Benefits To Customers
A solar power purchase agreement (PPA) is a financial agreement where Solar Prime arranges for the design, permitting, financing, installation, and operation of a large scale solar farm at no upfront cost to the customer. The PPA provides a predictable low cost of electricity for the duration of an agreement, which is typically 15 to 25 years. The output of a solar PPA often correlates better with the usage profile of most customers than other renewable generation sources such as wind farms.
Example clients with whom our team members have worked in the past include: Arizona Public Service, Austin Energy, Black Hills Energy, CPS Energy, El Paso Electric, Lakeland Electric, Luminant Energy, Modesta Irrigation District, Northern States Power, Tucson Electric Power, Pacific Gas & Electric, PSEG, Southern California Edison, Southwest Public Service, Tri-State, Xcel Energy, as well as, major corporate clients.
When a customer enters into a PPA with Solar Prime, we will handle the upfront costs of designing, constructing, and operating the solar farm, without any upfront investment from the customer.
In many wholesale markets in the U.S., utility scale solar is now one of the most economical forms of new generation, which is a direct result of the recent significant drop in photovoltaic panel prices.
Many customers do not have a sufficiently predictable taxable income to effectively monetize the Federal Investment Tax Credit (ITC) and municipal and cooperative utilities have no taxable income at all. A solar PPA provides an effective means way to still benefit from the ITC.
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