Solar energy for little to no up-front costs - Incentives are at a peak in Massachusetts

By now you've probably heard about why going solar in Massachusetts is a smart financial decision. Solar is everywhere and for good reason: right now in Massachusetts incentives are at a peak and there's never been a better time to go solar. More and more businesses are investing in solar energy to reduce energy costs, achieve long-term predictable energy rates, and support sustainability objectives. But what if you're a property or business owner without the ability to purchase a system - even with the available federal and state incentives? What if your building is not suitable for solar? What if you can't utilize the tax credit? These questions used to be roadblocks when developing and financing solar projects, but today it's possible for virtually anyone to take advantage of solar energy through creative solar solutions that are owned and operated by a third party. Whether it's an on-site or off-site solution, there are a number of options that allow businesses and organizations to take advantage of solar energy for little to no up-front costs: On-site Power Purchase Agreement (PPA) - The "customer" is the end user of the energy, and a solar system is installed on their facility - the building roof, land area or parking at the property. In this case, the third party develops, finances, engineers, installs, and maintains the system. The customer enjoys substantial cost savings, and avoids up-front capital outlays. Off-site PPA / Net Meter Credit Agreement - In this case, the "customer" is the end user of the solar energy, but the solar installation is located off-site at another location. The customer still receives significant discounts, and avoids up-front payments. Site lease - A third party develops a solar system on commercial roof space and/or ground site, and enters a site lease agreement with the property owner. In this case, the power can be consumed on-site to an occupant who leases the building, or a customer in a different location can purchase the solar power credits. The benefits of Power Purchase Agreements and third party financing are clear for both sides: The ownership entity is able to take advantage of the financial incentives over the life of the system, and the organization is able to significantly reduce its operating expenses by using a lower-cost renewable energy solution. An experienced solar project developer can help you learn more. James Dumas is principal and chief operating officer of Solect Energy Development, Hopkinton, Mass.