The Clean Energy States Alliance (CESA) has released a new guide to help homeowners navigate the complex landscape of residential solar photovoltaic (PV) system financing. The free online publication, titled A Homeowner’s Guide to Solar Financing: Leases, Loans and PPAs, will help homeowners make sound decisions and select the best financing option for their needs.
The guide describes three popular residential solar financing choices – leases, loans, and power purchase agreements (PPAs) – and explains the advantages and disadvantages of each, as well as how they compare to a direct cash purchase. It clarifies key solar financing terms and provides a list of questions homeowners should ask before deciding if and how to proceed with installing a solar system.
“There are lots of financing options for homeowners who might not be able to afford the upfront cash outlay to buy a system outright,” said Nate Hausman, CESA Project Manager and author of the solar guidebook. “However, not every financing option is right for everyone. This guide is designed to help.”
A much larger share of the public has explored installing a solar energy system as the cost of the technology has fallen. While the expanding solar market makes a residential solar system more affordable, the increasing number of vendors can make homeowners’ choices more complicated.
“CESA is working with states to provide consumer-friendly information that can help speed the widespread adoption of solar energy,” remarked CESA Executive Director Warren Leon.
The full report is available on CESA’s website at http://www.cesa.org/assets/
The Clean Energy States Alliance prepared the guide through the New England Solar Cost-Reduction Partnership, a project under the U.S. Department of Energy SunShot Initiative Rooftop Solar Challenge II.
ST Staff Writers
This post was prepared by Solar Thermal Magazine staff.