subscribe
for or purchase shares of Common Stock or Convertible Securities, then such
record date shall be deemed to be the date of the issue or sale of the shares of
Common Stock deemed to have been issued or sold as a result of the granting of
such right of subscription or purchase.

               (vi)    ADJUSTMENT TO DETERMINATION OF EXERCISE PRICE. When
making the calculations and determinations described in this SECTION 2(a), there
shall not be taken into account (A) the issuance of Common Stock upon the
exercise of options or warrants outstanding on the Issue Date, (B) the issuance
of Common Stock upon the conversion of the Series A Preferred Stock of the
Company, (C) the issuance of Common Stock upon the conversion of the Series C
Preferred Stock of the Company, (D) the issuance of Common Stock

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upon exercise of the Warrants evidenced by this Warrant Certificate, (E) the
issuance of Series A Preferred Stock upon exercise of the Series A Preferred
Stock Warrants or as dividends upon shares of the Series A Preferred Stock, (F)
the issuance of Series C Preferred Stock upon exercise of the Series C Preferred
Stock Warrants or as dividends upon shares of the Series C Preferred Stock, and
(G) the issuance of 30,082 shares of Common Stock pursuant to the Securities
Purchase Agreement.

               (vii)   GOOD FAITH. If any event occurs as to which in the
reasonable opinion of the Board of Directors of the Company, in good faith, the
other provisions of this SECTION 2 are not strictly applicable but the lack of
any adjustment in the Exercise Price or the Number Issuable or both would not in
the opinion of the Board of Directors of the Company fairly protect the exercise
rights of the Holder, in accordance with the basic intent and principles of such
provisions, then the Board of Directors of the Company shall appoint a firm of
independent certified public accountants (which may be the regular auditors of
the Company) of recognized national standing, which shall give their opinion
upon the adjustment, if any, to the Exercise Price or Number Issuable or both,
as the case may be, on a basis consistent with the basic intent and principles
of this SECTION 2, necessary to preserve, without dilution, the exercise rights
of all the registered Holders of the Warrants in accordance with this Warrant
Certificate.

               (viii)  NOTICE OF CHANGE IN EXERCISE PRICE. The Company promptly
shall deliver to each registered Holder of Warrants at least five (5) Business
Days prior to effecting any transaction that would result in an increase or
decrease in the Exercise Price pursuant to this SECTION 2, a statement, signed
by its independent certified public accountants, setting forth in reasonable
detail the event requiring the adjustment and the method by which such
adjustment was calculated and specifying the increased or decreased Exercise
Price then in effect following such adjustment.

          (b)  SUBDIVISION; COMBINATION OF STOCK OR STOCK DIVIDENDS. In case the
Company shall at any time subdivide its outstanding shares of Common Stock into
a greater number of shares, by split or otherwise, or issue additional shares of
Common Stock as a dividend (other than (i) a dividend in accordance with Section
3 of the Series A Certificate of Designations in respect of the Series A
Preferred Stock, or (ii) a dividend in accordance with Section 3 of the Series C
Certificate of Designations in respect of the Series C Preferred Stock), or make
any other distribution upon any class or series of stock payable in shares of
Common Stock or Convertible Securities, the Exercise Price in effect immediately
prior to such subdivision shall be proportionately reduced and, conversely, in
case the outstanding shares of Common Stock of the Company shall be combined
into a smaller number of shares, the Exercise Price in effect immediately prior
to such combination shall be proportionately increased.

          (c)  REORGANIZATION; RECLASSIFICATION; CONSOLIDATION; MERGER OR SALE
OF ASSETS. In case of (i) any capital reorganization or reclassification or
other change of outstanding shares of Common Stock (other than a change in par
value, or from par value to no par value, or from no par value to par value, or
as a result of a subdivision or combination), (ii) any consolidation or merger
of the Company with or into another Person (other than a consolidation or merger
in which the Company is the resulting or surviving Person and that does not
result in any reclassification or change of outstanding Common Stock) or (iii)
transfer or sale of all or

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substantially all of the Company's Assets to another person (any of the
foregoing, a "TRANSACTION"), the Company, or such successor or purchasing
Person, as the case may be, shall execute and deliver to each Holder of the
Warrants evidenced hereby, at least five (5) Business Days prior to effecting
any of the foregoing Transactions, a certificate that the Holder of each such
Warrant then outstanding shall have the right thereafter to exercise such
Warrant into the kind and highest amount of shares of stock or other securities
(of the Company or another issuer) or property or cash receivable upon such
Transaction by a holder of the number of shares of Common Stock into which such
Warrant could have been exercised immediately prior to such Transaction. Such
certificate shall provide for adjustments that shall be as nearly equivalent as
may be practicable to the adjustments provided for in this SECTION 2 and shall
contain other terms identical to the terms hereof. If, in the case of any such
Transaction, the stock, other securities, cash or property receivable thereupon
by a holder of Common Stock includes shares of stock or other securities of a
Person other than the successor or purchasing Persons and other than the
Company, who controls or is controlled by the successor or purchasing Person or
who, in connection with such Transaction, issues stock, securities, other
property or cash to holders of Common Stock, then such certificate also shall be
executed by such Person, and such Person shall, in such certificate,
specifically assume the obligations of such successor or purchasing Person and
acknowledge its obligations to issue such stock, securities, other property or
cash to Holders of the Warrants upon exercise thereof as provided above. The
provisions of this SECTION 2(c) similarly shall apply to successive
Transactions.

          (d)  ADJUSTMENT FOR OTHER DISTRIBUTIONS. If the Company distributes to
all holders of its Common Stock any of its assets (including but not limited to
cash), debt securities, preferred stock, or any rights or warrants to purchase
debt securities, preferred stock, assets or other securities of the Company, the
Exercise Price shall be adjusted in accordance with the following formula:

                       E'  =  E    X   M  -  F
                                       -------
                                          M

          where:

          E'   =   the adjusted Exercise Price.

          E    =   the current Exercise Price.

          M    =   the Market Price of one share of Common Stock on the record
date mentioned below.

          F    =   the fair market value (determined in good faith by the
Board of Directors of the Company) on the record date of the assets, securities,
rights or warrants applicable to one share of Common Stock.

          The adjustment shall be made successively whenever any such
distribution is made and shall become effective immediately after the record
date for the determination of stockholders entitled to receive the distribution.
This SECTION 2(d) does not apply to any dividend or distribution that results in
an adjustment to the Exercise Price pursuant to SECTION 2(a) or SECTION 2(b)
above.

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          SECTION 3.   NOTICE OF CERTAIN EVENTS. In case at any time or from
time to time the Company shall declare any dividend or any other distribution to
the holders of its Common Stock, or shall authorize the granting to the holders
of its Common Stock of rights or warrants to subscribe for or purchase any
additional shares of stock of any class or any other right, or shall authorize
the issuance or sale of any other shares or rights that would result in an
adjustment to the Exercise Price pursuant to SECTION 2(a) or SECTION 2(d), or
there shall be any capital reorganization or reclassification of the Common
Stock or consolidation or merger of the Company with or into another Person, or
any sale or other disposition of all or substantially all the assets of the
Company, or there shall be a voluntary or involuntary dissolution, liquidation
or winding up of the Company, then, in any one or more of such cases the Company
shall mail to each Holder of the Warrants evidenced hereby at such Holder's
address as it appears on the transfer books of the Company, as promptly as
practicable but in any event at least ten (10) Business Days prior to the
applicable date hereinafter specified, a notice stating (a) the date on which a
record is to be taken for the purpose of such dividend, distribution, rights or
warrants or, if a record is not to be taken, the date as of which the holders of
Common Stock of record to be entitled to such dividend, distribution, rights or
warrants are to be determined, (b) the issue date of such dividend,
distribution, rights or warrants or (c) the date on which such reorganization,
reclassification, consolidation, merger, sale, disposition, dissolution,
liquidation or winding up is expected to become effective. Such notice also
shall specify the date as of which it is expected that the holders of Common
Stock of record shall be entitled to exchange their Common Stock for shares of
stock or other securities or property or cash deliverable upon such
reorganization, reclassification, consolidation, merger, sale, disposition,
dissolution, liquidation or winding up.

          SECTION 4.   CERTAIN COVENANTS. The Company will at all times reserve
and keep available, free from preemptive rights, out of the aggregate of its
authorized but unissued Common Stock or its authorized and issued Common Stock
held as "treasury shares", for the purpose of enabling it to satisfy any
obligation to issue Common Stock upon exercise of the Warrants, the maximum
number of shares of Common Stock that may then be deliverable upon the exercise
of all outstanding Warrants. The Company shall take all action required to
increase the authorized number of shares of Common Stock if at any time there
shall be insufficient authorized but unissued shares of Common Stock to permit
such reservation or to permit the exercise of all outstanding Warrants.

          The Company or, if appointed, the transfer agent for the Common Stock
(the "TRANSFER AGENT") and every subsequent transfer agent for any shares of the
Company's capital stock issuable upon the exercise of any of the rights of
purchase aforesaid will be irrevocably authorized and directed at all times to
reserve such number of authorized shares as shall be required for such purpose.
The Company will keep a copy of this Warrant Certificate on file with the
Transfer Agent and with every subsequent transfer agent for any shares of the
Company's capital stock issuable upon the exercise of the rights of purchase
represented by the Warrants. The Company will furnish such Transfer Agent a copy
of all notices of adjustments and certificates related thereto transmitted to
each Holder pursuant to SECTION 2(a)(viii) hereof.

          Before taking any action that would cause an adjustment pursuant to
SECTION 2 hereof to reduce the Exercise Price below the then par value (if any)
of the Common Stock, the Company will take any corporate action that may, in the
opinion of its counsel (which may be

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counsel employed by the Company), be necessary in order that the Company may
validly and legally issue fully paid and nonassessable Common Stock at the
Exercise Price as so adjusted.

          The Company covenants that all Common Stock that may be issued upon
exercise of the Warrants will, upon issue, be validly issued, fully paid,
nonassessable, free of preemptive rights and free from all taxes, liens, charges
and security interests with respect to the issue thereof.

          SECTION 5.   REGISTERED HOLDER. The person in whose name this Warrant
Certificate is registered shall be deemed the owner hereof and of the Warrants
evidenced hereby for all purposes.

          SECTION 6.   TRANSFER OF WARRANTS. Any transfer of the rights
represented by this Warrant Certificate shall be effected by the surrender of
this Warrant Certificate, along with the form of assignment attached hereto,
properly completed and executed by the registered Holder hereof, at the
principal executive office of the Company in the United States of America.
Thereupon, the Company shall issue in the name or names specified by the
registered Holder hereof and, in the event of a partial transfer, in the name of
the registered Holder hereof, a new Warrant Certificate or Certificates
evidencing the right to purchase such number of shares of Common Stock as shall
be equal to the number of shares of Common Stock then purchasable hereunder.

          SECTION 7.   RESTRICTIVE LEGEND. Each certificate representing the
Common Stock issued upon exercise of this Warrant shall be stamped or otherwise
imprinted with a legend in the following form (in addition to any legend
required under applicable state securities laws):

          THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN
          REGISTERED, QUALIFIED, APPROVED OR DISAPPROVED UNDER THE
          SECURITIES ACT OF 1933, AS AMENDED, OR THE SECURITIES LAWS
          OF ANY STATE AND MAY NOT BE SOLD OR OTHERWISE DISPOSED OF
          EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER
          SUCH ACT AND APPLICABLE STATE SECURITIES LAWS OR AN
          APPLICABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF
          SUCH ACT OR SUCH LAWS AND NEITHER THE UNITED STATES
          SECURITIES AND EXCHANGE COMMISSION NOR ANY OTHER FEDERAL OR
          STATE REGULATORY AUTHORITY HAS PASSED ON OR ENDORSED THE
          MERITS OF THESE SECURITIES.

          THE SECURITIES REPRESENTED HEREBY ARE SUBJECT TO AN INVESTOR
          RIGHTS AGREEMENT, A STOCKHOLDERS AGREEMENT AND A STOCK
          TRADING AGREEMENT, AS EACH OF THE SAME MAY BE AMENDED FROM
          TIME TO TIME, COPIES OF WHICH ARE

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          AVAILABLE FOR INSPECTION AT THE PRINCIPAL OFFICES OF THE
          COMPANY.

Said legends shall be removed by the Company, upon the request of the Holder
hereof, at such time as the restrictions on the transfer of the applicable
security under applicable securities laws and the obligations imposed on the
Holder hereof under the Investor Rights Agreement, the Stockholders Agreement
and the Stock Trading Agreement, as applicable, shall have terminated.

          SECTION 8.   DENOMINATIONS. The Company will, at its expense, promptly
upon surrender of this Warrant Certificate at the principal executive office of
the Company in the United States of America, execute and deliver to the
registered Holder hereof a new Warrant Certificate or Certificates in
denominations specified by such Holder for an aggregate number of Warrants equal
to the number of Warrants evidenced by this Warrant Certificate.

