Who bears the cost of Installation?

The two different Business models for installation decide who bears the cost of system installation.

  • RESCO: Renewable Energy Services Company operates under the model in which the Company bears the cost of system installation. The Company sells electricity to the consumer at a predefined rate which may be less than the cost derived by the consumer from the grid. Additionally, under this financing model, the responsibility for Operation and Maintenance of the Rooftop PV System lies solely with the vendor and is available for 25 years of panel life.

 

  • CAPEX: The Capital Expenditure model requires the Consumer to finance the cost of system installation. This allows the Consumer to have full ownership rights over the system. Under this model of financing, the vendor will provide free maintenance for the first 5 years. The responsibility of checking operability and proper functioning of the system rests with the consumer once the maintenance contract expires. This, however, can be renewed for a fee if the consumer wishes to. The conditions are negotiated between the consumer and the vendor.

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