If your company has ambitious sustainability goals or is looking to stabilize or cut down energy costs, you're likely considering a Power Purchase Agreement (PPA).
A power purchase agreement allows a business to receive stable and often lower-cost renewable electricity with no upfront costs (source: energy.gov).
In this video interview, Station A's Richard Ling interviews Dan Holloway, VP of Origination & Acquisitions at Sustainable Capital Finance to unpack all the considerations clean energy buyers should take into account when looking at PPAs and other solar financing options. Dan has helped finance over 150 megawatts of commercial and industrial solar projects with his team at SCF.
Watch the interview
In this interview we cover
- Options for financing a commercial clean energy project (2:00-4:20)
- How PPAs stack up against other financing options (4:45-8:30)
- How a PPA agreement looks in practice (8:45-12:00)
- Which businesses qualify for a PPA (12:15-15:30)
- How PPA providers make money from PPAs (16:30-18:30)
- How current tax policies are impacting PPAs (18:35-21:00)
- What factors make a PPA pencil (21:10-23:45)
- How PPA providers approach pricing an agreement (25:15-26:50)
- Key differentiators to look for in solar developers (27:20-30:00)
- PPA gotchas to look out for (30:30-33:30)
- How current market conditions are affecting solar financing (34:00-36:45)
To find out if your building is eligible for a PPA, get your free Clean Energy Grade from Station A.
Enter an address on stationa.com to view a building’s Clean Energy Grade. Your building’s grade will include an analysis of the clean energy options available to you as well as financing options to support them. Tap the “GO GREEN” button to receive your clean energy buyer’s guide with information about how to take the next step in sourcing your clean energy solution.