          SECTION 9.   REPLACEMENT OF WARRANTS. Upon receipt of evidence
satisfactory to the Company of the loss, theft, destruction or mutilation of
this Warrant Certificate and, in the case of loss, theft or destruction, upon
delivery of an indemnity reasonably satisfactory to the Company (in the case of
an insurance company or other institutional investor, its own unsecured
indemnity agreement shall be deemed to be reasonably satisfactory), or, in the
case of mutilation, upon surrender and cancellation thereof, the Company will
issue a new Warrant Certificate of like tenor for a number of Warrants equal to
the number of Warrants evidenced by this Warrant Certificate.

          SECTION 10.  GOVERNING LAW. Except as to matters governed by the
General Corporation Law of the State of Delaware and decisions thereunder of the
Delaware courts applicable to Delaware corporations, which shall be governed by
such laws and decisions, this Warrant Certificate shall be construed and
enforced in accordance with, and the rights of the parties shall be governed by,
the laws of the State of New York applicable to agreements made and to be
performed entirely within such State.

          SECTION 11.  RIGHTS INURE TO REGISTERED HOLDER. The Warrants evidenced
by this Warrant Certificate will inure to the benefit of and be binding upon the
registered Holder hereof and the Company and their respective successors and
permitted assigns. Nothing in this Warrant Certificate shall be construed to
give to any Person other than the Company and the registered Holder and their
respective successors and permitted assigns any legal or equitable right, remedy
or claim under this Warrant Certificate, and this Warrant Certificate shall be
for the sole and exclusive benefit of the Company and such registered Holder.
Nothing in this Warrant Certificate shall be construed to give the registered
Holder hereof any rights as a holder of shares of Common Stock until such time,
if any, as the Warrants evidenced by this Warrant Certificate are exercised in
accordance with the provisions hereof.

          SECTION 12.  NOTICE. All notices, demands and other communications
provided for or permitted hereunder shall be made in writing and shall be given
by registered or certified first-class mail, return receipt requested,
nationally recognized overnight delivery service or personal delivery, (a) if to
the Holder, at the Holder's last known address appearing on the books of the
Company; and (b) if to the Company, at its principal executive office in the
United States located at the address designated for notices in the Securities
Purchase Agreement, or such other address as shall have been furnished to the
party given or making such notice, demand or other

<Page>

communication. All such notices and communications shall be deemed to have been
duly given: when delivered by hand, if personally delivered; when delivered if
delivered by a nationally recognized overnight delivery service; and five (5)
Business Days after being deposited in the mail, as aforesaid, postage prepaid,
if mailed.

          SECTION 13.  DEFINITIONS. For the purposes of this Warrant
Certificate, the following terms shall have the meanings indicated below:

          "BUSINESS DAY" means any day other than a Saturday, Sunday or other
day on which commercial banks in the City of New York are authorized or required
by law or executive order to close.

          "CASHLESS EXERCISE" shall have the meaning set forth in SECTION 1
hereof.

          "COMPANY" shall have the meaning set forth in the preamble hereof.

          "COMMON STOCK" shall have the meaning set forth in the preamble
hereof.

          "CONVERTIBLE SECURITIES" shall have the meaning set forth in SECTION
2(a)(i) hereof.

          "EXERCISE PRICE" shall have the meaning set forth in the preamble
hereof.

          "HOLDER" shall have the meaning set forth in the preamble.

          "IN-KIND EXERCISE" shall have the meaning set forth in SECTION 1
hereof.

          "ISSUE DATE" shall have the meaning set forth in SECTION 2(a) hereof.

          "MARKET PRICE" means the last reported sale price of the applicable
security as reported by The American Stock Exchange or the National Association
of Securities Dealers, Inc. Automatic Quotations System or, if the applicable
security is listed or admitted for trading on another securities exchange, the
last reported sales price of the applicable security on the principal exchange
on which the applicable security is listed or admitted for trading (which shall
be for consolidated trading if applicable to such exchange), or if neither so
reported or listed or admitted for trading, the last reported bid price of the
applicable security in the over-the-counter market. In the event that the Market
Price cannot be determined as aforesaid, the Board of Directors of the Company
shall determine the Market Price on the basis of such quotations as it in good
faith considers appropriate, in consultation with a nationally recognized
investment bank. The Market Price shall be such price averaged over a period of
ten (10) consecutive Business Days ending two (2) days prior to the day as of
which "Market Price" is being determined.

          "NUMBER ISSUABLE" shall have the meaning set forth in the preamble.

          "PERSON" means any individual, corporation, limited liability company,
partnership, trust, incorporated or unincorporated association, joint venture,
joint stock company, government (or an agency or political subdivision thereof)
or other entity of any kind.

<Page>

          "SECURITIES PURCHASE AGREEMENT" means that certain Securities Purchase
Agreement, dated May 31, 2002, by the Company and Richard P. Kiphart, as the
same may be amended, modified or otherwise supplemented from time to time in
accordance with its terms.

          "SERIES A CERTIFICATE OF DESIGNATIONS" means the Certificate of
Designations, Preferences and Relative, Participating, Optional and Other
Special Rights of Preferred Stock and Qualifications, Limitations and
Restrictions Thereof of Series A Convertible Preferred Stock of the Company, as
filed with the Secretary of State of Delaware.

          "SERIES A INVESTORS" means Newcourt Capital USA Inc., a Delaware
corporation, EP Power Finance L.L.C., a Delaware limited liability company,
Morgan Stanley Dean Witter Equity Funding, Inc., a Delaware corporation,
Originators Investment Plan, L.P., a Delaware limited partnership, Duke Capital
Partners, LLC, a Delaware limited liability company, and Leaf Mountain Company,
LLC, an Illinois limited liability company.

          "SERIES A PREFERRED STOCK" means shares of the Company's Series A
Convertible Preferred Stock, $0.01 par value per share.

          "SERIES A PREFERRED STOCK WARRANTS" means those certain warrant
certificates to purchase shares of Series A Preferred Stock which have been
issued by the Company to the Series A Investors, as amended or modified and in
effect from time to time.

          "SERIES C CERTIFICATE OF DESIGNATIONS" means the Certificate of
Designations, Preferences and Relative, Participating, Optional and Other
Special Rights of Preferred Stock and Qualifications, Limitations and
Restrictions Thereof of Series C Convertible Preferred Stock of the Company, as
filed with the Secretary of State of Delaware.

          "SERIES C PREFERRED STOCK" means shares of the Company's Series C
Convertible Preferred Stock, $0.01 par value per share.

          "SERIES C PREFERRED STOCK WARRANTS" means those certain warrant
certificates to purchase shares of Series C Preferred Stock which have been
issued by the Company to Richard P. Kiphart, as amended or modified and in
effect from time to time.

          "TRANSACTION" shall have the meaning set forth in SECTION 2(c) hereof.

          "TRANSFER AGENT" shall have the meaning set forth in SECTION 4 hereof.

          "WARRANTS" shall have the meaning set forth in the preamble hereof.

          "WARRANT EXERCISE DOCUMENTATION" shall have the meaning set forth in
SECTION 1 hereof.

          "WARRANT EXPIRATION DATE" means December 4, 2006.

                            [SIGNATURE PAGE FOLLOWS]

<Page>

          IN WITNESS WHEREOF, the Company has caused this Warrant Certificate to
be duly executed as of the Issue Date.

                                        COMPANY

                                        ELECTRIC CITY CORP.,
                                        a Delaware corporation

                                        By:  /s/ John P. Mitola
                                           ----------------------------------
                                        Name:    John P. Mitola
                                             --------------------------------
                                        Title:   CEO
                                              -------------------------------

ATTEST:

 /s/ Greg Rice
--------------------------

<Page>

                             Form of Assignment Form

                  [To be executed upon assignment of Warrants]

     The undersigned hereby assigns and transfers unto _______________________,
whose Social Security Number or Tax ID Number is ____________________ and whose
record address is ___________________________________ the rights represented by
the attached Warrant Certificate with respect to ___ Warrants to which the
attached Warrant Certificate relates, and irrevocably appoints ________________
as agent to transfer this security on the books of the Company. Such agent may
substitute another to act for such agent.

                                           Signature:

                                           ----------------------------------
                                           (Signature must conform in all
                                           respects to name of holder as
                                           specified on the face of the Warrant
                                           Certificate)

                                           Signature Guarantee:

                                           ----------------------------------

Date:
     ------------------

<Page>

               (SUBSCRIPTION FORM TO BE EXECUTED UPON EXERCISE OF
                          SOME OR ALL OF THE WARRANTS)

          The undersigned, registered Holder, successor or assignee of such
registered Holder of the within Warrant Certificate, hereby:

          (a) subscribes for ___ shares of Common Stock which the undersigned is
entitled to purchase under the terms of the within Warrant Certificate, (b)
makes the full cash payment therefor called for by the within Warrant
Certificate or elects a Cashless Exercise or In-Kind Exercise as provided
therein, and (c) directs that the Common Stock issuable upon exercise of said
Warrants be issued as described hereunder.

                                           ----------------------------------
                                           (Name)

                                           ----------------------------------
                                           (Address)

                                           ----------------------------------
                                           SIGNATURE

Dated:
      ----------------------------<Page>

                                                       Exhibit 10.43 (1 of 4)

                                     WARRANT

NEITHER THIS WARRANT NOR ANY SHARES OF COMMON STOCK ISSUABLE UPON THE EXERCISE
OF THIS WARRANT HAVE BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS
AMENDED, OR APPLICABLE STATE SECURITIES LAWS. SUCH SECURITIES MAY NOT BE OFFERED
FOR SALE, SOLD, TRANSFERRED OR ASSIGNED UNLESS (A) SUBSEQUENTLY REGISTERED
PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF
1933, AS AMENDED, AND APPLICABLE STATE SECURITIES LAWS OR (B) THE HOLDER HEREOF
SHALL HAVE DELIVERED TO THE COMPANY A WRITTEN OPINION OF COUNSEL, IN FORM,
SUBSTANCE AND SCOPE REASONABLY ACCEPTABLE TO THE COMPANY, TO THE EFFECT THAT THE
SHARES TO BE OFFERED FOR SALE, SOLD, TRANSFERRED OR ASSIGNED ARE BEING OFFERED
FOR SALE, SOLD, TRANSFERRED OR ASSIGNED PURSUANT TO AN EXEMPTION FROM SUCH
REGISTRATION.

                               ELECTRIC CITY CORP.

                        WARRANT TO PURCHASE COMMON STOCK

Warrant No.: 28                                         Number of Shares: 25,000
Original Date of Issuance: June 10, 2002

Electric City Corp., a Delaware corporation (the "COMPANY"), hereby certifies
that, for good and valuable consideration, the receipt and sufficiency of which
are hereby acknowledged, Brian Porter, the registered holder hereof or its
permitted assigns registered on the books of the Company (the "HOLDER"), is
entitled, subject to the terms and conditions set forth below, to purchase from
the Company upon surrender of this Warrant, at any time or times on or after the
date hereof, but not after 5:00 P.M. Eastern Standard Time on October 16, 2005
(the "EXPIRATION DATE"), Twenty-Five Thousand (25,000) fully paid and
nonassessable shares (the "WARRANT SHARES") of the Company's common stock, par
value $0.0001 per share (the "COMMON STOCK"), at the exercise price per share
equal to $4.71, subject to adjustment as hereinafter provided (the "WARRANT
EXERCISE PRICE").

     Section 1.   DEFINITIONS. In addition to the capitalized terms defined
elsewhere herein, the following terms as used in this Warrant shall have the
following meanings:

                  (i)   "BUSINESS DAY" means any day other than Saturday, Sunday
or other day on which commercial banks in the City of New York are authorized or
required by law to remain closed.

                                   Page 1 of 9
<Page>

                  (ii)  "PERSON" means an individual, a limited liability
company, a partnership, a joint venture, a corporation, a trust, an
unincorporated organization or a government or any department or agency thereof.

                  (iii) "SECURITIES ACT" means the Securities Act of 1933, as
amended.

     Section 2.   EXERCISE OF WARRANT.

