Best Solar Company in Seal Beach, CA

The solar power purchase contract (PPA) is an agreement that is financial in nature. a third-party solar developer is the one who owns, manages and maintains the photovoltaic (PV) system and a client is obligated to purchase electricity from the system for an agreed-upon price per kilowatt hour (kWh) for a specified period of time. PPAs with solar are a popular way for businesses, schools as well as other institutions to go solar with little to no upfront cost. Although solar PPAs can offer substantial financial benefits, it is important to understand that you will be relinquishing certain benefits associated with owning your own 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, nor will you be in a position transfer excess energy back to grid. Furthermore, you may be susceptible to price increases every year, as well as early termination fees if you choose to cancel the agreement prior to the expiration of the contract. Therefore, it’s important to carefully consider all of the pros and cons of solar PPAs before signing one.