A PPA is a long-term contract (typically a minimum of 15 years) to purchase electricity generated by a solar panel system installed and hosted at your premises. There is no upfront investment required from the customer and you are under no obligation to buy the solar system at the end of the contract.
Impressed Solar Solutions own and maintain the solar technology installed on your premises and are also responsible for ensuring that the system produces the required amount of energy.
You buy your energy at a lower rate than grid-supplied electricity. The bulk of your energy is supplied by the panels you are hosting but you can still access electricity from grid when you need it.
You agree to host the solar system on your property for a contracted period of time and enter into a fixed price agreement. The price you pay for the energy produced by the solar system is stipulated in the contract and may be fixed for the entire term or increase over the life of the system. As long as the price remains lower than the grid price and you consume all of the energy produced, you are guaranteed net benefits over the life of the contract.
It’s a way of saving money on energy while also contributing to the fight against greenhouse emission without having to spend any money on a solar system and allows you to lock in a price for electricity over an extended period. Both the customer and the provider can benefit from not being subject to the price fluctuations of both the wholesale and retail electricity market.