            (a)   Subject to the terms and conditions hereof, this Warrant may
be exercised by the Holder, in whole or in part, during normal business hours on
any Business Day on or after the date hereof and prior to 5:00 P.M. Eastern
Standard Time on the Expiration Date by (i) delivery of a duly executed written
notice, in the form of the subscription notice attached as EXHIBIT A hereto (the
"EXERCISE NOTICE"), of such Holder's election to exercise this Warrant, which
notice shall specify the number of Warrant Shares to be purchased, (ii) payment
to the Company of an amount equal to the Warrant Exercise Price multiplied by
the number of Warrant Shares as to which this Warrant is being exercised (the
"AGGREGATE EXERCISE PRICE") in cash or by certified check or wire transfer of
immediately available funds, and (iii) delivery to the Company of this Warrant
(or an indemnity and evidence with respect to this Warrant in the case of its
loss, theft, mutilation or destruction as provided in Section 11). In the event
of any exercise of the rights represented by this Warrant in compliance with
this Section 2(a), the Company shall, on or before the tenth (10th) Business Day
following the date of its receipt of the Exercise Notice, the Aggregate Exercise
Price and this Warrant (or an indemnity and evidence with respect to this
Warrant in the case of its loss, theft, mutilation or destruction as provided in
Section 11) (the "EXERCISE DELIVERY DOCUMENTS"), deliver at the Company's
expense to the Holder, a certificate or certificates for the Warrant Shares so
purchased, in such denominations as may be requested by Holder and registered in
the name of Holder. Upon the Company's receipt of the Exercise Delivery
Documents, the Holder shall be deemed for all corporate purposes to have become
the holder of record of the Warrant Shares with respect to which this Warrant
has been exercised, irrespective of the date of delivery of certificates
evidencing such Warrant Shares.

            (b)   Unless the rights represented by this Warrant shall have
expired or shall have been fully exercised, the Company shall, as soon as
practicable and in no event later than ten (10) Business Days after any exercise
and at its own expense, issue a new Warrant identical in all respects to this
Warrant exercised, except it shall represent rights to purchase the number of
Warrant Shares purchasable immediately prior to such exercise under this Warrant
exercised, less the number of Warrant Shares with respect to which this Warrant
is exercised.

            (c)   No fractional shares of Common Stock are to be issued upon the
exercise of this Warrant, but rather the number of shares of Common Stock issued
upon exercise of this Warrant shall be rounded up or down to the nearest whole
number.

     Section 3.   COVENANTS.  The Company hereby represents, covenants and
agrees as follows:

            (a)   This Warrant is, and any Warrants issued in substitution for
or replacement of this Warrant will upon issuance be, duly authorized and
validly issued.

            (b)   All Warrant Shares which may be issued upon the exercise of
the rights

                                   Page 2 of 9
<Page>

represented by this Warrant will, upon issuance, be validly issued, fully paid
and nonassessable and free from all taxes, liens and charges with respect to the
issue thereof.

            (c)   Prior to exercise of this Warrant, the Company shall secure
the listing of the Warrant Shares upon each national securities exchange or
market, if any, upon which shares of Common Stock are then listed (subject to
official notice of issuance upon exercise of this Warrant) and shall maintain
such listing of the Warrant Shares so long as any other shares of Common Stock
shall be so listed.

            (d)   The Company has full power and authority to enter into this
Warrant, and to issue and deliver this Warrant and the Warrant Shares, and to
incur and perform fully the obligations provided herein, all of which have been
duly authorized by all necessary corporate action.

            (e)   This Warrant has been duly executed and delivered and is the
valid and binding obligation of the Company enforceable in accordance with its
terms.

     Section 4.   TAXES. The Company shall pay any and all taxes, except income
taxes, which may be payable with respect to the issuance and delivery of Warrant
Shares upon exercise of this Warrant.

     Section 5.   HOLDER NOT DEEMED A STOCKHOLDER. Except as otherwise
specifically provided herein, this Warrant shall not entitle Holder to vote or
receive dividends or any other rights of a stockholder of the Company,
including, without limitation, any right to vote, give or withhold consent to
any corporate action (whether a reorganization, issue of stock, reclassification
of stock, consolidation, merger, conveyance or otherwise), receive notice of
meetings or receive subscription rights.

     Section 6.   REPRESENTATIONS OF HOLDER. The Holder, by the acceptance
hereof, represents and warrants that it (a) is acquiring this Warrant and the
Warrant Shares solely for its own account, for investment and not with a view
towards the distribution or resale thereof in violation of the Securities Act or
any applicable state securities laws, (b) has received such documents, materials
and information as Holder deems necessary or appropriate for evaluation of the
acquisition of the Warrant and the Warrant Shares, (c) is an "accredited
investor" as such term is defined in Rule 501 of Regulation D promulgated under
the Securities Act and has such knowledge and experience in financial and
business matters that it is capable of evaluating the merits and risks of an
investment in the Warrant and the Warrant Shares, (d) understands that no U.S.
federal, state or regulatory agency has recommended, approved or endorsed, or
passed upon the fairness or suitability of, an investment in the Warrant or
Warrant Shares or passed up on the accuracy or adequacy of the information
provided to Holder, and (e) recognizes that an investment in the Warrant Shares
involves a high degree of financial risk, can bear the economic risk of losing
its entire investment in the Warrant Shares and has sought, or will seek, such
accounting, legal and tax advice as it has considered, or will consider,
necessary to make an informed investment decision with respect to its
acquisition of this Warrant and Warrant Shares. If Holder cannot make any of the
foregoing representations at the time of exercising this Warrant because it
would be factually incorrect, Holder shall so notify the Company, and it shall
be a condition to Holder's exercise of this Warrant that the Company receive
such other assurances as the Company considers reasonably necessary to assure
the Company that the issuance of the

                                   Page 3 of 9
<Page>

Warrant Shares upon exercise of this Warrant shall not violate the Securities
Act or any state securities laws.

     Section 7.   RESTRICTION ON TRANSFER.

            (a)   This Warrant and the rights granted to Holder are
transferable, in whole or in part, upon surrender of this Warrant, together with
a properly executed warrant power in the form of EXHIBIT B attached hereto;
provided, however, that any transfer or assignment shall be subject to the
approval of the Company, such approval not to be unreasonably withheld and the
conditions set forth in Section 7(b) below.

            (b)   Holder represents and warrants that it understands that,
except as set forth in Section 8 below, the Company is under no obligation to
register this Warrant or the Warrant Shares under the Securities Act and that
the Warrant and Warrant Shares will be characterized as "restricted securities"
under the Securities Act because they are being acquired from the Company in a
transaction not involving a public offering. Holder also represents and warrants
that it understands that neither the Warrant nor the Warrant Shares may be
offered for sale, sold, assigned or transferred unless (a) subsequently
registered pursuant to an effective registration statement under the Securities
Act and applicable state securities laws or (b) Holder shall have delivered to
the Company a written opinion of counsel, in form, substance and scope
reasonably acceptable to the Company, to the effect that the securities to be
offered for sale, sold, assigned or transferred are being offered for sale,
sold, assigned or transferred pursuant to an exemption from such registration.

            (c)   Unless upon their issuance such Warrant Shares are then
registered under the Securities Act pursuant to an effective registration
statement, any certificates representing Warrant Shares issued in accordance
with this Warrant shall bear a legend substantially in the following form:

     THE SHARES OF COMMON STOCK OF ELECTRIC CITY CORP. (THE "COMPANY")
     REPRESENTED BY THIS CERTIFICATE (THE "SHARES") HAVE NOT BEEN REGISTERED
     UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES ACT"), AND
     MAY NOT BE OFFERED FOR SALE, SOLD, TRANSFERRED OR ASSIGNED UNLESS (A)
     SUBSEQUENTLY REGISTERED PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT
     UNDER THE SECURITIES ACT AND APPLICABLE STATE SECURITIES LAWS OR (B) THE
     HOLDER HEREOF SHALL HAVE DELIVERED TO THE COMPANY A WRITTEN OPINION OF
     COUNSEL, IN FORM, SUBSTANCE AND SCOPE REASONABLY ACCEPTABLE TO THE COMPANY,
     TO THE EFFECT THAT THE SHARES TO BE OFFERED FOR SALE, SOLD, TRANSFERRED OR
     ASSIGNED ARE BEING OFFERED FOR SALE, SOLD, TRANSFERRED OR ASSIGNED PURSUANT
     TO AN EXEMPTION FROM SUCH REGISTRATION.

     Section 8.   THIS SECTION HAS BEEN LEFT BLANK INTENTIONALLY.

                                   Page 4 of 9
<Page>

     Section 9.

            (a)   ADJUSTMENT OF WARRANT EXERCISE PRICE AND NUMBER OF WARRANT
SHARES UPON SUBDIVISION OR COMBINATION OF COMPANY STOCK. If the Company at any
time after the date of issuance of this Warrant subdivides (by any stock split
or stock dividend of its Common Stock) its outstanding shares of Common Stock
into a greater number of shares of Common Stock, the Warrant Exercise Price in
effect immediately prior to such subdivision will be proportionately reduced and
the number of Warrant Shares obtainable upon exercise of this Warrant will be
proportionately increased. If the Company at any time after the date of issuance
of this Warrant combines (by reverse stock split or otherwise) its outstanding
shares of Common Stock into a smaller number of shares of Common Stock, the
Warrant Exercise Price in effect immediately prior to such combination will be
proportionately increased and the number of Warrant Shares obtainable upon
exercise of this Warrant will be proportionately decreased. Any adjustment under
this Section 9(a) shall become effective at the close of business on the date
the subdivision or combination becomes effective.

            (b)   NOTICES. Upon any adjustment of the Warrant Exercise Price or
number of issuable Warrant Shares pursuant to Section 9(a), the Company will
give written notice thereof to the Holder, setting forth in reasonable detail
the calculation of such adjustment.

     Section 10.  REORGANIZATION, RECLASSIFICATION, CONSOLIDATION, MERGER OR
SALE. If at any time, as a result of:

                  (i)   a capital reorganization or reclassification (other than
a subdivision or combination provided for in Section 9), or

                  (ii)  a merger or consolidation of the Company with another
corporation (whether or not the Company is the surviving corporation) or sale of
substantially all of the Company's stock, the Common Stock issuable upon
exercise of this Warrant shall be changed into or exchanged for the same or a
different number of shares of any class or classes of capital stock of the
Company or any other Person, or other securities convertible into such shares,
then, as a part of such reorganization, reclassification, merger, consolidation
or sale, appropriate adjustments shall be made in the terms of this Warrant (or
of any securities into which this Warrant is exercised or for which this Warrant
is exchanged), so that Holder shall thereafter be entitled to receive, upon
exercise of this Warrant or of such substitute securities, the kind and amount
of shares of stock, other securities, money and property which Holder would have
received at the time of such capital reorganization, reclassification, merger,
consolidation or sale, if Holder had exercised this Warrant immediately prior to
such capital reorganization, reclassification, merger, consolidation or sale.
This Warrant, including, without limitation, the provisions of this Section 10
will be binding upon any entity succeeding to the Company by merger,
consolidation or acquisition of all or substantially all of the Company's
assets. The provisions of this Section 10 shall similarly apply to (x)
successive capital reorganizations, reclassifications, mergers, consolidations
and sale and (y) the securities of any other Person that are at the time
receivable upon the exercise of this Warrant.

                                   Page 5 of 9
<Page>

     Section 11.  LOST, STOLEN, MUTILATED OR DESTROYED WARRANT. If this Warrant
is lost, stolen, mutilated or destroyed, the Company shall promptly, on receipt
of evidence reasonably satisfactory to the Company of the ownership of, and the
loss, theft, mutilation or destruction of, this Warrant, and an indemnity
reasonably satisfactory to the Company (or in the case of a mutilated Warrant,
the Warrant), issue in lieu thereof a new Warrant of like denomination and tenor
as this Warrant so lost, stolen, mutilated or destroyed.

     Section 12.  NOTICE. Any notices, consents, waivers or other communications
required or permitted to be given under the terms of this Warrant must be in
writing and will be deemed to have been made upon receipt when delivered
personally, via pre-paid overnight courier or by registered or certified mail,
postage pre-paid, return receipt requested. The addresses for such
communications shall be:

            If to the Company:

                  Electric City Corp.
                  1280 Landmeier Road
                  Elk Grove Village, IL 60007
                  Attention:   General Counsel

            If to the Holder:

                  Delano Group Securities
                  141 West Jackson Blvd, Suite 2176
                  Chicago, IL  60604
                  Attention:   Brian Porter

            With a copy to:

                  -------------------------------

                  -------------------------------

                  -------------------------------

                  Attention:
                             --------------------

or such other address as the Company or Holder, as applicable, may specify in
written notice given to the other party in accordance with this Section 12.

     Section 13.  AMENDMENTS. This Warrant and any term hereof may be changed,
waived, discharged, or terminated only by an instrument in writing signed by the
party hereto against which enforcement of such change, waiver, discharge or
termination is sought.

     Section 14.  EXPIRATION. This Warrant, in all events, shall be wholly void
and of no effect after 5:00 P.M. Eastern Standard Time on the Expiration Date,
except that notwithstanding any other provisions hereof, the provisions of
Sections 7 and 8 shall continue in full force and effect after such date as to
any Warrant Shares or other securities issued upon the exercise of this Warrant.

                                   Page 6 of 9
<Page>

     Section 15.  SUCCESSORS AND ASSIGNS. The terms and provisions of this
Warrant shall inure to the benefit of, and be binding upon, the Company and the
Holder and their respective successors and permitted assigns.

