Energy project finance reference. This educational resource covers project investment and financing concepts. It is separate from Jaken Energy’s commercial electricity and natural gas procurement service; it is not a financing offer or a promise of funding.
Commercial solar ownership, loans, leases and PPAs
A property owner can evaluate direct purchase, borrowing, equipment leasing or a power purchase agreement. The right comparison uses the same proposed installation and expected output. A monthly payment or per-kWh quote alone does not show the total owner cost.
What to evaluate
For direct ownership, include roof work, electrical upgrades, interconnection, maintenance, insurance and eventual removal. For a PPA, review the price escalator, production obligations, access rights, buyout formula and end-of-term treatment. A third-party-owned system places different responsibilities on the host and developer.
Build a defensible comparison
Keep solar production aligned with the building’s usage. Electricity consumed on site and exported electricity may have different values under the current tariff. Do not assume the retail supply rate is paid for exports or that all demand charges disappear. Review roof rights, mortgage consent, leases and assignment before a property sale.
Documents and questions to prepare
- Same system and production basis for every proposal
- Roof condition, access and ownership rights
- Consumption, exports and current tariff
- Total payments, maintenance and transfer terms
For commercial property owners
Start with the property’s actual accounts, lease responsibilities and plans for ownership or sale. Keep commodity procurement, building improvements and project investment as separate decisions. Include the costs you retain and the savings you retain after tenant reimbursement. An improvement that lowers a tenant-paid expense may benefit tenants without producing the same increase in owner income.
Prepare a base case and a downside case using dated evidence for costs, revenue and funding. Any financing rate, tax benefit or return is a project assumption until supported by current documents. Legal, tax, engineering and lender review should follow the actual transaction.
For the existing property’s supply-cost decision, use the contract-cost calculator or request a property energy review.
Primary sources
Reviewed October 12, 2026. Program rules, tariffs and financing terms should be checked again before a transaction.