Power Purchase Agreements: Pros and Cons

Power Purchase Agreement

Power Purchase Agreements Pros And Cons

While investing in a commercial solar system, it is important to look at every financial benefit you receive. We are here to focus on Power Purchase Agreements. It is very important to weigh the pros and cons of each choice for your specific needs. We are here to assist every step of the way.

What are Power Purchase Agreements?

Power Purchase agreements or PPA’s are a kind of finance option where a third-party company owns your solar system. Your business purchases solar energy from them at a reduced rate. Power Purchase agreements often last between 10 and 25 years. At the end of your contract, you’ll be able to either decide to purchase the solar energy system from the owner, extend your agreement to continue buying electricity, or remove the system completely.


Using a PPA is an efficient choice for your corporation if you cannot afford to buy the system or use the tax benefits provided by going solar. And one of the best parts of using a PPA is that there are not any upfront costs. This means you don’t have to worry about a down payment. Instead, you simply pay for the electrical energy, which should always be cheaper than getting the electricity from the grid.

Additionally, solar panel owners don’t have to worry about anything related to the solar energy system. If you notice less solar panel production, and you discover it first, you simply call them, and they’ll handle it! (It is in their financial interest to take action!).


Though PPA’s are helpful because they provide more opportunities for companies to switch to solar, there might be some unfavourable elements. The biggest con can be that you don’t profit from solar incentives provided by government. With a PPA, the third-party owner owns the solar energy system and thus will get all the advantages. For that reason, though a PPA might save your business money, it will save you much less cash than if you were to pay money or get a different kind of loan. 

PPA’s are a very good option for somebody searching for a small amount of financial commitment. You’ll still pay that lower electricity bill with your maximum solar panel production and be able to help the planet by going solar!

Now is the time to go Commercial Solar for your business!

Solar technology is well-known and proven to work reliably. Your organization’s bottom line has the potential to grow via lower energy payments. Going Solar can say a lot about your company. It shows how dedicated you are towards reducing your carbon footprint.

AYKA Solar provides PPA for your commercial solar system. Now’s the time to jump aboard and reap the benefits of the numerous advantages of a commercial solar system! A solar energy system is a large investment for your property and must be designed to provide you with several advantages for years to come.

Get your solar panel installation done with AYKA Solar. We will provide you with top-quality products and take care of installing them perfectly for your house. Our solar experts will design a solar energy system that will give you the most solar panel savings and most solar panel efficiency in future. 

AYKA Solar has been installing the highest quality commercial solar panels in Australia for years now. We’d love to make your business energy independent with a commercial solar system. Reap the benefits of the climate benefits solar energy can do to your commercial building.

We provide great financing options for its solar panel installation. Saving on utility bills, gaining popularity and getting tax returns, are all great steps that can help your investment pay for itself.

Contact us today for a free quote if you’d like to discuss solar for your or business.

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