     Section 16.  DESCRIPTIVE HEADINGS; GOVERNING LAW; ARBITRATION. The
descriptive headings of the several sections and paragraphs of this Warrant are
inserted for convenience only and do not constitute a part of this Warrant. All
questions concerning the construction, validity, enforcement and interpretation
of this Warrant shall be governed by the internal laws of the State of Illinois,
without giving effect to any choice of law or conflict of law provision or rule
(whether of the State of Illinois or any other jurisdiction) that would cause
the application of the laws of any jurisdiction other than the State of
Illinois.

In the event of any and all disagreements and controversies arising from this
Warrant, such disagreements and controversies shall be subject to binding
arbitration as arbitrated in accordance with the then current Commercial
Arbitration Rules of the American Arbitration Association in Chicago, Illinois
before one neutral arbitrator. Either party may apply to the arbitrator seeking
injunctive relief until the arbitration award is rendered or the controversy is
otherwise resolved. Without waiving any remedy under this Warrant, either party
may also seek from any court having jurisdiction any interim or provisional
relief that is necessary to protect the rights or property of that party,
pending the establishment of the arbitral tribunal (or pending the arbitral
tribunal's determination of the merits of the controversy). In the event of any
such disagreement or controversy, neither party shall directly or indirectly
reveal, report, publish or disclose any information relating to such
disagreement or controversy to any person, firm or corporation not expressly
authorized by the other party to receive such information or use such
information or assist any other person in doing so, except to comply with actual
legal obligations of such party, or unless such disclosure is directly related
to an arbitration proceeding as provided herein, including, but not limited to,
the prosecution or defense of any claim in such arbitration. The costs and
expenses of the arbitration (excluding attorneys' fees) shall be paid by the
non-prevailing party or as determined by the arbitrator.

     IN WITNESS WHEREOF, the Company has caused this Warrant to be signed by a
duly authorized officer, as of the 10th day of June, 2002.

                                             ELECTRIC CITY CORP.

                                             By:  /s/ Jeffrey Mistarz
                                                --------------------------------

                                             Name:  Jeffrey Mistarz

                                             Title: Chief Financial Officer

                                   Page 7 of 9
<Page>

                              EXHIBIT A TO WARRANT

                                SUBSCRIPTION FORM

        TO BE EXECUTED BY THE REGISTERED HOLDER TO EXERCISE THIS WARRANT

                               ELECTRIC CITY CORP.

     The undersigned Holder hereby exercises the right to purchase
_________________ of the shares of Common Stock ("WARRANT SHARES") of Electric
City Corp., a Delaware corporation (the "COMPANY"), evidenced by the attached
Warrant (the "WARRANT"). The Holder tenders herewith payment of the Aggregate
Exercise Price in full in the amount of $___________________ in the form of
cash, certified check or wire transfer of immediately available funds with
respect to _______________ Warrant Shares. Capitalized terms used herein and not
otherwise defined shall have the respective meanings set forth in the Warrant.

Date: _______________ __, 200_

Name of Holder

By:
     ------------------------------------

     Name:
           ------------------------------
     Title:
            -----------------------------

                                   Page 8 of 9
<Page>

                              EXHIBIT B TO WARRANT

                              FORM OF WARRANT POWER

FOR VALUE RECEIVED, the undersigned does hereby assign and transfer to
________________, a warrant to purchase ____________ shares of the Common Stock
of Electric City Corp., a Delaware corporation, represented by warrant
certificate no. _____, standing in the name of the undersigned on the books of
said corporation. The undersigned does hereby irrevocably constitute and appoint
_______________________, to transfer the warrants of said corporation, with full
power of substitution in the premises.

Dated: _________, 200_

                                             --------------------------------

                                             By:
                                                   ----------------------------
                                             Name:
                                                   ----------------------------
                                             Its:
                                                   -----------------------------

                                   Page 9 of 9
<Page>

                                                       Exhibit 10.43 (2 of 4)

                                     WARRANT

NEITHER THIS WARRANT NOR ANY SHARES OF COMMON STOCK ISSUABLE UPON THE EXERCISE
OF THIS WARRANT HAVE BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS
AMENDED, OR APPLICABLE STATE SECURITIES LAWS. SUCH SECURITIES MAY NOT BE OFFERED
FOR SALE, SOLD, TRANSFERRED OR ASSIGNED UNLESS (A) SUBSEQUENTLY REGISTERED
PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF
1933, AS AMENDED, AND APPLICABLE STATE SECURITIES LAWS OR (B) THE HOLDER HEREOF
SHALL HAVE DELIVERED TO THE COMPANY A WRITTEN OPINION OF COUNSEL, IN FORM,
SUBSTANCE AND SCOPE REASONABLY ACCEPTABLE TO THE COMPANY, TO THE EFFECT THAT THE
SHARES TO BE OFFERED FOR SALE, SOLD, TRANSFERRED OR ASSIGNED ARE BEING OFFERED
FOR SALE, SOLD, TRANSFERRED OR ASSIGNED PURSUANT TO AN EXEMPTION FROM SUCH
REGISTRATION.

                               ELECTRIC CITY CORP.

                        WARRANT TO PURCHASE COMMON STOCK

Warrant No.: 29                                         Number of Shares: 25,000
Original Date of Issuance: June 10, 2002

Electric City Corp., a Delaware corporation (the "COMPANY"), hereby certifies
that, for good and valuable consideration, the receipt and sufficiency of which
are hereby acknowledged, Thomas Duszynski, the registered holder hereof or its
permitted assigns registered on the books of the Company (the "HOLDER"), is
entitled, subject to the terms and conditions set forth below, to purchase from
the Company upon surrender of this Warrant, at any time or times on or after the
date hereof, but not after 5:00 P.M. Eastern Standard Time on October 16, 2005
(the "EXPIRATION DATE"), Twenty-Five Thousand (25,000) fully paid and
nonassessable shares (the "WARRANT SHARES") of the Company's common stock, par
value $0.0001 per share (the "COMMON STOCK"), at the exercise price per share
equal to $4.71, subject to adjustment as hereinafter provided (the "WARRANT
EXERCISE PRICE").

     Section 1.   DEFINITIONS. In addition to the capitalized terms defined
elsewhere herein, the following terms as used in this Warrant shall have the
following meanings:

                  (i)   "BUSINESS DAY" means any day other than Saturday, Sunday
or other day on which commercial banks in the City of New York are authorized or
required by law to remain closed.

                                   Page 1 of 9
<Page>

                  (ii)  "PERSON" means an individual, a limited liability
company, a partnership, a joint venture, a corporation, a trust, an
unincorporated organization or a government or any department or agency thereof.

                  (iii) "SECURITIES ACT" means the Securities Act of 1933, as
amended.

     Section 2.   EXERCISE OF WARRANT.

            (a)   Subject to the terms and conditions hereof, this Warrant may
be exercised by the Holder, in whole or in part, during normal business hours on
any Business Day on or after the date hereof and prior to 5:00 P.M. Eastern
Standard Time on the Expiration Date by (i) delivery of a duly executed written
notice, in the form of the subscription notice attached as EXHIBIT A hereto (the
"EXERCISE NOTICE"), of such Holder's election to exercise this Warrant, which
notice shall specify the number of Warrant Shares to be purchased, (ii) payment
to the Company of an amount equal to the Warrant Exercise Price multiplied by
the number of Warrant Shares as to which this Warrant is being exercised (the
"AGGREGATE EXERCISE PRICE") in cash or by certified check or wire transfer of
immediately available funds, and (iii) delivery to the Company of this Warrant
(or an indemnity and evidence with respect to this Warrant in the case of its
loss, theft, mutilation or destruction as provided in Section 11). In the event
of any exercise of the rights represented by this Warrant in compliance with
this Section 2(a), the Company shall, on or before the tenth (10th) Business Day
following the date of its receipt of the Exercise Notice, the Aggregate Exercise
Price and this Warrant (or an indemnity and evidence with respect to this
Warrant in the case of its loss, theft, mutilation or destruction as provided in
Section 11) (the "EXERCISE DELIVERY DOCUMENTS"), deliver at the Company's
expense to the Holder, a certificate or certificates for the Warrant Shares so
purchased, in such denominations as may be requested by Holder and registered in
the name of Holder. Upon the Company's receipt of the Exercise Delivery
Documents, the Holder shall be deemed for all corporate purposes to have become
the holder of record of the Warrant Shares with respect to which this Warrant
has been exercised, irrespective of the date of delivery of certificates
evidencing such Warrant Shares.

            (b)   Unless the rights represented by this Warrant shall have
expired or shall have been fully exercised, the Company shall, as soon as
practicable and in no event later than ten (10) Business Days after any exercise
and at its own expense, issue a new Warrant identical in all respects to this
Warrant exercised, except it shall represent rights to purchase the number of
Warrant Shares purchasable immediately prior to such exercise under this Warrant
exercised, less the number of Warrant Shares with respect to which this Warrant
is exercised.

            (c)   No fractional shares of Common Stock are to be issued upon the
exercise of this Warrant, but rather the number of shares of Common Stock issued
upon exercise of this Warrant shall be rounded up or down to the nearest whole
number.

     Section 3.   COVENANTS. The Company hereby represents, covenants and agrees
as follows:

            (a)   This Warrant is, and any Warrants issued in substitution for
or replacement of this Warrant will upon issuance be, duly authorized and
validly issued.

            (b)   All Warrant Shares which may be issued upon the exercise of
the rights

                                   Page 2 of 9
<Page>

represented by this Warrant will, upon issuance, be validly issued, fully paid
and nonassessable and free from all taxes, liens and charges with respect to the
issue thereof.

            (c)   Prior to exercise of this Warrant, the Company shall secure
the listing of the Warrant Shares upon each national securities exchange or
market, if any, upon which shares of Common Stock are then listed (subject to
official notice of issuance upon exercise of this Warrant) and shall maintain
such listing of the Warrant Shares so long as any other shares of Common Stock
shall be so listed.

            (d)   The Company has full power and authority to enter into this
Warrant, and to issue and deliver this Warrant and the Warrant Shares, and to
incur and perform fully the obligations provided herein, all of which have been
duly authorized by all necessary corporate action.

            (e)   This Warrant has been duly executed and delivered and is the
valid and binding obligation of the Company enforceable in accordance with its
terms.

     Section 4.   TAXES. The Company shall pay any and all taxes, except income
taxes, which may be payable with respect to the issuance and delivery of Warrant
Shares upon exercise of this Warrant.

     Section 5.   HOLDER NOT DEEMED A STOCKHOLDER. Except as otherwise
specifically provided herein, this Warrant shall not entitle Holder to vote or
receive dividends or any other rights of a stockholder of the Company,
including, without limitation, any right to vote, give or withhold consent to
any corporate action (whether a reorganization, issue of stock, reclassification
of stock, consolidation, merger, conveyance or otherwise), receive notice of
meetings or receive subscription rights.

     Section 6.   REPRESENTATIONS OF HOLDER. The Holder, by the acceptance
hereof, represents and warrants that it (a) is acquiring this Warrant and the
Warrant Shares solely for its own account, for investment and not with a view
towards the distribution or resale thereof in violation of the Securities Act or
any applicable state securities laws, (b) has received such documents, materials
and information as Holder deems necessary or appropriate for evaluation of the
acquisition of the Warrant and the Warrant Shares, (c) is an "accredited
investor" as such term is defined in Rule 501 of Regulation D promulgated under
the Securities Act and has such knowledge and experience in financial and
business matters that it is capable of evaluating the merits and risks of an
investment in the Warrant and the Warrant Shares, (d) understands that no U.S.
federal, state or regulatory agency has recommended, approved or endorsed, or
passed upon the fairness or suitability of, an investment in the Warrant or
Warrant Shares or passed up on the accuracy or adequacy of the information
provided to Holder, and (e) recognizes that an investment in the Warrant Shares
involves a high degree of financial risk, can bear the economic risk of losing
its entire investment in the Warrant Shares and has sought, or will seek, such
accounting, legal and tax advice as it has considered, or will consider,
necessary to make an informed investment decision with respect to its
acquisition of this Warrant and Warrant Shares. If Holder cannot make any of the
foregoing representations at the time of exercising this Warrant because it
would be factually incorrect, Holder shall so notify the Company, and it shall
be a condition to Holder's exercise of this Warrant that the Company receive
such other assurances as the Company considers reasonably necessary to assure
the Company that the issuance of the

                                   Page 3 of 9
<Page>

Warrant Shares upon exercise of this Warrant shall not violate the Securities
Act or any state securities laws.

     Section 7.   RESTRICTION ON TRANSFER.

            (a)   This Warrant and the rights granted to Holder are
transferable, in whole or in part, upon surrender of this Warrant, together with
a properly executed warrant power in the form of EXHIBIT B attached hereto;
provided, however, that any transfer or assignment shall be subject to the
approval of the Company, such approval not to be unreasonably withheld and the
conditions set forth in Section 7(b) below.

