Fully Funded Commercial Solar — No Upfront Cost, Savings from Day One
A commercial solar Power Purchase Agreement lets your business benefit from on-site solar generation without spending a penny on capital. The system is funded, installed and maintained by a specialist funder. You pay only for the electricity it generates — at a rate below your current grid tariff.
For many commercial businesses, a Power Purchase Agreement is the fastest route to implementing solar — removing the capital requirement entirely and delivering immediate savings without internal approval processes, balance sheet impact or maintenance obligations.
A PPA works for businesses across every sector — from logistics operators and manufacturers who want to reduce operational energy costs without deploying capital, to leasehold businesses who cannot own a permanent asset, to property owners looking to improve their building’s sustainability credentials without landlord-funded capital expenditure.
Caledonia Solar structures and places PPA agreements through our panel of four specialist commercial solar funders — Octopus Energy, Siemens Financial Services, Ortus Energy (part of SSE) and Soventix. We manage the full process from site survey through to commissioning and ongoing monitoring.
How a PPA works in practice
Caledonia Solar surveys your building and designs a system matched to your energy consumption profile.
We identify the most appropriate PPA funder from our panel based on your sector, system size and site characteristics.
The funder funds, owns and installs the solar system on your roof at no cost to your business.
From commissioning day, your business purchases the electricity the system generates at a contracted rate below your current grid tariff.
The funder manages and insures the system throughout the PPA term. Your business has zero maintenance obligation.
At the end of the PPA term, you typically have the option to purchase the system at market value, extend the agreement or have it removed.
Full guide: How a Solar PPA Works → /resources/solar-ppa-explained
Businesses where capital deployment in solar is not possible or preferred
Leasehold occupiers — a PPA can be structured without asset ownership requirements
Situations where the building owner and energy occupier are different parties
Businesses seeking guaranteed contracted energy savings without maintenance responsibility
Organisations where a capital expenditure approval process would create delay
Public sector and institutional buildings with constrained capital budgets
For most businesses, the constraint is no longer viability — it is execution. A PPA removes the last remaining barrier to implementation for businesses where capital or ownership structure has prevented solar investment.
PPA vs CapEx vs Asset Finance
A PPA delivers immediate savings with no capital outlay and no asset ownership. CapEx purchase delivers maximum long-term financial return for businesses with available capital. Asset finance spreads the installation cost over 3–7 years, typically cash-flow positive from day one, with asset ownership at end of term.
Full funding comparison → /solutions/funding-options
Frequently asked questions
What is a solar PPA?
A solar Power Purchase Agreement is a long-term contract under which a specialist funder installs and owns a solar system on a commercial building at no cost to the business. The business pays only for the electricity the system generates at a fixed rate below the current grid tariff. Savings are immediate and contractually guaranteed from the day the system is commissioned.
Can any commercial business get a solar PPA in Scotland?
Most commercial buildings above 50kW system potential are eligible for a PPA structure, subject to funder assessment of roof suitability, building tenure, energy consumption and creditworthiness. Leasehold properties require landlord consent for the roof licence. Caledonia Solar assesses PPA eligibility as part of every initial consultation at no charge.
Does a PPA affect a business’s credit rating or balance sheet?
A PPA is typically structured as an off-balance-sheet arrangement as the business does not own the solar asset. Balance sheet treatment depends on specific agreement terms and applicable accounting standards. Businesses should take independent accounting advice. Caledonia Solar does not provide accounting advice.
See your PPA savings estimate in under 60 seconds
Enter your building size, monthly energy bill and location. Our calculator models the indicative annual saving under a PPA structure alongside CapEx and asset finance — so you can compare all three options before speaking to anyone. Calculate Your PPA Savings