Best Solar Company in Del Aire, CA

The solar power purchase contract (PPA) is an agreement for financial transactions in which an outside solar developer is the one who owns, manages and maintains the solar photovoltaic (PV) system, and a customer is obligated to purchase power from the system at a fixed price per kilowatt-hour (kWh) over a predetermined period of time. PPAs with solar are a popular option for schools, businesses, and other organizations to make the switch to solar at a low to no upfront expense. While solar PPAs may provide substantial economic benefits, it’s important to understand that you’ll be losing certain benefits associated with owning your solar PV system. For example, you will not have the opportunity to take advantage of tax credits for solar as well as other incentive programs, and you will not be allowed to sell excess power to grid. Furthermore, you may be susceptible to price increases every year and also early termination fees should you opt to end the agreement before the end of the contract. This is why it’s essential to take a careful look at all of the pros and cons of solar PPAs before signing one.