Siemens Industry has debuted a new program that allows customers to take advantage of solar power benefits without making a large initial capital investment. The Solar Power Purchase Agreement (PPA) platform from Siemens building technologies division presents all different customers the chance to take part in the PPA, but is especially aimed to entice the public sector who is unable to take advantage of solar federal tax incentives.
Public entities such as schools or other government agencies that are tax-exempt are not allowed to take part in the federal tax incentives that solar energy projects make available. Siemens claims that through its new PPA program, the public sector is presented with not only an easier way of buying solar electricity, but can do so in an economical fashion. Under the solar PPA program, Siemens owns the solar equipment and builds the project on the customer’s property. The customer partners solely with Siemens through the entire life of the project, which includes the financing, design, construction and continued maintenance, and are able to buy the solar energy produced to help offset some of their electrical costs.
“Demand for solar power is on the rise, but for many of our customers the initial capital investment requirements were just too high,” says Andreas Schierenbeck, president of the building technologies division of Siemens Industry. “With Siemens Solar PPA program both the financial and technical barriers associated with implementing solar energy are mitigated—we take on the risk—while our customers reap the rewards of clean energy and lower utility bills.”