Best Solar Company in University City, CA

The solar power purchase contract (PPA) is an agreement for financial transactions in which an outside solar developer manages, owns, and manages its solar photovoltaic (PV) system and the customer accepts to buy power from the system at an agreed-upon price per kilowatt hour (kWh) over a specific duration. Solar PPAs are a common option for schools, businesses as well as other institutions to switch to solar power with minimal to no upfront cost. 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, nor will you be allowed transfer excess energy back to the grid. Additionally, you could be subject to annual price increases, as well as early termination charges if you choose to cancel the agreement before the end of the contract. As such, it is important to carefully consider all of the advantages and disadvantages of solar PPAs before signing one.