SOLAR FINANCING OPTIONS
NiLe EnErgY works with customers to help them understand the differences and unique benefits of each of the typical solar financing options: Also we can expedite all contract & Proposals processed electronically.
- Cash payment.
- Solar Loan: Customer borrows a portion, or all, of the required capital.
- Power Purchase Agreement (PPA): A third-party investor finances and owns the system and sells electricity to the customer over a PPA term at a preset energy rate ($/kWh).
The following chart shows a basic overview of these options.
COMPARING SOLAR FINANCING OPTIONS
| Cash | Solar Loan | PPA | |
| Direct Ownership | |||
| Greatest Simplicity | X | ||
| Maximize Energy Cost Savings | X | ||
| Lowest Lifetime Cost of Ownership | X | ||
| Direct Ownership | X | X | |
| Direct Ownership with Enhanced Cash Flow | X | ||
| Direct Tax Benefits (ITC + Depreciation) | X | X | |
| Investor Ownership | |||
| No Upfront Investment | X | ||
| Requires No Tax Appetite (Non-profit) | X | ||
| Immediate Savings (Initially Cash Flow Positive) | X | ||
| Optional Future Buyout Price at Significant Discount | X | ||
| Off Balance Sheet Financing | X | ||
| Applies to All Ownership Structures | |||
| Enhanced Company Image | X | X | X |
| Enhanced Carbon Footprint | X | X | X |
| Reduced Energy Expense | X | X | X |
| Improved Energy Independence | X | X | X |
