Power Purchase Agreement

Solect develops, designs, installs, owns and operates dozens of solar energy systems throughout Massachusetts. As the leading full-service commercial solar company in the state, we take a practical and consultative approach to help organizations capitalize on their solar potential.

Under a Solar Power Purchase Agreement (PPA), an organization enters a financial agreement with a third-party under which the third party leases the roof or ground space from the business or organization, owns and maintains the system, and sells the solar electricity generated back to the organization at a reduced rate.

This format is generally utilized when an owner is unable to utilize the tax benefits such as a non-profit organization (church, municipality, school, college or other non-profit), and does not have access to capital.  This format is also used by companies that have decided to deploy their capital or credit elsewhere.

Solect offers a number of different PPA solutions

Whether it’s an on-site or off-site solution, a Solect PPA Solar Energy Solution can help to significantly reduce your organization’s operating costs – allowing you to spend more money where it really matters. Solect offers a number of different solutions for organizations to participate in solar:

The “customer” is the end user of the energy, and a solar system is installed on their facility – the building roof, land area or parking at the property. In this case, Solect develops, finances, engineers, installs, and maintains the system. The customer will enjoy substantial cost savings, and avoid up-front capital outlays.
In this case, the “customer” is the end user of the solar energy, but the solar installation is located off-site at another location – either your property or one Solect owns or leases. The customer still receives significant discounts, and avoids up-front payments.
Solect develops solar systems on commercial roofs and/or ground sites, and enters a site lease agreement with the property owner. In this case, the power can be consumed on-site to an occupant who leases the building, or a customer in a different location can purchase the solar power credits.
A new partnership with energy consortium PowerOptions, which brings on-site solar PPAs to small to mid-sized commercial nonprofit solar arrays up to 300kW. Enjoy substantial savings, and avoid lengthy RFP processes and any capital outlay. Learn more on the Small Systems Solar page! 

 

The benefits of PPAs are clear for both sides: The ownership entity  is able to take advantage of the financial incentives over the life of the system, and the organization is able to significantly reduce its operating expenses by using a lower-cost renewable energy solution.

  • Immediate savings

  • Reduced & Predictable energy costs

  • Environmental leadership