Skip to main content
Sunrun
  • Contact Us 833-394-3384
  • Get Started
  • Sign In
  • Plans & Services
      • Overview
      • Monthly Solar Lease
      • Full Amount Solar Lease
      • Monthly Solar Loan
      • Purchase Solar System
  • Why Sunrun
      • Overview
      • Our Vision
      • Our Guarantee
      • Our Customers
      • Virtual Consultation
  • Solar Storage
      • Overview
      • Tesla Powerwall
      • LG Chem
  • Plans & Services
      • Overview
      • Monthly Solar Lease
      • Full Amount Solar Lease
      • Monthly Solar Loan
      • Purchase Solar System
  • Solar Storage
      • Overview
      • LG Chem
      • Tesla Powerwall
  • Why Sunrun
      • Overview
      • Our Vision
      • Our Guarantee
      • Our Customers
      • Virtual Consultation
  • Solar by state
  • Solar FAQs
  • Solar Education
  • Cost of solar
  • Contact us
  • Sign in
  • Get started
Go solar for as little as 0% down Get started.
Go solar for as little as 0% down Get started

Power Purchase Agreement (PPA)

Power purchase agreement definition

Power Purchase Agreement (PPA) Definition:

With a solar PPA, you agree to pay the solar company a per kilowatt-hour rate for the electricity produced by the solar panels. The rate is usually lower than what the local utility charges for electricity.

Choose and control your home energy

Go solar for $0 down
See if you qualify

  • 1
  • 2
  • 3
Do you own your home?
What is your average monthly electric bill?
By clicking above, I authorize Sunrun to call me and send pre-recorded messages and text messages to me about Sunrun products and services at the telephone number I entered above, using an autodialer, even if I am on a national or state “Do Not Call” list. Message and data rates may apply. Maximum 10 texts per month. Consent for calls & texts is optional. You can opt out anytime. You also agree to our Terms of Service.

Thanks so much! We'll call you shortly.

Sorry, we are not taking new customers in your area yet

 

Refer a Friend. Get $1000

Breaking Down  Power Purchase Agreement (PPA):

A Power Purchase Agreement is a type of Third-Party Ownership (TPO) financing model where there is a two-party contract. The system is not owned by the homeowner but instead, the power is purchased at a fixed rate from the solar company that owns the system. 

Sunrun has a PPA product option that will allow you to purchase solar energy at a low, predictable rate without having to worry about the maintenance or performance of your solar panels.

At the end of the PPA contract, the homeowner can extend the contract or buy the solar system from the solar company. 

Sunrun

Sep 26, 2017

Recommended Articles

  • What Happens During a Solar Installation

    What Happens During a Solar Installation

    So, you decided to make the switch to solar. Smart choice. And now that our experts have...

  •  Federal and State Incentives for Going Solar

    Federal and State Incentives for Going Solar

    Sunrun’s Essential Guide to Solar Panel Incentives in 2018 Learn about solar...

  • Buying Solar Panels Doesn’t Have to be Difficult

    Buying Solar Panels Doesn’t Have to be Difficult

    Sometimes, doing the right thing isn't always the easiest thing to do. Going solar is the...

  • 5 Facts About Solar Energy You Probably Didn’t Know

    5 Facts About Solar Energy You Probably Didn’t Know

    Harnessing clean energy from the sun is the hottest topic of the decade. As we speak, this...

Where's Sunrun

Sunrun has hundreds of thousands customers powering their homes with renewable energy each month. Locate solar services in your state.

Plans & Services

Find the best home solar plan within your budget today. You can go solar and save for little to $0 down with Sunrun.

Brightbox Battery Storage

Brightbox™ Battery makes storing and managing clean affordable solar energy simple and easy.

Solar Panels

Solar power is yours for the making. Sunrun creates home solar panel systems that optimize for efficiency, durability, service, and value.

Sunrun News

From solar news to smart home energy saving tips, learn how solar is helping thousands save on rising energy costs.

Solar Education

Learn how to go solar simply with Sunrun’s solar education center, including articles, videos & FAQs.

Cost of Solar

As electricity rates are rising the cost of solar panels have never been lower. Switch to home solar and save with Sunrun.

Utilities

Find out more on how to lower your electric bill, how to read your electric bill once you go solar, and which green initiatives your utility is focused on today.

  • Sunrun States:
  • AZ
  • CA
  • CO
  • CT
  • DC
  • FL
  • HI
  • IL
  • MA
  • MD
  • NV
  • NH
  • NJ
  • NM
  • NY
  • PA
  • PR
  • RI
  • SC
  • TX
  • UT
  • VT
  • WI
  • Leadership
  • Contact
  • Investors
  • Careers
  • Home Builders

Go solar for as little as 0% down

See if you Qualify
See if you Qualify
+ Chat Now
Facebook Instagram Twitter Youtube LinkedIn

©2021 Sunrun. All rights reserved.

†Terms and conditions apply. Offer is only for new Solar or Solar + Storage Lease or PPA customers only.

  • State Contractor License Information
  • Terms
  • Privacy Policy
  • Do Not Sell My Info
Sunrun Logo Solar-Savings // solar-plans-and-services plans-services money // contact us Sun phone handshake airplane Pin Brief Case solar-installation solar-warranty home-solar-blog why-sunrun2 Grid solar-reviews sunrun-glyph icon-home icon-people icon-medal icon-panel icon-recycling Contact-Us-Icon user icon icon-lightbulb brightbox-battery Newspaper icon-certificate icon-medal icon-meter double-carets icon-headset Lower CO2 Bridge Foam Finger Lightning Phone Call (blue) Phone Call Send (blue) Send User (blue) User facebook instagram twitter youtube linkedin