Nayar: We find that most clients take a first look at solar because they want to make a positive impact on the environment. Ultimately, customers make their purchasing decisions based on the financial savings associated with procuring clean energy via a PPA or through the ownership of a system.
For multifamily housing building owners, the most common approach is to lease their roof for a community solar array and receive steady monthly lease payments for decades. Those same building owners can also generate energy savings by subscribing to that community solar farm. Savings are typically between five and 10 percent.
This contrasts with installing your own on-site solar system, which is typically more expensive. That is why we see more customers choosing virtual net metering (VNM) or community solar PPAs most of the time. These projects are larger in size and have faster development timelines, which typically provide cheaper and more affordable power. In some cases, we have customers who procure energy from VNM systems and still want to put projects on site if they have the room.