Best Solar Company in Westlake, CA

A solar power purchase agreement (PPA) is an agreement for financial transactions in which an outside solar developer manages, owns, and maintains the photovoltaic (PV) system, and a customer is obligated to purchase energy from the system at an agreed-upon price per kilowatt hour (kWh) for a specific period of time. PPAs with solar are a popular option for schools, businesses as well as other institutions to switch to solar power with minimal or no upfront costs. While solar PPAs can provide substantial financial advantages, it’s crucial to be aware that you’ll be losing some of the advantages that come with owning your own solar PV system. For instance, you’ll not be able to avail of tax credits for solar as well as other incentive programs, nor will you be allowed for selling excess electricity back to grid. Additionally, you could be subject to annual price increases and early termination charges if you choose to cancel the agreement before the end of the agreement. Therefore, it’s essential to take a careful look at all of the pros and cons of solar PPAs prior to entering into one.