Is $110,000 to solar ppa with 3.5% escalator a fair price?
Project Details
Homeowner was negotiating a solar PPA and expressed concerns regarding the cumulative nature of the production guarantee and the price escalator. They successfully negotiated the escalator from 3.5% down to 0% but ultimately declined the deal because the refund rate for system downtime was insufficient to cover the monthly payments.
Quote Details
25-year solar Power Purchase Agreement (PPA). - 3.5% annual price escalator - 90% cumulative lifetime production guarantee - Refund rate for under-performance calculated every two years - Total estimated cost over 25 years: $110,000
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More Details
Category
Solar
Price
$110,000
Quote Date
April 8, 2026
Warranty (yrs)
25
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