USolar is a solar innovation company. We provide quality, well-priced solar products to residential and commercial clients to help them achieve clean and green electricity. our goal is to help Australians make a difference to the environment and at the same time, invest in their future.
WHAT IS POWER PURCHASE AGREEMENT (PPA) ?
Solar PPA or solar power purchase agreement as an activity where a business provides, installs and maintains, at no initial cost, a solar panel system to a customer and in exchange, the customer buys the electricity provided by the solar panels for an agreed price and for an agreed period (10-20 years).
- No upfront capital costs:
PPA provider handles the upfront costs of designing, procuring and installing the solar PV system. Without any upfront investment, customer is able to adopt solar and begin saving money as soon as the system becomes operational.
- Reduced energy costs:
Solar PPAs provide a fixed, predictable cost of electricity for the duration of the agreement and are structured in one of two ways. Under the fixed escalator plan, the price the customer pays rises at a predetermined rate, typically between 2% – 5%. This is often lower than projected utility price increases. The fixed price plan, on the other hand, maintains a constant price throughout the term of the PPA saving the customer more as utility prices rise over time.
- No risk:
PPA provider is responsible for system performance and operating risk. Customer only pays for the electricity produced.
- Potential increase in property value:
A solar PV system may increase property values. The long-term nature of these agreements allows PPAs to be transferred with the property.
- System Ownership:
At the end of the plan you will own the system & save even more. Alternatively, you can buy out the plan early if you choose.
- No ownership of the system
- Longer payback period