Best Solar Company in Monrovia, CA

A solar power purchase agreement (PPA) is an agreement for financial transactions in which the third-party solar developer is the one who manages, owns, and manages its solar photovoltaic (PV) system, and a customer agrees to purchase power from the system at a fixed price per kilowatt-hour (kWh) for a specific period of time. Solar PPAs are a common way for businesses, schools as well as other institutions to go solar with little to no upfront expense. Although solar PPAs can offer substantial financial advantages, it’s important to understand that you will be relinquishing certain benefits which come with having your own solar power system. 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. Additionally, you could be susceptible to price increases every year and also early termination charges if you choose to cancel the agreement prior to the expiration of the contract. Therefore, it’s important to carefully consider all the advantages and disadvantages of solar PPAs before entering into one.