Best Solar Company in Rancho Santa Margarita, CA

An agreement to purchase solar energy (PPA) is an agreement for financial transactions in which an outside solar developer manages, owns, and maintains its solar photovoltaic (PV) system and the customer agrees to purchase power from the system at an agreed-upon price per kilowatt hour (kWh) during a specific period of time. PPAs with solar are a popular option for schools, businesses as well as other institutions to go solar with little or no upfront costs. 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 own solar panel. For instance, you’ll not be able to take advantage of tax credits for solar as well as other incentive programs, and you will not be able to sell excess power back to grid. In addition, you may be in the midst of annual price hikes and early termination fees should you opt to end the agreement before the end of the term. This is why it’s essential to take a careful look at all of the pros and cons of solar PPAs prior entering into one.