Best Solar Company in Norwalk, CA

A solar power purchase agreement (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 client is obligated to purchase energy from the system at an agreed-upon price per kilowatt hour (kWh) for a specific duration. Solar PPAs are a common way for businesses, schools, and other organizations to switch to solar power with minimal to no upfront cost. While solar PPAs may provide significant financial benefits, it is important to understand that you’ll lose some of the advantages which come with having your solar panel. For instance, you won’t not have the opportunity to take advantage of solar tax credits or other incentives, nor will you be able transfer excess energy to grid. Furthermore, you may be in the midst of annual price hikes and early termination charges should you opt to end the agreement before the end of the agreement. This is why it’s essential to take a careful look at all the advantages and disadvantages of solar PPAs prior to signing one.