A Solar Power Purchase Agreement (SPPA) is a financial arrangement in which the homeowner does not own, operate or maintain the solar power system, but all these are taken care of by a third party. The establishment only provides the space on the roof or anywhere else on the property, for the installation of the photovoltaic (PV) system and buys the electricity from the third party for a particularly specified time.
This a win-win situation for both the organization and the third party provider – the organization receives a steady flow of electricity, often at lower cost and the service provider receives the government credits and the income generated from selling electricity to the user.
With the cost of energy increasing consistently, solar systems are a great way to save at least 20% on electricity bills. In addition, installing these systems means that your home is using renewable energy, which helps to reduce emissions and pollution, making it safe for the environment. This system also entitles you to create environmental credits called Small-scale Technology Certificates (STCs)These STCs are tradable certificates – in exchange for an upfront discount off the cost incurred to install your solar system or as a cash payment. All small-scale technology certificates must be created within 12 months of the system being installed.
Client: Phillip Island Chocolate Factory Project: Installation of 100kW Commercial Solar Power System Project Background: This chocolate factory is run by Panny, an innovative chocolatier. The factory is located on 930 Phillip Island Road, Newhaven VIC 3925. The factory draws the attention of at least 250,000 visitors each year. Making such large quantities of chocolate requires a huge investment of resources. The power consumption is also high and hence this loved chocolate factory has decided to install a commercial Solar Power System and additionally reduce the carbon footprint by using an environment friendly energy resource. System Details: 100kW solar power system.