Which Financing Format is Best?
Power Purchase Agreement
No risk related to system performance
Buy power with locked in pricing for 15-20 years
No cash required
Do not wish to own, operate, maintain system
Lease
Reduce power bill based on system performance
Want to acquire, operate, maintain system in 7 years
Have required cash for initial payment
Credit requirements can be met
Purchase
Reduce power bill based on system performance
Own, operate and maintain system
Have sufficient cash or credit lines
Cash required not needed for core business
Can use tax credits and losses
For a customized comparative analysis of these structures, please contact AREP