            (b)   Holder represents and warrants that it understands that,
except as set forth in Section 8 below, the Company is under no obligation to
register this Warrant or the Warrant Shares under the Securities Act and that
the Warrant and Warrant Shares will be characterized as "restricted securities"
under the Securities Act because they are being acquired from the Company in a
transaction not involving a public offering. Holder also represents and warrants
that it understands that neither the Warrant nor the Warrant Shares may be
offered for sale, sold, assigned or transferred unless (a) subsequently
registered pursuant to an effective registration statement under the Securities
Act and applicable state securities laws or (b) Holder shall have delivered to
the Company a written opinion of counsel, in form, substance and scope
reasonably acceptable to the Company, to the effect that the securities to be
offered for sale, sold, assigned or transferred are being offered for sale,
sold, assigned or transferred pursuant to an exemption from such registration.

            (c)   Unless upon their issuance such Warrant Shares are then
registered under the Securities Act pursuant to an effective registration
statement, any certificates representing Warrant Shares issued in accordance
with this Warrant shall bear a legend substantially in the following form:

     THE SHARES OF COMMON STOCK OF ELECTRIC CITY CORP. (THE "COMPANY")
     REPRESENTED BY THIS CERTIFICATE (THE "SHARES") HAVE NOT BEEN REGISTERED
     UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES ACT"), AND
     MAY NOT BE OFFERED FOR SALE, SOLD, TRANSFERRED OR ASSIGNED UNLESS (A)
     SUBSEQUENTLY REGISTERED PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT
     UNDER THE SECURITIES ACT AND APPLICABLE STATE SECURITIES LAWS OR (B) THE
     HOLDER HEREOF SHALL HAVE DELIVERED TO THE COMPANY A WRITTEN OPINION OF
     COUNSEL, IN FORM, SUBSTANCE AND SCOPE REASONABLY ACCEPTABLE TO THE COMPANY,
     TO THE EFFECT THAT THE SHARES TO BE OFFERED FOR SALE, SOLD, TRANSFERRED OR
     ASSIGNED ARE BEING OFFERED FOR SALE, SOLD, TRANSFERRED OR ASSIGNED PURSUANT
     TO AN EXEMPTION FROM SUCH REGISTRATION.

     Section 8.   THIS SECTION HAS BEEN LEFT BLANK INTENTIONALLY.

                                   Page 4 of 9
<Page>

     Section 9.

            (a)   ADJUSTMENT OF WARRANT EXERCISE PRICE AND NUMBER OF WARRANT
SHARES UPON SUBDIVISION OR COMBINATION OF COMPANY STOCK. If the Company at any
time after the date of issuance of this Warrant subdivides (by any stock split
or stock dividend of its Common Stock) its outstanding shares of Common Stock
into a greater number of shares of Common Stock, the Warrant Exercise Price in
effect immediately prior to such subdivision will be proportionately reduced and
the number of Warrant Shares obtainable upon exercise of this Warrant will be
proportionately increased. If the Company at any time after the date of issuance
of this Warrant combines (by reverse stock split or otherwise) its outstanding
shares of Common Stock into a smaller number of shares of Common Stock, the
Warrant Exercise Price in effect immediately prior to such combination will be
proportionately increased and the number of Warrant Shares obtainable upon
exercise of this Warrant will be proportionately decreased. Any adjustment under
this Section 9(a) shall become effective at the close of business on the date
the subdivision or combination becomes effective.

            (b)   NOTICES. Upon any adjustment of the Warrant Exercise Price or
number of issuable Warrant Shares pursuant to Section 9(a), the Company will
give written notice thereof to the Holder, setting forth in reasonable detail
the calculation of such adjustment.

     Section 10.  REORGANIZATION, RECLASSIFICATION, CONSOLIDATION, MERGER OR
SALE. If at any time, as a result of:

                  (i)   a capital reorganization or reclassification (other than
a subdivision or combination provided for in Section 9), or

                  (ii)  a merger or consolidation of the Company with another
corporation (whether or not the Company is the surviving corporation) or sale of
substantially all of the Company's stock, the Common Stock issuable upon
exercise of this Warrant shall be changed into or exchanged for the same or a
different number of shares of any class or classes of capital stock of the
Company or any other Person, or other securities convertible into such shares,
then, as a part of such reorganization, reclassification, merger, consolidation
or sale, appropriate adjustments shall be made in the terms of this Warrant (or
of any securities into which this Warrant is exercised or for which this Warrant
is exchanged), so that Holder shall thereafter be entitled to receive, upon
exercise of this Warrant or of such substitute securities, the kind and amount
of shares of stock, other securities, money and property which Holder would have
received at the time of such capital reorganization, reclassification, merger,
consolidation or sale, if Holder had exercised this Warrant immediately prior to
such capital reorganization, reclassification, merger, consolidation or sale.
This Warrant, including, without limitation, the provisions of this Section 10
will be binding upon any entity succeeding to the Company by merger,
consolidation or acquisition of all or substantially all of the Company's
assets. The provisions of this Section 10 shall similarly apply to (x)
successive capital reorganizations, reclassifications, mergers, consolidations
and sale and (y) the securities of any other Person that are at the time
receivable upon the exercise of this Warrant.

                                   Page 5 of 9
<Page>

     Section 11.  LOST, STOLEN, MUTILATED OR DESTROYED WARRANT. If this Warrant
is lost, stolen, mutilated or destroyed, the Company shall promptly, on receipt
of evidence reasonably satisfactory to the Company of the ownership of, and the
loss, theft, mutilation or destruction of, this Warrant, and an indemnity
reasonably satisfactory to the Company (or in the case of a mutilated Warrant,
the Warrant), issue in lieu thereof a new Warrant of like denomination and tenor
as this Warrant so lost, stolen, mutilated or destroyed.

     Section 12.  NOTICE. Any notices, consents, waivers or other communications
required or permitted to be given under the terms of this Warrant must be in
writing and will be deemed to have been made upon receipt when delivered
personally, via pre-paid overnight courier or by registered or certified mail,
postage pre-paid, return receipt requested. The addresses for such
communications shall be:

           If to the Company:

                  Electric City Corp.
                  1280 Landmeier Road
                  Elk Grove Village, IL 60007
                  Attention:   General Counsel

           If to the Holder:

                  Delano Group Securities
                  141 West Jackson Blvd, Suite 2176
                  Chicago, IL 60604
                  Attention:   Thomas Duszynski

           With a copy to:

                  -------------------------------

                  -------------------------------

                  -------------------------------

                    Attention:
                               ------------------

or such other address as the Company or Holder, as applicable, may specify in
written notice given to the other party in accordance with this Section 12.

     Section 13.  AMENDMENTS. This Warrant and any term hereof may be changed,
waived, discharged, or terminated only by an instrument in writing signed by the
party hereto against which enforcement of such change, waiver, discharge or
termination is sought.

     Section 14.  EXPIRATION. This Warrant, in all events, shall be wholly void
and of no effect after 5:00 P.M. Eastern Standard Time on the Expiration Date,
except that notwithstanding any other provisions hereof, the provisions of
Sections 7 and 8 shall continue in full force and effect after such date as to
any Warrant Shares or other securities issued upon the exercise of this Warrant.

                                   Page 6 of 9
<Page>

     Section 15.  SUCCESSORS AND ASSIGNS. The terms and provisions of this
Warrant shall inure to the benefit of, and be binding upon, the Company and the
Holder and their respective successors and permitted assigns.

     Section 16.  DESCRIPTIVE HEADINGS; GOVERNING LAW; ARBITRATION. The
descriptive headings of the several sections and paragraphs of this Warrant are
inserted for convenience only and do not constitute a part of this Warrant. All
questions concerning the construction, validity, enforcement and interpretation
of this Warrant shall be governed by the internal laws of the State of Illinois,
without giving effect to any choice of law or conflict of law provision or rule
(whether of the State of Illinois or any other jurisdiction) that would cause
the application of the laws of any jurisdiction other than the State of
Illinois.

In the event of any and all disagreements and controversies arising from this
Warrant, such disagreements and controversies shall be subject to binding
arbitration as arbitrated in accordance with the then current Commercial
Arbitration Rules of the American Arbitration Association in Chicago, Illinois
before one neutral arbitrator. Either party may apply to the arbitrator seeking
injunctive relief until the arbitration award is rendered or the controversy is
otherwise resolved. Without waiving any remedy under this Warrant, either party
may also seek from any court having jurisdiction any interim or provisional
relief that is necessary to protect the rights or property of that party,
pending the establishment of the arbitral tribunal (or pending the arbitral
tribunal's determination of the merits of the controversy). In the event of any
such disagreement or controversy, neither party shall directly or indirectly
reveal, report, publish or disclose any information relating to such
disagreement or controversy to any person, firm or corporation not expressly
authorized by the other party to receive such information or use such
information or assist any other person in doing so, except to comply with actual
legal obligations of such party, or unless such disclosure is directly related
to an arbitration proceeding as provided herein, including, but not limited to,
the prosecution or defense of any claim in such arbitration. The costs and
expenses of the arbitration (excluding attorneys' fees) shall be paid by the
non-prevailing party or as determined by the arbitrator.

     IN WITNESS WHEREOF, the Company has caused this Warrant to be signed by a
duly authorized officer, as of the 10th day of June, 2002.

                                             ELECTRIC CITY CORP.

                                             By:  /s/ Jeffrey Mistarz
                                                 -------------------------------

                                             Name:  Jeffrey Mistarz

                                             Title: Chief Financial Officer

                                   Page 7 of 9
<Page>

                              EXHIBIT A TO WARRANT

                                SUBSCRIPTION FORM

        TO BE EXECUTED BY THE REGISTERED HOLDER TO EXERCISE THIS WARRANT

                               ELECTRIC CITY CORP.

     The undersigned Holder hereby exercises the right to purchase
_________________ of the shares of Common Stock ("WARRANT SHARES") of Electric
City Corp., a Delaware corporation (the "COMPANY"), evidenced by the attached
Warrant (the "WARRANT"). The Holder tenders herewith payment of the Aggregate
Exercise Price in full in the amount of $___________________ in the form of
cash, certified check or wire transfer of immediately available funds with
respect to _______________ Warrant Shares. Capitalized terms used herein and not
otherwise defined shall have the respective meanings set forth in the Warrant.

Date: _______________ __, 200_

Name of Holder

By:
     -----------------------------------

     Name:
           -----------------------------
     Title:
            ----------------------------

                                   Page 8 of 9
<Page>

                              EXHIBIT B TO WARRANT

                              FORM OF WARRANT POWER

FOR VALUE RECEIVED, the undersigned does hereby assign and transfer to
________________, a warrant to purchase ____________ shares of the Common Stock
of Electric City Corp., a Delaware corporation, represented by warrant
certificate no. _____, standing in the name of the undersigned on the books of
said corporation. The undersigned does hereby irrevocably constitute and appoint
_______________________, to transfer the warrants of said corporation, with full
power of substitution in the premises.

Dated: _________, 200_

                                             -----------------------------------

                                             By:
                                                 -------------------------------
                                             Name:
                                                   -----------------------------
                                             Its:
                                                  ------------------------------

                                   Page 9 of 9
<Page>

                                                       Exhibit 10.43 (3 of 4)

                                     WARRANT

NEITHER THIS WARRANT NOR ANY SHARES OF COMMON STOCK ISSUABLE UPON THE EXERCISE
OF THIS WARRANT HAVE BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS
AMENDED, OR APPLICABLE STATE SECURITIES LAWS. SUCH SECURITIES MAY NOT BE OFFERED
FOR SALE, SOLD, TRANSFERRED OR ASSIGNED UNLESS (A) SUBSEQUENTLY REGISTERED
PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF
1933, AS AMENDED, AND APPLICABLE STATE SECURITIES LAWS OR (B) THE HOLDER HEREOF
SHALL HAVE DELIVERED TO THE COMPANY A WRITTEN OPINION OF COUNSEL, IN FORM,
SUBSTANCE AND SCOPE REASONABLY ACCEPTABLE TO THE COMPANY, TO THE EFFECT THAT THE
SHARES TO BE OFFERED FOR SALE, SOLD, TRANSFERRED OR ASSIGNED ARE BEING OFFERED
FOR SALE, SOLD, TRANSFERRED OR ASSIGNED PURSUANT TO AN EXEMPTION FROM SUCH
REGISTRATION.

                               ELECTRIC CITY CORP.

                        WARRANT TO PURCHASE COMMON STOCK

Warrant No.: 27                                         Number of Shares: 25,000
Original Date of Issuance: June 10, 2002

Electric City Corp., a Delaware corporation (the "COMPANY"), hereby certifies
that, for good and valuable consideration, the receipt and sufficiency of which
are hereby acknowledged, John Porter, the registered holder hereof or its
permitted assigns registered on the books of the Company (the "HOLDER"), is
entitled, subject to the terms and conditions set forth below, to purchase from
the Company upon surrender of this Warrant, at any time or times on or after the
date hereof, but not after 5:00 P.M. Eastern Standard Time on October 16, 2005
(the "EXPIRATION DATE"), Twenty-Five Thousand (25,000) fully paid and
nonassessable shares (the "WARRANT SHARES") of the Company's common stock, par
value $0.0001 per share (the "COMMON STOCK"), at the exercise price per share
equal to $4.71, subject to adjustment as hereinafter provided (the "WARRANT
EXERCISE PRICE").

