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Financing plays a crucial part in the overall success of Solar Energy project as the viability and feasibility can greatly vary for each type of financial model. Whether it is the most popular Solar Energy OPEX / RESCO / BOOT which is 100% 3rd party financed or leased model or deferred CAPEX. There is no one-size-fits-all approach. Each financial model has to be carefully evaluated on it's merits and demerits and then finalized.

What are the various Solar Energy Financing models?

  • A. Solar OPEX / RESCO / BOOT Model

  • B. Solar Leased Model

  • C. Solar COPEX Model

  • D. Solar CAPEX Model

  • E. Customized Financial Model

A. Solar OPEX / RESCO / BOOT Model

  1. 100% Financed by Enerco.
  2. Enerco will sign a PPA (Power Purchase Agreement) with your Company at a tariff lesser than your utility tariff.
  3. Monthly invoice will be raised to your Company for the Solar power used.
  4. O&M of the project in Enerco scope
  5. Project Transferred to your Company after PPA tenure ends

(If you are planning for Solar RESCO / OPEX or any other financial model, you may find it useful to go through our blog post on the Comparative Analysis Solar RESCO/OPEX/BOOT vs CAPEX )

Solar Energy RESCO or OPEX Model working

Solar Energy RESCO or OPEX Model working

B. Solar Leased Model

  1. 70% - 100% Financed by Enerco.
  2. Enerco will sign a Lease Agreement with your Company which would eventually work out in terms of savings on energy bills.
  3. Monthly invoice will be raised to your Company for the agreed lease.
  4. O&M of the project in Enerco scope
  5. Project Transferred to your Company after lease tenure ends

C. Solar COPEX Model

  1. 100% Financed by Enerco.
  2. Enerco will sign a loan agreement with your Company which would eventually work out in terms of savings on energy bills.
  3. Monthly invoice will be raised to your Company for the agreed loan amount.
  4. O&M of the project in Enerco scope
  5. Project Transferred to your Company after loan tenure ends

(Can Solar Energy boost your Company's Profits? Find out more on our blog post Solar Energy - Can it boost your Company's Profits? )

D. Solar CAPEX Model

  1. 100% Financed by your Company.
  2. Enerco will arrange for loan at a competitive rate for your Project
  3. Simplest model and free power to your Company once the initial investment is paid back within 3-4 years.

E. Customized Financial Model

  1. 70% to 100% Financed by Enerco.
  2. Agreement to be signed based on the major objectives of your Company and inline with your Company's strategic goals.

As can be seen above there are a variety of models which could be used to finance a Solar Project. The idea here is to choose the model that best fits inline with your Company's strategic goals and objectives. We have had experiences wherein a Company which was originally planning for Solar OPEX later shifted to another financial model after understanding the pros and cons of each of the Solar financing model. In a few cases some customers were not aware of all the possible financial models.

Contact us by Mail or through our Online Contact Form for your Solar Energy Financing related requirements and we would be glad to assist you.