Power Purchase Agreements
Green Squares works with its trusted solar installation partners to offer behind the meter / rooftop Power Purchase Agreement (“PPAs”) to commercial rooftop customers, and as a result, over the course of 2018 and 2019, we now have a growing portfolio of customers contracted under this arrangement.
Under our PPA this is how things work from the rooftop owner/ commercial customer’s perspective:
With our installer partners, we build a new solar system at the right size on your rooftop, at zero upfront cost to you
The solar electricity generated by the system is used by you instead of grid electricity, and you are charged by us at an agreed tariff (cents per kW/h generated); we will bill you monthly
Any revenue from solar electricity exported to the grid is yours and delivered via your grid retailer feed-in-tariff and billing arrangements
We look after the solar system and take care of costs such as ongoing insurance and maintenance
At the end of the fixed PPA term you can purchase the equipment at an agreed price or extend the term for a further agreed term, usually at a reduced cents per kW/h tariff. As well, our buy-out prices can include us replacing the inverter, ensuring many more years of performance.
Why use a PPA ?
A fixed solar PPA tariff affords increased long term certainty for your business - which is critical in a time of uncertain and ever-increasing energy costs - providing enhanced budgeting and known costs.
Our PPA may offer you a cheaper alternative to leasing the equipment. Instead of paying a fixed lease amount per month, you only pay for the amount of energy generated by the solar equipment.
Because the contract term is a little longer than a lease or loan (our standard term is 10 years) this allows for the capital used to build the system to be repaid over a longer period, and hence a lower cents per kW/h rate for you, meaning you may not need to wait to be net cashflow positive compared to a lease or loan.
Plus we take the risk on the performance/maintenance of the solar system (lower generation would mean lower bills for you), even though of course all equipment is covered by manufacturer’s warranties, meets Australian Standards and is installed by Clean Energy Council-accredited installers.
A Green Squares Energy PPA may be offered to the following customers:
Business is an ABN-holder, GST-registered and has been established minimum 2 years
Approvals and pricing are subject to credit analysis and satisfactory credit checks on the applicant company and the usual credit support of the Directors/Partners.
How do I find out more?
The first step in seeing whether a PPA is right for you is to allow us to obtain your existing metering data. To allow that, please click here.
Or you can request a call by registering on the Register page of this website.