Solar Power Services: How PPAs are Changing the PV Value Chain

Companies that provide solar power purchasing agreements (PPAs) are ushering in a wave of innovation -- not just in financing, but in the entire photovoltaic systems industry. Solar PPA companies are at the forefront of the shift in how photovoltaic (PV) systems are marketed: from "price per watt" to "price per kilowatt hour." They are also reorganizing the value chain, altering clean energy economics, supply chains and customer experience and driving changes in technology -- all while expanding commercial PV markets and accelerating the pace of change.

What are the most significant opportunities and threats? How will other major players in the solar industry be affected? When and how are large global financial, operational and manufacturing players getting involved? Drawing on quantitative and qualitative data, this report includes profiles of U.S. companies that offer solar PPAs and estimates market share, sales growth and other trends.

The focus of this report is on the operational roles of the companies involved, the business models that are emerging and what it all means for customers and markets. This report is about the emergence of power-purchasing services as a driver of solar industry growth and development, specifically photovoltaics (PV) installed at commercial and institutional facilities, and financed with power purchasing agreements (PPAs).

Non-Residential Installations by Financing Type, 2002-2009