Solar Lease vs PPA Cancellation: Key Differences
Understanding the difference between a solar lease and a Power Purchase Agreement (PPA) is crucial when exploring your cancellation options.
Solar Lease Overview
With a solar lease, you pay a fixed monthly amount to rent the solar panels. You don't own the system, and the leasing company handles maintenance.
PPA Overview
With a PPA, you pay for the electricity the panels produce at a set rate per kilowatt-hour. Your monthly payment varies based on production.
Cancellation Differences
Lease cancellation typically involves a buyout based on remaining payments, while PPA cancellation may involve paying for the system's fair market value.