Zero upfront cost, but read the contract.
Image: Solar farm - geograph.org.uk - 8282542 by Philip Halling, CC BY-SA 2.0, via Wikimedia Commons.
A power purchase agreement lets a business or institution adopt solar in Raipur with no upfront cost. It is not for everyone.
Quick answer: a PPA suits those who cannot or will not spend capital; read tariff escalation, term, buy-out and maintenance carefully.
| Point | PPA | Capex |
|---|---|---|
| Upfront cost | None | Full |
| Ownership | Developer | You |
| Long-term cost | Higher per unit | Lowest |
| Maintenance | Developer | You |
| Depreciation | Developer | You |
See solar for government and institutions.
Have your accountant and lawyer read the contract.
| Year | PPA cost per unit (assumed) | Capex effective cost per unit (assumed) |
|---|---|---|
| 1 | Rs 4.5 | Rs 3.0 |
| 5 | Rs 4.9 | Rs 3.0 |
| 10 | Rs 5.4 | Rs 3.0 |
| 15 | Rs 6.0 | Rs 3.0 |
These numbers are illustrative: capex has a fixed cost spread over output, while a PPA tariff often escalates. Your contract will determine the real comparison.
Convenient, but read the terms. For a method to compare providers, see how to build your own list of the top 10 solar companies in Raipur. To act on it, book a survey with a solar company in Raipur and ask for the solar subsidy in Raipur to be worked out in writing. Compare firms with the best solar company in Raipur questions, check PM Surya Ghar Yojna in Raipur for the slabs and see how solar installation in Raipur works. Our solar in Raipur overview and solar Raipur guide add local detail, and the blog has more.
A developer installs and owns the plant and you pay per unit.
The developer, per contract.
Often 10 to 25 years.
Over the long run, capex is usually cheaper.
The contract should cover transfer or buy-out.
Visit C-29, Sector 3, Devendra Nagar, Raipur, Chhattisgarh 492001, call 083051 31420 or send your details online for a free survey and a written quotation, with the subsidy worked out. Our solar installation in Raipur team replies the same working day.
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