Exfarmer
Member
- Location
- Bury St Edmunds
My business has been based around placing panels on roofs and claiming the FITs
The farmers whose roofs they are on receive free power in lieu of rent, and export I claim but it is a bonus.
This worked well until the loss of FITs and essentially my business model came to an end and we have not installed any new systems since.
Now I have been approached by 2 concerns wanting arrays and prepared to pay for the energy produced, but obviously at a substantial discount to the regular prices.
One we nearly had an agreement in place and were hoping to be up and running very soon but Covid and other things have pushed erection times back by 6 months. This has also changed the scene a fair bit as export prices have plummeted for non FIT export.
What seemed a relatively easy, low risk deal now is fraught. I want to be fair to my potential customers, has anyone else been involved in Power Purchase Agreements between producer and site owner, from either viewpoint?
We are currently looking at sites which should use 80+% of power.
Ideally I would love to see a contract someone has in place.
My concern obviously is that this power is used falling back to 3p a unit export, even with todays solar prices, is not very promising if this cold store operator decides to go into luxury car storage instead
.
obviously a lease is needed for the site, but a solar operator has very little leverage if the original landlord goes under.
The farmers whose roofs they are on receive free power in lieu of rent, and export I claim but it is a bonus.
This worked well until the loss of FITs and essentially my business model came to an end and we have not installed any new systems since.
Now I have been approached by 2 concerns wanting arrays and prepared to pay for the energy produced, but obviously at a substantial discount to the regular prices.
One we nearly had an agreement in place and were hoping to be up and running very soon but Covid and other things have pushed erection times back by 6 months. This has also changed the scene a fair bit as export prices have plummeted for non FIT export.
What seemed a relatively easy, low risk deal now is fraught. I want to be fair to my potential customers, has anyone else been involved in Power Purchase Agreements between producer and site owner, from either viewpoint?
We are currently looking at sites which should use 80+% of power.
Ideally I would love to see a contract someone has in place.
My concern obviously is that this power is used falling back to 3p a unit export, even with todays solar prices, is not very promising if this cold store operator decides to go into luxury car storage instead
.obviously a lease is needed for the site, but a solar operator has very little leverage if the original landlord goes under.
