Solar Power Purchase Agreements
A power purchase agreement (PPA) is a contract to buy or sell electricity at an agreed price and for an agreed long period of time (usually long term).
PPAs are a well proven in the power industry and are an extremely common method of buying electricity. Particularly renewable energy.
Ingenero’s solar PPAs are a financial mechanism where we build, own and operate a solar asset on the premises of your business. Ingenero then sells the solar power generated by this asset back to you for say 15 or 20 years.
This means no capital cost burden or risk involved for you. You enjoy the benefits of having a renewable power generation plant but none of the complexity, costs or maintenance associated with ownership. You only pay for the solar power. So if the sun doesn’t shine and the solar electricity doesn’t flow; you don’t pay.
In Australia, Ingenero leads the way in offering solar PPAs. In fact, we pioneered solar PPAs in Australia.
In the USA almost 80 per cent and in Europe almost 60 per cent, of all commercial solar generation is backed by a PPA.
PPA benefits include:
- No upfront capital
- Reduces your carbon footprint
- Provides you with a greener public image
- Results in minimal impact to business operation
- Has no effect on your balance sheet
- Saves you the hassle and cost of long term maintenance
- Removes the tough decisions about which technology is best
- Eliminates the weather risks
