solarGeneral guidance
solar
Reviewed and updated October 27, 2026
Solar Lease or PPA?
FTC’s April 2022 guide: a company installs a leased system; the customer contracts to use it without ownership. With a power purchase agreement (PPA), the customer buys generated electricity at the provider’s price, without automatic entitlement to all output. FTC guide
Compare monthly lease payments versus PPA price per kilowatt-hour, increases, responsibility and payment for maintenance and repairs, early-termination fees, end-of-term renewal, purchase or removal options and costs, home-sale transfer permission, any required written notice, and buyer credit requirements or fees.
Check those clauses in the actual agreement before choosing.
Sources and boundaries
What supports this guide?
- consumer.ftc.gov — Source 1Article reference Scope: Read the limits stated in this guide.