     Section 1.   DEFINITIONS. In addition to the capitalized terms defined
elsewhere herein, the following terms as used in this Warrant shall have the
following meanings:

                  (i)   "BUSINESS DAY" means any day other than Saturday, Sunday
or other day on which commercial banks in the City of New York are authorized or
required by law to remain closed.

                                   Page 1 of 9
<Page>

                  (ii)  "PERSON" means an individual, a limited liability
company, a partnership, a joint venture, a corporation, a trust, an
unincorporated organization or a government or any department or agency thereof.

                  (iii) "SECURITIES ACT" means the Securities Act of 1933, as
amended.

     Section 2.   EXERCISE OF WARRANT.

            (a)   Subject to the terms and conditions hereof, this Warrant may
be exercised by the Holder, in whole or in part, during normal business hours on
any Business Day on or after the date hereof and prior to 5:00 P.M. Eastern
Standard Time on the Expiration Date by (i) delivery of a duly executed written
notice, in the form of the subscription notice attached as EXHIBIT A hereto (the
"EXERCISE NOTICE"), of such Holder's election to exercise this Warrant, which
notice shall specify the number of Warrant Shares to be purchased, (ii) payment
to the Company of an amount equal to the Warrant Exercise Price multiplied by
the number of Warrant Shares as to which this Warrant is being exercised (the
"AGGREGATE EXERCISE PRICE") in cash or by certified check or wire transfer of
immediately available funds, and (iii) delivery to the Company of this Warrant
(or an indemnity and evidence with respect to this Warrant in the case of its
loss, theft, mutilation or destruction as provided in Section 11). In the event
of any exercise of the rights represented by this Warrant in compliance with
this Section 2(a), the Company shall, on or before the tenth (10th) Business Day
following the date of its receipt of the Exercise Notice, the Aggregate Exercise
Price and this Warrant (or an indemnity and evidence with respect to this
Warrant in the case of its loss, theft, mutilation or destruction as provided in
Section 11) (the "EXERCISE DELIVERY DOCUMENTS"), deliver at the Company's
expense to the Holder, a certificate or certificates for the Warrant Shares so
purchased, in such denominations as may be requested by Holder and registered in
the name of Holder. Upon the Company's receipt of the Exercise Delivery
Documents, the Holder shall be deemed for all corporate purposes to have become
the holder of record of the Warrant Shares with respect to which this Warrant
has been exercised, irrespective of the date of delivery of certificates
evidencing such Warrant Shares.

            (b)   Unless the rights represented by this Warrant shall have
expired or shall have been fully exercised, the Company shall, as soon as
practicable and in no event later than ten (10) Business Days after any exercise
and at its own expense, issue a new Warrant identical in all respects to this
Warrant exercised, except it shall represent rights to purchase the number of
Warrant Shares purchasable immediately prior to such exercise under this Warrant
exercised, less the number of Warrant Shares with respect to which this Warrant
is exercised.

            (c)   No fractional shares of Common Stock are to be issued upon the
exercise of this Warrant, but rather the number of shares of Common Stock issued
upon exercise of this Warrant shall be rounded up or down to the nearest whole
number.

     Section 3.   COVENANTS. The Company hereby represents, covenants and agrees
as follows:

            (a)   This Warrant is, and any Warrants issued in substitution for
or replacement of this Warrant will upon issuance be, duly authorized and
validly issued.

            (b)   All Warrant Shares which may be issued upon the exercise of
the rights

                                   Page 2 of 9
<Page>

represented by this Warrant will, upon issuance, be validly issued, fully paid
and nonassessable and free from all taxes, liens and charges with respect to the
issue thereof.

            (c)   Prior to exercise of this Warrant, the Company shall secure
the listing of the Warrant Shares upon each national securities exchange or
market, if any, upon which shares of Common Stock are then listed (subject to
official notice of issuance upon exercise of this Warrant) and shall maintain
such listing of the Warrant Shares so long as any other shares of Common Stock
shall be so listed.

            (d)   The Company has full power and authority to enter into this
Warrant, and to issue and deliver this Warrant and the Warrant Shares, and to
incur and perform fully the obligations provided herein, all of which have been
duly authorized by all necessary corporate action.

            (e)   This Warrant has been duly executed and delivered and is the
valid and binding obligation of the Company enforceable in accordance with its
terms.

     Section 4.   TAXES. The Company shall pay any and all taxes, except income
taxes, which may be payable with respect to the issuance and delivery of Warrant
Shares upon exercise of this Warrant.

     Section 5.   HOLDER NOT DEEMED A STOCKHOLDER. Except as otherwise
specifically provided herein, this Warrant shall not entitle Holder to vote or
receive dividends or any other rights of a stockholder of the Company,
including, without limitation, any right to vote, give or withhold consent to
any corporate action (whether a reorganization, issue of stock, reclassification
of stock, consolidation, merger, conveyance or otherwise), receive notice of
meetings or receive subscription rights.

     Section 6.   REPRESENTATIONS OF HOLDER. The Holder, by the acceptance
hereof, represents and warrants that it (a) is acquiring this Warrant and the
Warrant Shares solely for its own account, for investment and not with a view
towards the distribution or resale thereof in violation of the Securities Act or
any applicable state securities laws, (b) has received such documents, materials
and information as Holder deems necessary or appropriate for evaluation of the
acquisition of the Warrant and the Warrant Shares, (c) is an "accredited
investor" as such term is defined in Rule 501 of Regulation D promulgated under
the Securities Act and has such knowledge and experience in financial and
business matters that it is capable of evaluating the merits and risks of an
investment in the Warrant and the Warrant Shares, (d) understands that no U.S.
federal, state or regulatory agency has recommended, approved or endorsed, or
passed upon the fairness or suitability of, an investment in the Warrant or
Warrant Shares or passed up on the accuracy or adequacy of the information
provided to Holder, and (e) recognizes that an investment in the Warrant Shares
involves a high degree of financial risk, can bear the economic risk of losing
its entire investment in the Warrant Shares and has sought, or will seek, such
accounting, legal and tax advice as it has considered, or will consider,
necessary to make an informed investment decision with respect to its
acquisition of this Warrant and Warrant Shares. If Holder cannot make any of the
foregoing representations at the time of exercising this Warrant because it
would be factually incorrect, Holder shall so notify the Company, and it shall
be a condition to Holder's exercise of this Warrant that the Company receive
such other assurances as the Company considers reasonably necessary to assure
the Company that the issuance of the

                                   Page 3 of 9
<Page>

Warrant Shares upon exercise of this Warrant shall not violate the Securities
Act or any state securities laws.

     Section 7.   RESTRICTION ON TRANSFER.

            (a)   This Warrant and the rights granted to Holder are
transferable, in whole or in part, upon surrender of this Warrant, together with
a properly executed warrant power in the form of EXHIBIT B attached hereto;
provided, however, that any transfer or assignment shall be subject to the
approval of the Company, such approval not to be unreasonably withheld and the
conditions set forth in Section 7(b) below.

            (b)   Holder represents and warrants that it understands that,
except as set forth in Section 8 below, the Company is under no obligation to
register this Warrant or the Warrant Shares under the Securities Act and that
the Warrant and Warrant Shares will be characterized as "restricted securities"
under the Securities Act because they are being acquired from the Company in a
transaction not involving a public offering. Holder also represents and warrants
that it understands that neither the Warrant nor the Warrant Shares may be
offered for sale, sold, assigned or transferred unless (a) subsequently
registered pursuant to an effective registration statement under the Securities
Act and applicable state securities laws or (b) Holder shall have delivered to
the Company a written opinion of counsel, in form, substance and scope
reasonably acceptable to the Company, to the effect that the securities to be
offered for sale, sold, assigned or transferred are being offered for sale,
sold, assigned or transferred pursuant to an exemption from such registration.

            (c)   Unless upon their issuance such Warrant Shares are then
registered under the Securities Act pursuant to an effective registration
statement, any certificates representing Warrant Shares issued in accordance
with this Warrant shall bear a legend substantially in the following form:

     THE SHARES OF COMMON STOCK OF ELECTRIC CITY CORP. (THE "COMPANY")
     REPRESENTED BY THIS CERTIFICATE (THE "SHARES") HAVE NOT BEEN REGISTERED
     UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES ACT"), AND
     MAY NOT BE OFFERED FOR SALE, SOLD, TRANSFERRED OR ASSIGNED UNLESS (A)
     SUBSEQUENTLY REGISTERED PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT
     UNDER THE SECURITIES ACT AND APPLICABLE STATE SECURITIES LAWS OR (B) THE
     HOLDER HEREOF SHALL HAVE DELIVERED TO THE COMPANY A WRITTEN OPINION OF
     COUNSEL, IN FORM, SUBSTANCE AND SCOPE REASONABLY ACCEPTABLE TO THE COMPANY,
     TO THE EFFECT THAT THE SHARES TO BE OFFERED FOR SALE, SOLD, TRANSFERRED OR
     ASSIGNED ARE BEING OFFERED FOR SALE, SOLD, TRANSFERRED OR ASSIGNED PURSUANT
     TO AN EXEMPTION FROM SUCH REGISTRATION.

     Section 8.   THIS SECTION HAS BEEN LEFT BLANK INTENTIONALLY.

                                   Page 4 of 9
<Page>

     Section 9.

            (a)   ADJUSTMENT OF WARRANT EXERCISE PRICE AND NUMBER OF WARRANT
SHARES UPON SUBDIVISION OR COMBINATION OF COMPANY STOCK. If the Company at any
time after the date of issuance of this Warrant subdivides (by any stock split
or stock dividend of its Common Stock) its outstanding shares of Common Stock
into a greater number of shares of Common Stock, the Warrant Exercise Price in
effect immediately prior to such subdivision will be proportionately reduced and
the number of Warrant Shares obtainable upon exercise of this Warrant will be
proportionately increased. If the Company at any time after the date of issuance
of this Warrant combines (by reverse stock split or otherwise) its outstanding
shares of Common Stock into a smaller number of shares of Common Stock, the
Warrant Exercise Price in effect immediately prior to such combination will be
proportionately increased and the number of Warrant Shares obtainable upon
exercise of this Warrant will be proportionately decreased. Any adjustment under
this Section 9(a) shall become effective at the close of business on the date
the subdivision or combination becomes effective.

            (b)   NOTICES. Upon any adjustment of the Warrant Exercise Price or
number of issuable Warrant Shares pursuant to Section 9(a), the Company will
give written notice thereof to the Holder, setting forth in reasonable detail
the calculation of such adjustment.

     Section 10.  REORGANIZATION, RECLASSIFICATION, CONSOLIDATION, MERGER OR
SALE. If at any time, as a result of:

                  (i)   a capital reorganization or reclassification (other than
a subdivision or combination provided for in Section 9), or

                  (ii)  a merger or consolidation of the Company with another
corporation (whether or not the Company is the surviving corporation) or sale of
substantially all of the Company's stock, the Common Stock issuable upon
exercise of this Warrant shall be changed into or exchanged for the same or a
different number of shares of any class or classes of capital stock of the
Company or any other Person, or other securities convertible into such shares,
then, as a part of such reorganization, reclassification, merger, consolidation
or sale, appropriate adjustments shall be made in the terms of this Warrant (or
of any securities into which this Warrant is exercised or for which this Warrant
is exchanged), so that Holder shall thereafter be entitled to receive, upon
exercise of this Warrant or of such substitute securities, the kind and amount
of shares of stock, other securities, money and property which Holder would have
received at the time of such capital reorganization, reclassification, merger,
consolidation or sale, if Holder had exercised this Warrant immediately prior to
such capital reorganization, reclassification, merger, consolidation or sale.
This Warrant, including, without limitation, the provisions of this Section 10
will be binding upon any entity succeeding to the Company by merger,
consolidation or acquisition of all or substantially all of the Company's
assets. The provisions of this Section 10 shall similarly apply to (x)
successive capital reorganizations, reclassifications, mergers, consolidations
and sale and (y) the securities of any other Person that are at the time
receivable upon the exercise of this Warrant.

                                   Page 5 of 9
<Page>

     Section 11.  LOST, STOLEN, MUTILATED OR DESTROYED WARRANT. If this Warrant
is lost, stolen, mutilated or destroyed, the Company shall promptly, on receipt
of evidence reasonably satisfactory to the Company of the ownership of, and the
loss, theft, mutilation or destruction of, this Warrant, and an indemnity
reasonably satisfactory to the Company (or in the case of a mutilated Warrant,
the Warrant), issue in lieu thereof a new Warrant of like denomination and tenor
as this Warrant so lost, stolen, mutilated or destroyed.

