NEW SERVICE SPOTLIGHT: PPA Program From Siemens
Siemens Industry, Inc. has introduced the Siemens Solar Power Purchase Agreement (PPA) program from its Building Technologies Division. The program, implemented in collaboration with Siemens Financial Services, allows customers to bring solar energy projects to their properties without making an initial capital investment in the equipment.
“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, Inc. “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.”
A Siemens Solar PPA, can be particularly advantageous for public sector entities. Because schools and other government agencies are tax-exempt, they are prevented from taking advantage of available federal tax incentives for solar energy projects. Siemens Solar PPA program makes buying solar energy in the public sector more accessible and cost-effective: Siemens owns the solar equipment and builds the project on the customer’s property. Customers work exclusively with Siemens for the project’s entire lifecycle: from financing, design, construction, and implementation, through ongoing maintenance.
The Siemens Solar PPA eliminates the third party financing and contractual agreements that are often requirements of other companies’ PPA structures.