The Solar Savings Direct, Inc Blog

A solar power purchase agreement (PPA) is the arrangement you as a homeowner make with a solar company that is installing a solar power system on your property. Many people think it's a purchase or lease agreement for the solar system, but that's not actually the case. Instead, what you're doing is agreeing to pay only for the power you're using. The system itself won't cost you anything and you don't have to maintain it, but it also doesn't belong to you. Will This Save You Money Overall? The short answer is maybe. While these kinds of arrangements usually mean savings for the homeowner, it's not guaranteed. If the majority of people didn't save money on their power this way, though, there wouldn't be any incentive to make these kinds of agreements. How do You Know How Much Power to Pay For? You'll get a bill from the company you have the PPA with, for the amount of power generated by the panels. The price of this power is usually a lot less than the price of electricity from your power company. If the panels don't make enough power to cover what you're using, though, you can expect an additional bill from your current power company. Are There Big Pros and Cons? Like any contract, there are pros and cons to a solar PPA. The biggest pros include no cost for the system, a set per-wattage power cost, and no responsibility for repair or maintenance of the system. As for cons, these include no ownership of the system, a harder time selling your home in some cases, and a rise in your home's taxable value. What's the Bottom Line on a Solar PPA? The bottom line with a PPA is that it can be a great choice for some people and not so good for others. Before you decide whether it's right for you, take your time and talk to knowledgeable professionals who can discuss all the costs and benefits of getting this kind of system installed on your property. Then, no matter what you choose, you can have peace of mind. For over a decade, homeowners in El Dorado County and the surrounding areas have counted on Solar Savings Direct, Inc. for the most professional and reliable solar energy system services for the reduction, as well as the elimination, of monthly electric bills. We're a locally owned company, so we always offer prompt service to the residents of El Dorado Hills and Shingle Springs, but we're also available to all of Northern and Southern California for solar power installations. For a free estimate on a new solar energy system for your home, contact us today !

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