With a solar PPA you agree to have a solar system installed on your roof at no cost to you, and to purchase the power your system generates over 20 years at a discounted, pre-determined rate. We own the solar panels not the homeowner, so instead of paying for the system, you pay a monthly fee for the energy your system produces.
At the end of the 20 year term, you may have the system removed for free, upgrade to a new system and sign a new agreement, renew your agreement for two 5-year terms, or buy the system for fair market value.
If you move, you may transfer the agreement to the new Homeowner, buy the system outright, or prepay the expected remaining payments.
Since you only pay for power the system produces, your payments will vary slightly from month to month, depending on the season. Monthly Bill = Monthly kWh production x electricity rate.
No. The solar company buys the system for you, so they get to keep the tax credit.
