Financing Options

Every client has unique tax considerations and energy needs that dictate the optimal ownership arrangement for their solar investment. We evaluate the alternatives in light of your specific situation. Tecta can provide a solar facility using several financing structures that use available tax incentives and fit with an entity's credit and tax status.  These include outright purchase, Power Purchase Agreement (PPA), and an operating lease.

System Purchase by Power User

Ownership of the system by a power consumer can be the most efficient means of obtaining solar power, particularly when:

• The power consumer is a full tax payer (i.e. corporate tax payer with top marginal rates of taxes)
• The system is relatively small

Power Purchase Agreement

Typically a 15-25 year commitment to purchase all of the electric power generated by the system at a pre-agreed price. A Power Purchase Agreement can be put in place for well-qualified power consumers with a minimum system size of 1 MWp. Clients typically have a purchase option at the end of term.

Operating Lease

A solar operating lease is a typical equipment lease that can be negotiated for customers who do not want to own the solar facility. Only taxable clients are eligible for this option. The term is typically 7-10 years and has a fair market value purchase option at the end of the term. A third party monetizes the tax attributes.

Tax-Exempt Lease

Only non-taxable clients are eligible for this purchase option.

Incentives

In addition to the Federal Investment Tax Credit, some states have additional tax incentives for solar installations. TectaSolar will help you take full use of any state incentives available for solar power in your area such as:

Production or Capacity Based Incentives

Some states or utilities have production or capacity based incentives available for customers who install solar photovoltaic systems. TectaSolar will design your system to maximize available incentives, and help you apply for these incentives.

SREC Contracts

Within states that have tradable Solar Renewable Energy Credits (SRECs), TectaSolar will help secure a long-term contract to make this a stable and predictable subsidy for your system.

Grants and Loans

Tecta professionals have a record of successful awards of State grants and loans. We provide this service to help our customers capture all available advantages.

Tax Incentives

Tecta will identify potential tax incentives, including federal tax credits, state tax credits, and property tax exemptions.

To find renewable and efficiency incentives where your facilities are located, visit dsireusa.org