Different clients require different solar purchasing options. Solect examines the potential variables for your project – ownership structure, federal and state tax appetite, current electricity prices, cost of capital, total system costs, system life, and more – and will work with you to find the most appropriate financing solution. Your options include:
- 1. Direct Ownership
- 2. Solect-Owned
Your organization owns a solar energy system using capital funds or a combination of debt and equity – and retains all the associated financial, tax, and environmental benefits.
i. TRADITIONAL LOANS
ii. OPERATING/CAPITAL LEASE: We help you secure the appropriate capital or operating lease for a solar system through our banking partners. This allows you to obtain up to 100% financing so you can use your capital elsewhere.
iii. PACE: PACE enables commercial property owners to procure energy efficiency and renewable energy projects through low-cost, long-term financing. Property-assessed clean energy (CPACE) is a financing structure in which building owners borrow money for energy efficiency, renewable energy, or other projects and make repayments via an assessment on their property tax bill.
Solect constructs, maintains, operates, and owns a solar system on your property.
i. POWER PURCHASE AGREEMENT: A Power Purchase Agreement (PPA) is a financing model in which a third-party investor like Solect Energy builds, owns and maintains the solar PV system on your property. You can then purchase the energy at a discounted rate for 20+ years, at a cost per kWh well below your current utility rate.
ii. LEASE: Solect will rent your roof and offer you a lease payment for the term of the lease. Lease payments can be in regular installments, such as yearly, or can be a combination of regular installments and an upfront payment. This option allows building owners to pay for maintenance items such as roof improvements before solar is installed. Some owners have been able to fund their entire roof replacement through an upfront solar lease.