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POWER PURCHASE AGREEMENT (PPA)

Elite Energy Solutions is able to deliver competitively priced solar power to both Commercial and Private customers under the terms of a power purchase agreement. This agreement typically takes the form of a binding agreement to purchase the power produced by the solar system over a period of 20-25 years.

What is a Solar PPA?

    A Power Purchase Agreement is a contract to buy solar power based on a set rate that is usually equal to or less than market rate from your local utility company. Because your solar electric rate is secured, you can also protect yourself from the volatility of future utility rate increases. As a SolarPPA customer, you only pay for solar power, not the solar equipment or installation. SolarCity installs, maintains and owns the solar system on your rooftop or property. SolarPPAs are very common for commercial solar customers and are now becoming very popular for residential customers too.

Advantages:
  • Firstly, they are not required to spend any capital as the project is owned and financed, so there is no need to justify capital expenditure.
  • Secondly, the price of electricity is indexed to inflation and therefore is increasingly cost effective as fossil fuel based electricity gets increasingly expensive.
  • Finally, the customer is able to enjoy the marketing benefits of their green energy, helping to address corporate social responsibility objectives.