Third-Party Ownership model for Solar +energy storage systems

In case of third party ownership model for solar + energy storage systems, the solar + energy storage system is owned, operated, and maintained by a third-party, which provides specific solar + energy storage services according to a contractual arrangement/PPA. This process is very similar to power purchase agreements signed with independent power producers. Third-Party ownership contracts similar to those offered to solar power plants, typically lasting for 20–25 years, generally include the following key terms:

• The off-taker holds the dispatch rights for charging and discharging the energy storage system (ESS).
• The seller earns a fixed capacity payment ($/kW-month) and a variable payment for operation and maintenance (O&M) per MWh delivered ($/MWh).
• In return for the capacity payment, the seller provides assurance of a specified degree of availability of the
• The seller provides an efficiency