Business owners are always looking for an edge. Whether it is a gap in the marketplace, or a niche product or service then can separate them from the competition often drives innovation and cost-cutting. They’re looking for ways to increase revenue and decrease costs in all phases of their operation.
Is there a way to find an edge in utility costs for your business? After all, the costs of electricity, gas, and water/sewer always seem like they’re on the way up. Savvy business owners reviewing their budgets will look at every line-item for a way to reduce expenditures on utilities and other fixed expenses.
Many businesses are turning to solar energy to reduce energy costs and maximize their resources. There are several solar options available to business owners, such as solar purchase and solar lease, but another up-and-coming solar solution is a Solar PPA. But what is a Solar PPA and how can it help my business?
Solar PPA Basics
A solar power purchase agreement (PPA) is a financial agreement where a developer like US Energy Solutions designs, finances, installs and maintains a solar energy system on a business property at little to no cost to them. The developer sells the power generated to the host business at a fixed rate typically 10% lower initially than the local utility’s retail rate. Over 25 years the rate can be up to 30% lower because the PPA rate escalator is less than the standard 3% rate escalator that utilities typically have. Therefore, the overall energy savings are substantial over 25 years.
This lower electricity price serves to offset the customer’s purchase of electricity from the grid while the developer receives the income from these sales of electricity as well as any tax credits and other incentives generated from the system. With a Solar PPA, you get clean, solar electricity, and you save money in the process!
Advantages of a Solar PPA
According to the Solar Energy Industries Association, 57% of all installed non-residential capacity was third-party owned in 2017, topping the previous high of 43% set in 2016. That means Solar PPAs are on the rise and have become a trusted method to reduce commercial utility costs around the country. But what about your specific business?
When you lease your unused land, open space, or parking lots to US Energy Solutions, we can install a solar farm and sell the electricity to the utility company. Your business will earn a base rent for the duration of the lease while we handle all operations and maintenance.
US Energy Solutions monitors the system’s performance. We’re also responsible for maintaining and repairing it, although solar panels require little to no maintenance over their lifetime.
Find Your Business Edge With a Solar PPA
If you’re a business owner looking for that edge to stay competitive and maintain costs, a Solar PPA from US Energy Solutions may be for you. Schedule a complimentary energy assessment to see how your business can invest in years of energy savings with US Energy Solutions.