Lease
How Lease Works For Solar Power
AREP/Bank purchases/owns solar/storage system
AREP pays for all capital costs and O & M
Customer provides downpayment: 20% of total expense prepaid
Customer leases system for 7 years/buys back at FMV to be determined
Power Price will be lower than customer currently pays utility
Solar system will provide hedge against future utility power price increases
Customer is at risk for system performance, maintenance after lease period