     Section 12.  NOTICE. Any notices, consents, waivers or other communications
required or permitted to be given under the terms of this Warrant must be in
writing and will be deemed to have been made upon receipt when delivered
personally, via pre-paid overnight courier or by registered or certified mail,
postage pre-paid, return receipt requested. The addresses for such
communications shall be:

            If to the Company:

                   Electric City Corp.
                   1280 Landmeier Road
                   Elk Grove Village, IL 60007
                   Attention:   General Counsel

            If to the Holder:

                   Delano Group Securities
                   141 West Jackson Blvd, Suite 2176
                   Chicago, IL 60604
                   Attention:   John Porter

            With a copy to:

                   -------------------------------

                   -------------------------------

                   -------------------------------

                   Attention:
                                ------------------

or such other address as the Company or Holder, as applicable, may specify in
written notice given to the other party in accordance with this Section 12.

     Section 13.  AMENDMENTS. This Warrant and any term hereof may be changed,
waived, discharged, or terminated only by an instrument in writing signed by the
party hereto against which enforcement of such change, waiver, discharge or
termination is sought.

     Section 14.  EXPIRATION. This Warrant, in all events, shall be wholly void
and of no effect after 5:00 P.M. Eastern Standard Time on the Expiration Date,
except that notwithstanding any other provisions hereof, the provisions of
Sections 7 and 8 shall continue in full force and effect after such date as to
any Warrant Shares or other securities issued upon the exercise of this Warrant.

                                   Page 6 of 9
<Page>

     Section 15.  SUCCESSORS AND ASSIGNS. The terms and provisions of this
Warrant shall inure to the benefit of, and be binding upon, the Company and the
Holder and their respective successors and permitted assigns.

     Section 16.  DESCRIPTIVE HEADINGS; GOVERNING LAW; ARBITRATION. The
descriptive headings of the several sections and paragraphs of this Warrant are
inserted for convenience only and do not constitute a part of this Warrant. All
questions concerning the construction, validity, enforcement and interpretation
of this Warrant shall be governed by the internal laws of the State of Illinois,
without giving effect to any choice of law or conflict of law provision or rule
(whether of the State of Illinois or any other jurisdiction) that would cause
the application of the laws of any jurisdiction other than the State of
Illinois.

In the event of any and all disagreements and controversies arising from this
Warrant, such disagreements and controversies shall be subject to binding
arbitration as arbitrated in accordance with the then current Commercial
Arbitration Rules of the American Arbitration Association in Chicago, Illinois
before one neutral arbitrator. Either party may apply to the arbitrator seeking
injunctive relief until the arbitration award is rendered or the controversy is
otherwise resolved. Without waiving any remedy under this Warrant, either party
may also seek from any court having jurisdiction any interim or provisional
relief that is necessary to protect the rights or property of that party,
pending the establishment of the arbitral tribunal (or pending the arbitral
tribunal's determination of the merits of the controversy). In the event of any
such disagreement or controversy, neither party shall directly or indirectly
reveal, report, publish or disclose any information relating to such
disagreement or controversy to any person, firm or corporation not expressly
authorized by the other party to receive such information or use such
information or assist any other person in doing so, except to comply with actual
legal obligations of such party, or unless such disclosure is directly related
to an arbitration proceeding as provided herein, including, but not limited to,
the prosecution or defense of any claim in such arbitration. The costs and
expenses of the arbitration (excluding attorneys' fees) shall be paid by the
non-prevailing party or as determined by the arbitrator.

     IN WITNESS WHEREOF, the Company has caused this Warrant to be signed by a
duly authorized officer, as of the 10th day of June, 2002.

                                             ELECTRIC CITY CORP.

                                             By:  /s/ Jeffrey Mistarz
                                                --------------------------------

                                             Name:  Jeffrey Mistarz

                                             Title: Chief Financial Officer

                                   Page 7 of 9
<Page>

                              EXHIBIT A TO WARRANT

                                SUBSCRIPTION FORM

        TO BE EXECUTED BY THE REGISTERED HOLDER TO EXERCISE THIS WARRANT

                               ELECTRIC CITY CORP.

     The undersigned Holder hereby exercises the right to purchase
_________________ of the shares of Common Stock ("WARRANT SHARES") of Electric
City Corp., a Delaware corporation (the "COMPANY"), evidenced by the attached
Warrant (the "WARRANT"). The Holder tenders herewith payment of the Aggregate
Exercise Price in full in the amount of $___________________ in the form of
cash, certified check or wire transfer of immediately available funds with
respect to _______________ Warrant Shares. Capitalized terms used herein and not
otherwise defined shall have the respective meanings set forth in the Warrant.

Date: _______________ __, 200_

Name of Holder

By:
    -----------------------------------

    Name:
          -----------------------------
    Title:
           ----------------------------

                                   Page 8 of 9
<Page>

                              EXHIBIT B TO WARRANT

                              FORM OF WARRANT POWER

FOR VALUE RECEIVED, the undersigned does hereby assign and transfer to
________________, a warrant to purchase ____________ shares of the Common Stock
of Electric City Corp., a Delaware corporation, represented by warrant
certificate no. _____, standing in the name of the undersigned on the books of
said corporation. The undersigned does hereby irrevocably constitute and appoint
_______________________, to transfer the warrants of said corporation, with full
power of substitution in the premises.

Dated: _________, 200_

                                             -----------------------------------

                                             By:
                                                   -----------------------------
                                             Name:
                                                   -----------------------------
                                             Its:
                                                   -----------------------------

                                   Page 9 of 9
<Page>

                                                       Exhibit 10.43 (4 of 4)

                                     WARRANT

NEITHER THIS WARRANT NOR ANY SHARES OF COMMON STOCK ISSUABLE UPON THE EXERCISE
OF THIS WARRANT HAVE BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS
AMENDED, OR APPLICABLE STATE SECURITIES LAWS. SUCH SECURITIES MAY NOT BE OFFERED
FOR SALE, SOLD, TRANSFERRED OR ASSIGNED UNLESS (A) SUBSEQUENTLY REGISTERED
PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF
1933, AS AMENDED, AND APPLICABLE STATE SECURITIES LAWS OR (B) THE HOLDER HEREOF
SHALL HAVE DELIVERED TO THE COMPANY A WRITTEN OPINION OF COUNSEL, IN FORM,
SUBSTANCE AND SCOPE REASONABLY ACCEPTABLE TO THE COMPANY, TO THE EFFECT THAT THE
SHARES TO BE OFFERED FOR SALE, SOLD, TRANSFERRED OR ASSIGNED ARE BEING OFFERED
FOR SALE, SOLD, TRANSFERRED OR ASSIGNED PURSUANT TO AN EXEMPTION FROM SUCH
REGISTRATION.

                               ELECTRIC CITY CORP.

                        WARRANT TO PURCHASE COMMON STOCK

Warrant No.: 26                                         Number of Shares: 25,000
Original Date of Issuance: June 10, 2002

Electric City Corp., a Delaware corporation (the "COMPANY"), hereby certifies
that, for good and valuable consideration, the receipt and sufficiency of which
are hereby acknowledged, David R. Asplund, the registered holder hereof or its
permitted assigns registered on the books of the Company (the "HOLDER"), is
entitled, subject to the terms and conditions set forth below, to purchase from
the Company upon surrender of this Warrant, at any time or times on or after the
date hereof, but not after 5:00 P.M. Eastern Standard Time on October 16, 2005
(the "EXPIRATION DATE"), Twenty-Five Thousand (25,000) fully paid and
nonassessable shares (the "WARRANT SHARES") of the Company's common stock, par
value $0.0001 per share (the "COMMON STOCK"), at the exercise price per share
equal to $4.71, subject to adjustment as hereinafter provided (the "WARRANT
EXERCISE PRICE").

     Section 1.   DEFINITIONS. In addition to the capitalized terms defined
elsewhere herein, the following terms as used in this Warrant shall have the
following meanings:

            (i)   "BUSINESS DAY" means any day other than Saturday, Sunday or
other day on which commercial banks in the City of New York are authorized or
required by law to remain closed.

                                   Page 1 of 9
<Page>

            (ii)  "PERSON" means an individual, a limited liability company, a
partnership, a joint venture, a corporation, a trust, an unincorporated
organization or a government or any department or agency thereof.

            (iii) "SECURITIES ACT" means the Securities Act of 1933, as amended.

     Section 2.   EXERCISE OF WARRANT.

            (a)   Subject to the terms and conditions hereof, this Warrant may
be exercised by the Holder, in whole or in part, during normal business hours on
any Business Day on or after the date hereof and prior to 5:00 P.M. Eastern
Standard Time on the Expiration Date by (i) delivery of a duly executed written
notice, in the form of the subscription notice attached as EXHIBIT A hereto (the
"EXERCISE NOTICE"), of such Holder's election to exercise this Warrant, which
notice shall specify the number of Warrant Shares to be purchased, (ii) payment
to the Company of an amount equal to the Warrant Exercise Price multiplied by
the number of Warrant Shares as to which this Warrant is being exercised (the
"AGGREGATE EXERCISE PRICE") in cash or by certified check or wire transfer of
immediately available funds, and (iii) delivery to the Company of this Warrant
(or an indemnity and evidence with respect to this Warrant in the case of its
loss, theft, mutilation or destruction as provided in Section 11). In the event
of any exercise of the rights represented by this Warrant in compliance with
this Section 2(a), the Company shall, on or before the tenth (10th) Business Day
following the date of its receipt of the Exercise Notice, the Aggregate Exercise
Price and this Warrant (or an indemnity and evidence with respect to this
Warrant in the case of its loss, theft, mutilation or destruction as provided in
Section 11) (the "EXERCISE DELIVERY DOCUMENTS"), deliver at the Company's
expense to the Holder, a certificate or certificates for the Warrant Shares so
purchased, in such denominations as may be requested by Holder and registered in
the name of Holder. Upon the Company's receipt of the Exercise Delivery
Documents, the Holder shall be deemed for all corporate purposes to have become
the holder of record of the Warrant Shares with respect to which this Warrant
has been exercised, irrespective of the date of delivery of certificates
evidencing such Warrant Shares.

            (b)   Unless the rights represented by this Warrant shall have
expired or shall have been fully exercised, the Company shall, as soon as
practicable and in no event later than ten (10) Business Days after any exercise
and at its own expense, issue a new Warrant identical in all respects to this
Warrant exercised, except it shall represent rights to purchase the number of
Warrant Shares purchasable immediately prior to such exercise under this Warrant
exercised, less the number of Warrant Shares with respect to which this Warrant
is exercised.

            (c)   No fractional shares of Common Stock are to be issued upon the
exercise of this Warrant, but rather the number of shares of Common Stock issued
upon exercise of this Warrant shall be rounded up or down to the nearest whole
number.

     Section 3.   COVENANTS. The Company hereby represents, covenants and agrees
as follows:

            (a)   This Warrant is, and any Warrants issued in substitution for
or replacement of this Warrant will upon issuance be, duly authorized and
validly issued.

            (b)   All Warrant Shares which may be issued upon the exercise of
the rights

                                   Page 2 of 9
<Page>

represented by this Warrant will, upon issuance, be validly issued, fully
paid and nonassessable and free from all taxes, liens and charges with respect
to the issue thereof.

            (c)   Prior to exercise of this Warrant, the Company shall secure
the listing of the Warrant Shares upon each national securities exchange or
market, if any, upon which shares of Common Stock are then listed (subject to
official notice of issuance upon exercise of this Warrant) and shall maintain
such listing of the Warrant Shares so long as any other shares of Common Stock
shall be so listed.

            (d)   The Company has full power and authority to enter into this
Warrant, and to issue and deliver this Warrant and the Warrant Shares, and to
incur and perform fully the obligations provided herein, all of which have been
duly authorized by all necessary corporate action.

            (e)   This Warrant has been duly executed and delivered and is the
valid and binding obligation of the Company enforceable in accordance with its
terms.

     Section 4.   TAXES. The Company shall pay any and all taxes, except income
taxes, which may be payable with respect to the issuance and delivery of Warrant
Shares upon exercise of this Warrant.

     Section 5.   HOLDER NOT DEEMED A STOCKHOLDER. Except as otherwise
specifically provided herein, this Warrant shall not entitle Holder to vote or
receive dividends or any other rights of a stockholder of the Company,
including, without limitation, any right to vote, give or withhold consent to
any corporate action (whether a reorganization, issue of stock, reclassification
of stock, consolidation, merger, conveyance or otherwise), receive notice of
meetings or receive subscription rights.

