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It is not a grant, a green supply tariff, or the same thing as buying the plant with cash or a loan. In an occupier PPA the business is the customer for electricity used behind the meter. That is different from a roof-rent deal, where the site owner may receive rent and the developer sells the power elsewhere, and from off-site or sleeved PPAs, which are more often used by larger energy users." } }, { "@type": "Question", "name": "Who owns the solar plant, and what does the business actually pay?", "acceptedAnswer": { "@type": "Answer", "text": "The provider owns the plant and, on a standard on-site PPA, operates and maintains it. The business is the offtaker and pays for electricity the generation meter records, at the price and indexation written into the contract. You also grant roof rights for the term, and you can still meet legal fees, roof repairs the funder will not accept, disruption during the works, and making-good later. The pence per kilowatt-hour is priced for that site, so a discount on an illustration is not a national rate or a permanent saving." } }, { "@type": "Question", "name": "Does the business keep export revenue and renewable certificates?", "acceptedAnswer": { "@type": "Answer", "text": "Not automatically. Environmental attributes such as REGOs stay with the generator unless the contract assigns them. Export revenue is not automatically yours either. If the provider keeps it, ask how that value has been treated in the price rather than assuming a second income. A roof licence gives the provider access, cabling and array rights, but it does not by itself transfer ownership of the panels to the occupier." } }, { "@type": "Question", "name": "How does a solar PPA compare with owning the system or staying on grid import?", "acceptedAnswer": { "@type": "Answer", "text": "A PPA is a long purchase of metered kilowatt-hours from equipment you do not own. 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A weak covenant can mean no offer, a shorter term, or a request for extra security, and any funder minimum size is set by that provider rather than by a published national floor." } }, { "@type": "Question", "name": "Can a tenant take a commercial solar PPA?", "acceptedAnswer": { "@type": "Answer", "text": "Tenants lose schemes on consent and lease length more often than on panel technology. The landlord has to allow the roof to be used for at least the PPA term, and the occupational lease must not end first. Owner-occupiers skip that consent step, but they still accept access rights, making-good and a long limit on how the roof can be used. Multi-let buildings can also need a named offtaker, shared risers, wayleaves and a landlord who will cooperate for the whole contract." } }, { "@type": "Question", "name": "How do roof condition, metering and the network connection affect the scheme?", "acceptedAnswer": { "@type": "Answer", "text": "The survey that decides a commercial PPA is structural and commercial, not a panel count. Asbestos, a failing deck, a covering due for replacement, or a layout that voids the roof warranty or that the insurer will not accept can stop the scheme. Expect to be asked for the MPAN, import capacity, load data, space for a generation meter and a written rule for export. Many larger arrays meet a G99 connection, but the route depends on size and network area and must be confirmed for the site. Thresholds, charges and timescales belong to the distribution network operator's current process, not to a guessed figure." } }, { "@type": "Question", "name": "Which contract terms matter most, and when is a PPA the wrong product?", "acceptedAnswer": { "@type": "Answer", "text": "Term, breaks, indexation, minimum-take or deemed-consumption clauses, and end-of-term options such as buyout, extension or removal can move the bill as much as the opening unit rate. Change-of-occupier, assignment and early-termination clauses matter if you might sell, refinance or leave the building. A PPA is a weak fit when the lease is shorter than the contract, credit is poor, the roof needs replacement, shading is heavy, or use is mostly at night and at weekends. VAT, business rates, capital allowances, Climate Change Levy and any licensing position need up-to-date professional advice, not assumptions copied from a domestic installation." } } ], "about": { "@id": "https://kilowatts.uk/resources/solar-ppa-for-uk-smes-explained/#content" } }, { "@type": "WebPage", "@id": "https://kilowatts.uk/resources/solar-ppa-for-uk-smes-explained/#webpage", "url": "https://kilowatts.uk/resources/solar-ppa-for-uk-smes-explained/", "encoding": [ { "@type": "MediaObject", "encodingFormat": "text/markdown", "contentUrl": "https://kilowatts.uk/resources/solar-ppa-for-uk-smes-explained.md" }, { "@type": "MediaObject", "encodingFormat": "application/ld+json", "contentUrl": "https://kilowatts.uk/resources/solar-ppa-for-uk-smes-explained.schema" } ], "name": "Solar PPA for UK SMEs explained: UK business guide", "headline": "Solar PPA for UK SMEs explained: UK business guide", "description": "A solar PPA for UK SMEs is a contract to buy on-site generation from a funder that owns the plant. 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