Leasing model for complete solar system

Published by firstgreen on

In Leasing model, the contracting party may either make available space on his or her property for installation of a PV system without the right or obligation to consume the electricity generated and be remunerated at a certain leasing rate, or may enable installation of a PV system on the premises and pay a certain leasing rate (usually on a monthly basis) and possibly a certain upfront fee. The consumer would consume the electricity generated based on self-consumption or net metering. In this case, too, the profit would result from the price difference between the leasing rate and the costs for avoided electricity supply from the grid. Any further benefits such as tax discounts on the investment, low-interest loans, carbon credits etc. would be in favor of the leasing company. Upon expiration of the leasing contract (usually 15-20 years) the end-user may buy the PV system from the leasing company at a certain residual value, or renew the leasing contract. End-users with limited investment capital also can benefit from this model.