In Texas, it’s important to have a backup plan for when the power goes out. With the recent trend of severe weather and grid outages, it’s more important than ever to have a reliable source of energy to keep your home and business up and running. One solution that has become increasingly popular in recent years is a Solar Power Purchase Agreement (PPA).
A Solar Power Purchase Agreement is a financial arrangement between a homeowner or business owner and a solar provider. The solar provider installs and maintains a solar panel system on the homeowner’s property, and the homeowner agrees to purchase the electricity generated by the system at a reduced rate. This provides the homeowner with a reliable source of energy, a permanent improvement to their property, energy continuity during an outage, and instant savings on their monthly electricity bill.
One of the biggest advantages of a PPA is the peace of mind it gives homeowners. With a PPA, you don’t have to worry about the maintenance and repair of your solar panels. The solar provider takes care of all of that, so you can sit back, relax, and enjoy the benefits of clean, renewable energy.
Another advantage of a PPA is that it’s a great way to go solar without having to pay the high upfront costs associated with buying and installing a solar panel system. With a PPA, the solar provider covers the costs of installation, maintenance, and repair. This means that you can start enjoying the benefits of solar energy right away, without having to worry about the costs associated with going solar.
You read that last paragraph correctly; there’s no out-of-pocket cost to you with a PPA. Would the finance company install your system just for fun? Of course not! But the way a PPA financier makes money is ingenious – they bill the IRS. The Internal Revenue Service policies allow your financier to recoup the system cost via an Income Tax Credit and by depreciating the equipment. But all that happens behind the scenes; you just enjoy the long term benefits at no upfront cost!
Installing solar panels improves your property’s value instantly. This delivers clean energy, sure, but it also affects your property’s taxable value and insured value – what about those? By Texas legislation, solar panels add no taxable value to your property. That means your tax bill stays level! Your insurance bill will go up a bit, usually about 10$ per month. This puts the panels under the protection of your homeowner’s insurance, keeping your assets safe thru any storm season.
So if you’re a Texas homeowner, landholder or business owner looking for a way to save money on your monthly electricity bill, and have peace of mind during power outages, a Solar Power Purchase Agreement might be the perfect solution for you. With a PPA, you can have the best of both worlds – a reliable source of energy, and the peace of mind that comes with knowing that you’re using clean, renewable energy.