PPA

Power Purchase Agreement (PPA): A Power Purchase Agreement, or PPA, is a long-term agreement to buy power from a company that produces electricity. Solar Power Partners (SPP™), using its own source of funds, builds a solar energy facility on a customer’s site and maintains and operates the facility for 15 years or longer. This facility generates reliable, long-term clean energy for use by the customer. Under the terms of a PPA, SPP™ assumes the risks and responsibilities of ownership when it purchases, operates, and maintains the turn-key facility. We clean the solar panels regularly, provide preventative maintenance services, repair any faults, monitor the energy production and the system’s health and well-being. The customer just runs their businesses as usual, without any of the headaches of owning a power plant. At the end of the PPA term, the facility can be purchased by the customer at fair maket value or the PPA can be renewed on favorable terms. The PPA enables the customers (and our world) to benefit from the use of “green” energy, while still receiving some of the benefits of ownership (lower and/or “hedged” electricity costs, positive public image, etc. ) and allows them to spend their capital budget on their core businesses.