Solar Savings (PPA)Power Purchase Agreement :
Non-Profits, Churches, Schools, Commercial,
Hospitals, Industrial, Retail Buildings
Questions and Answers:
1. Where do I get my power at night or on cloudy days?
You are still connected to your local utility, which provides energy when the Solar System is temporarily unable to. You may still get a bill from your utility, but it will be much smaller (or close to zero in many cases).
2. Are there any costs to me to sign up?
The only cost to a commercial customer is a 1-month deposit of your expected bill from us for the output of your solar system. This deposit covers your last month's bill at the end of the term of the agreement. Commercial customers submit a deposit at the time that the PPA Lease is signed. The deposit is fully refundable in the event that our company determines that the project cannot be constructed or implemented; however the deposit is not held in escrow. Residential customers need to submit a 2 month deposit.
We pay for the design, permits, equipment, installation, insurance, maintenance, repairs, and monitoring of the system. You simply pay your power bill, just like you always have…but with up to a 10%+ discount!
3. What if I want to buy the PPA Solar System during the 20 years?
Our solar rental agreement includes a buy-out option beginning in year six, which can be exercised upon written request. If you choose to buy the solar system, the buy-out purchase price declines each year and is determined as specified in the agreement, at fair market value.
4. How does the billing/collection process work for the monthly electric usage?
We install our own solar electric meter, which measures the net AC kWh (kilowatt-hours) of energy delivered into our customer’s building. This meter is accessible by Internet and/or cellular wireless connection. We pull data once per month from this meter and automatically deduct the proper amount from our customer’s checking account pursuant to the contract.
5. What if I sell my property?
The Solar System(PPA) remains with the property, not the person. A new owner assumes the remainder of the 20-year agreement and enjoys discounted power. Plus studies show a solar system increases a property’s value by tens of thousands of dollars (tax exempt) and the new owner can buy the PPA for pennies on the dollar (fair market value) in year 21 or for a substantial discount (again, at FMV) beginning in year six.
6. What if I need a new roof during the 20 years?
We encourage customers to install a new roof if their existing roof is nearing the end of its life. If a new roof is needed during the 20-year term, We will remove the panels temporarily while the roof is replaced, and re-install them afterwards. This service is billed at time & materials.
7. Who assumes responsibility for my roof after solar panel arrays have been installed?
Any roof damage caused by the installation is covered under a 10-year warranty on workmanship provided by the licensed, insured, bonded installer. We also has comprehensive insurance to cover our own property in the event of losses of any kind, as well as any claims for damage caused by our property to our customers’ property.
8. What if the occupant of the property is a tenant, not the owner?
In the case of a rental home or a building (such as a strip mall or office building) where the occupant differs from the building owner, the rules are a bit different, but similar. Solar System PPA remains with the property, not the tenant. Therefore, our Solar PPA 20-year lease agreement will need to be signed by whoever receives the electric bill in their name. This may be the property owner, in which case this is straightforward, even if the property owner charges his/her tenants for the electricity they consume because they will now get a 2nd bill from us. In the event that the name (responsible party) on the utility bill is the tenant, our lease agreement will need to be signed by the utility bill responsible party (the tenant) AND the property owner. This is because while the tenant pays the bill, they may not remain at that location as a tenant for the full 20-year term. Therefore, the property owner must jointly assume responsibility for the agreement so that when the existing tenant moves out, the property owner assumes the agreement (it’s assigned to the owner at that time) and then when any new tenant that moves in the agreement can be re-assigned to that new tenant, or kept in the name of the property owner (at the discretion of the property owner with approval by us).
9. Will you transfer or assign my contract to a third party?
Yes, in nearly every case, our funding company will assign its rights to your contract to a third party funding source as security (collateral) for the loan our company intends to obtain to finance a portion of the costs to develop its solar projects. This does not mean we will sell your contract (like a home mortgage company often does) to a third party, but may simply assign the contract temporarily until the loan is paid off. In some cases, our funding company may sell the contract / PPA solar project in full to a third party, but this is not anticipated to be the case very often.
10. Who is named as the beneficiary of the equipment warranties, installation warranty, etc.?
Our funding company or its assigns. Our funding company and its assigns (such as the solar fund it assigns the contract to) take care of everything: permitting, purchase of equipment, installation, insurance, everything.
11. What happens if our Funding Company or its assigns go out of business or is bought out?
If our funding company is bought out the contract is transferrable to the new owner so your contract is not affected. If we were to go out of business you would be able to purchase the panels under the bankruptcy court. However, we have set aside a portion of every dollar it receives from its customers into two separate escrow trust accounts that have been set up as immune from creditor judgment: a maintenance reserve and a spare-parts/warranty reserve. This protects our customers in the event of insolvency of any kind for our company, there are funds available for a 3rd party to be paid to service each solar system PPA, do warranty work, and provide spare parts as needed. If you buy the equipment in bankruptcy, this is usually pennies on the Dollar so you would end up getting a very cheap solar system that you have not paid anything for up until that point.
12. What happens if the installer or equipment manufacturer goes out of business or is bought out?
Prior to installation, we would simply hire a different installer and choose from hundreds of other quality solar panels. After the system is installed, we would simply hire another contractor to perform any of the rare maintenance or service work needed or covered by the warranties, using the funds described in the previous section as needed.
Our Process is Simple:
1. You sign a letter of interest.
2. A design specialist will visit your home or business for a free consultation to further evaluate your project and provide an estimate.
3. If you like the estimate, we will provide you with an agreement to buy the power.
4. You sign the agreement; we purchase, design, permit, install, own, operate, maintain and insure your system.
5. You pay us a monthly electric bill based on the system’s actual output.