Renewable Energy Comparison

When considering renewable energy, organizations have the opportunity to own solar equipment, lease solar equipment, or participate in a Solar Power Purchase Agreement (PPA). Below is a renewable energy comparison of the three options.

Capital Investment

• With a Power Purchase Agreement, the host makes no capital investment.
• With a purchased system, the equipment is a capital investment.
• With a leased system, the customer pays a periodic (typically monthly) fee.

Ongoing Payments

• With a PPA, the host pays monthly for electricity produced by the facility during the previous month.
• With a purchased system, the owner pays for the equipment or makes monthly payments on a loan secured for the system, regardless of the energy actually produced.
• Leased systems also require on-going monthly payments, regardless of solar generation.

Maintenance Costs

• With a PPA, the host incurs no maintenance costs.
• With purchased or leased systems, the owner or lessee is responsible for ongoing maintenance and operations management and costs.