     Section 6.   REPRESENTATIONS OF HOLDER. The Holder, by the acceptance
hereof, represents and warrants that it (a) is acquiring this Warrant and the
Warrant Shares solely for its own account, for investment and not with a view
towards the distribution or resale thereof in violation of the Securities Act or
any applicable state securities laws, (b) has received such documents, materials
and information as Holder deems necessary or appropriate for evaluation of the
acquisition of the Warrant and the Warrant Shares, (c) is an "accredited
investor" as such term is defined in Rule 501 of Regulation D promulgated under
the Securities Act and has such knowledge and experience in financial and
business matters that it is capable of evaluating the merits and risks of an
investment in the Warrant and the Warrant Shares, (d) understands that no U.S.
federal, state or regulatory agency has recommended, approved or endorsed, or
passed upon the fairness or suitability of, an investment in the Warrant or
Warrant Shares or passed up on the accuracy or adequacy of the information
provided to Holder, and (e) recognizes that an investment in the Warrant Shares
involves a high degree of financial risk, can bear the economic risk of losing
its entire investment in the Warrant Shares and has sought, or will seek, such
accounting, legal and tax advice as it has considered, or will consider,
necessary to make an informed investment decision with respect to its
acquisition of this Warrant and Warrant Shares. If Holder cannot make any of the
foregoing representations at the time of exercising this Warrant because it
would be factually incorrect, Holder shall so notify the Company, and it shall
be a condition to Holder's exercise of this Warrant that the Company receive
such other assurances as the Company considers reasonably necessary to assure
the Company that the issuance of the

                                   Page 3 of 9
<Page>

Warrant Shares upon exercise of this Warrant shall not violate the Securities
Act or any state securities laws.

     Section 7.   RESTRICTION ON TRANSFER.

            (a)   This Warrant and the rights granted to Holder are
transferable, in whole or in part, upon surrender of this Warrant, together with
a properly executed warrant power in the form of EXHIBIT B attached hereto;
provided, however, that any transfer or assignment shall be subject to the
approval of the Company, such approval not to be unreasonably withheld and the
conditions set forth in Section 7(b) below.

            (b)   Holder represents and warrants that it understands that,
except as set forth in Section 8 below, the Company is under no obligation to
register this Warrant or the Warrant Shares under the Securities Act and that
the Warrant and Warrant Shares will be characterized as "restricted securities"
under the Securities Act because they are being acquired from the Company in a
transaction not involving a public offering. Holder also represents and warrants
that it understands that neither the Warrant nor the Warrant Shares may be
offered for sale, sold, assigned or transferred unless (a) subsequently
registered pursuant to an effective registration statement under the Securities
Act and applicable state securities laws or (b) Holder shall have delivered to
the Company a written opinion of counsel, in form, substance and scope
reasonably acceptable to the Company, to the effect that the securities to be
offered for sale, sold, assigned or transferred are being offered for sale,
sold, assigned or transferred pursuant to an exemption from such registration.

            (c)   Unless upon their issuance such Warrant Shares are then
registered under the Securities Act pursuant to an effective registration
statement, any certificates representing Warrant Shares issued in accordance
with this Warrant shall bear a legend substantially in the following form:

     THE SHARES OF COMMON STOCK OF ELECTRIC CITY CORP. (THE "COMPANY")
     REPRESENTED BY THIS CERTIFICATE (THE "SHARES") HAVE NOT BEEN REGISTERED
     UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES ACT"), AND
     MAY NOT BE OFFERED FOR SALE, SOLD, TRANSFERRED OR ASSIGNED UNLESS (A)
     SUBSEQUENTLY REGISTERED PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT
     UNDER THE SECURITIES ACT AND APPLICABLE STATE SECURITIES LAWS OR (B) THE
     HOLDER HEREOF SHALL HAVE DELIVERED TO THE COMPANY A WRITTEN OPINION OF
     COUNSEL, IN FORM, SUBSTANCE AND SCOPE REASONABLY ACCEPTABLE TO THE COMPANY,
     TO THE EFFECT THAT THE SHARES TO BE OFFERED FOR SALE, SOLD, TRANSFERRED OR
     ASSIGNED ARE BEING OFFERED FOR SALE, SOLD, TRANSFERRED OR ASSIGNED PURSUANT
     TO AN EXEMPTION FROM SUCH REGISTRATION.

     Section 8.   THIS SECTION HAS BEEN LEFT BLANK INTENTIONALLY.

                                   Page 4 of 9
<Page>

     Section 9.

            (a)   ADJUSTMENT OF WARRANT EXERCISE PRICE AND NUMBER OF WARRANT
SHARES UPON SUBDIVISION OR COMBINATION OF COMPANY STOCK. If the Company at any
time after the date of issuance of this Warrant subdivides (by any stock split
or stock dividend of its Common Stock) its outstanding shares of Common Stock
into a greater number of shares of Common Stock, the Warrant Exercise Price in
effect immediately prior to such subdivision will be proportionately reduced and
the number of Warrant Shares obtainable upon exercise of this Warrant will be
proportionately increased. If the Company at any time after the date of issuance
of this Warrant combines (by reverse stock split or otherwise) its outstanding
shares of Common Stock into a smaller number of shares of Common Stock, the
Warrant Exercise Price in effect immediately prior to such combination will be
proportionately increased and the number of Warrant Shares obtainable upon
exercise of this Warrant will be proportionately decreased. Any adjustment under
this Section 9(a) shall become effective at the close of business on the date
the subdivision or combination becomes effective.

            (b)   NOTICES. Upon any adjustment of the Warrant Exercise Price or
number of issuable Warrant Shares pursuant to Section 9(a), the Company will
give written notice thereof to the Holder, setting forth in reasonable detail
the calculation of such adjustment.

     Section 10.  REORGANIZATION, RECLASSIFICATION, CONSOLIDATION, MERGER OR
SALE. If at any time, as a result of:

                  (i)   a capital reorganization or reclassification (other than
a subdivision or combination provided for in Section 9), or

                  (ii)  a merger or consolidation of the Company with another
corporation (whether or not the Company is the surviving corporation) or sale of
substantially all of the Company's stock, the Common Stock issuable upon
exercise of this Warrant shall be changed into or exchanged for the same or a
different number of shares of any class or classes of capital stock of the
Company or any other Person, or other securities convertible into such shares,
then, as a part of such reorganization, reclassification, merger, consolidation
or sale, appropriate adjustments shall be made in the terms of this Warrant (or
of any securities into which this Warrant is exercised or for which this Warrant
is exchanged), so that Holder shall thereafter be entitled to receive, upon
exercise of this Warrant or of such substitute securities, the kind and amount
of shares of stock, other securities, money and property which Holder would have
received at the time of such capital reorganization, reclassification, merger,
consolidation or sale, if Holder had exercised this Warrant immediately prior to
such capital reorganization, reclassification, merger, consolidation or sale.
This Warrant, including, without limitation, the provisions of this Section 10
will be binding upon any entity succeeding to the Company by merger,
consolidation or acquisition of all or substantially all of the Company's
assets. The provisions of this Section 10 shall similarly apply to (x)
successive capital reorganizations, reclassifications, mergers, consolidations
and sale and (y) the securities of any other Person that are at the time
receivable upon the exercise of this Warrant.

                                   Page 5 of 9
<Page>

     Section 11.  LOST, STOLEN, MUTILATED OR DESTROYED WARRANT. If this Warrant
is lost, stolen, mutilated or destroyed, the Company shall promptly, on receipt
of evidence reasonably satisfactory to the Company of the ownership of, and the
loss, theft, mutilation or destruction of, this Warrant, and an indemnity
reasonably satisfactory to the Company (or in the case of a mutilated Warrant,
the Warrant), issue in lieu thereof a new Warrant of like denomination and tenor
as this Warrant so lost, stolen, mutilated or destroyed.

     Section 12.  NOTICE. Any notices, consents, waivers or other communications
required or permitted to be given under the terms of this Warrant must be in
writing and will be deemed to have been made upon receipt when delivered
personally, via pre-paid overnight courier or by registered or certified mail,
postage pre-paid, return receipt requested. The addresses for such
communications shall be:

            If to the Company:

                   Electric City Corp.
                   1280 Landmeier Road
                   Elk Grove Village, IL 60007
                   Attention:   General Counsel

            If to the Holder:

                   Delano Group Securities
                   141 West Jackson Blvd, Suite 2176
                   Chicago, IL 60604
                   Attention:   David Asplund

            With a copy to:

                   -------------------------------

                   -------------------------------

                   -------------------------------

                   Attention:
                                ------------------

or such other address as the Company or Holder, as applicable, may specify in
written notice given to the other party in accordance with this Section 12.

     Section 13.  AMENDMENTS. This Warrant and any term hereof may be changed,
waived, discharged, or terminated only by an instrument in writing signed by the
party hereto against which enforcement of such change, waiver, discharge or
termination is sought.

     Section 14.  EXPIRATION. This Warrant, in all events, shall be wholly void
and of no effect after 5:00 P.M. Eastern Standard Time on the Expiration Date,
except that notwithstanding any other provisions hereof, the provisions of
Sections 7 and 8 shall continue in full force and effect after such date as to
any Warrant Shares or other securities issued upon the exercise of this Warrant.

                                   Page 6 of 9
<Page>

     Section 15.  SUCCESSORS AND ASSIGNS. The terms and provisions of this
Warrant shall inure to the benefit of, and be binding upon, the Company and the
Holder and their respective successors and permitted assigns.

     Section 16.  DESCRIPTIVE HEADINGS; GOVERNING LAW; ARBITRATION. The
descriptive headings of the several sections and paragraphs of this Warrant are
inserted for convenience only and do not constitute a part of this Warrant. All
questions concerning the construction, validity, enforcement and interpretation
of this Warrant shall be governed by the internal laws of the State of Illinois,
without giving effect to any choice of law or conflict of law provision or rule
(whether of the State of Illinois or any other jurisdiction) that would cause
the application of the laws of any jurisdiction other than the State of
Illinois.

In the event of any and all disagreements and controversies arising from this
Warrant, such disagreements and controversies shall be subject to binding
arbitration as arbitrated in accordance with the then current Commercial
Arbitration Rules of the American Arbitration Association in Chicago, Illinois
before one neutral arbitrator. Either party may apply to the arbitrator seeking
injunctive relief until the arbitration award is rendered or the controversy is
otherwise resolved. Without waiving any remedy under this Warrant, either party
may also seek from any court having jurisdiction any interim or provisional
relief that is necessary to protect the rights or property of that party,
pending the establishment of the arbitral tribunal (or pending the arbitral
tribunal's determination of the merits of the controversy). In the event of any
such disagreement or controversy, neither party shall directly or indirectly
reveal, report, publish or disclose any information relating to such
disagreement or controversy to any person, firm or corporation not expressly
authorized by the other party to receive such information or use such
information or assist any other person in doing so, except to comply with actual
legal obligations of such party, or unless such disclosure is directly related
to an arbitration proceeding as provided herein, including, but not limited to,
the prosecution or defense of any claim in such arbitration. The costs and
expenses of the arbitration (excluding attorneys' fees) shall be paid by the
non-prevailing party or as determined by the arbitrator.

     IN WITNESS WHEREOF, the Company has caused this Warrant to be signed by a
duly authorized officer, as of the 10th day of June, 2002.

                                             ELECTRIC CITY CORP.

                                             By:  /s/ Jeffrey Mistarz
                                                 -------------------------------

                                             Name:  Jeffrey Mistarz

                                             Title: Chief Financial Officer

                                   Page 7 of 9
<Page>

                              EXHIBIT A TO WARRANT

                                SUBSCRIPTION FORM

        TO BE EXECUTED BY THE REGISTERED HOLDER TO EXERCISE THIS WARRANT

                               ELECTRIC CITY CORP.

     The undersigned Holder hereby exercises the right to purchase
_________________ of the shares of Common Stock ("WARRANT SHARES") of Electric
City Corp., a Delaware corporation (the "COMPANY"), evidenced by the attached
Warrant (the "WARRANT"). The Holder tenders herewith payment of the Aggregate
Exercise Price in full in the amount of $___________________ in the form of
cash, certified check or wire transfer of immediately available funds with
respect to _______________ Warrant Shares. Capitalized terms used herein and not
otherwise defined shall have the respective meanings set forth in the Warrant.

Date: _______________ __, 200_

Name of Holder

By:
     -----------------------------------

     Name:
          ------------------------------
     Title:
           -----------------------------

                                   Page 8 of 9
<Page>

                              EXHIBIT B TO WARRANT

                              FORM OF WARRANT POWER

FOR VALUE RECEIVED, the undersigned does hereby assign and transfer to
________________, a warrant to purchase ____________ shares of the Common Stock
of Electric City Corp., a Delaware corporation, represented by warrant
certificate no. _____, standing in the name of the undersigned on the books of
said corporation. The undersigned does hereby irrevocably constitute and appoint
_______________________, to transfer the warrants of said corporation, with full
power of substitution in the premises.

Dated: _________, 200_

                                             -----------------------------------

                                             By:
                                                 -------------------------------
                                             Name:
                                                   -----------------------------
                                             Its:
                                                  ------------------------------

                                   Page 9 of 9

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