Agreement Of Solar System Purchase And Installation

A solar power purchase agreement ppa is a financial agreement where a developer arranges for the design permitting financing and installation of a solar energy system on a customer s property at little to no cost.

Agreement of solar system purchase and installation.

If you are a contractor in california who is selling solar systems to residential customers please see our residential solar system installation agreement. Whereas customer desires to retain ews to design supply and install a solar energy system at customer s site address the property pursuant to the terms of this agreement. A power purchase agreement is simply an agreement to purchase power at an agreed upon price kwh. Under these solar power purchase agreements the installer builds a solar power system on the homeowner s property but the solar installer retains ownership of the system.

It is an agreement to be used when the contractor is selling a solar system to a business customer. The developer sells the power generated to the host customer at a fixed rate that is typically lower than the local utility s retail rate. Now therefore in consideration of the mutual promises contained herein and intending to be legally bound hereby ews and customer agree as follows. Be mindful that many companies offer fairly low starter rates for example 0 155 kwh with no money down if you qualify but the contract includes an annual rate escalator usually between 1 2 9 per year for the entire 20 year ppa.

A reputable solar company offering you a ppa should very clearly inform you what the price per kwh is for your agreement.