Installer agrees with his customer (Offtaker) a PPA for an energy efficiency solution that allows self-consumption of energy.
The installer needs financing to build and install the PV Plant 180 kW power without using up his banking credit lines.
Installer with proven track record and solid financials.
Solution
Crede leases the PV plant to the SPV on a long-term basis (9 years) to finance the installation, and places the installer (100% SPV owner) as a co-lessee.
Irregular rental payments adapted to power production (lower in winter and higher in summer) for optimize the electricity savings Crede long-term lease structure (9 years) to match long-term PPA (PPA duration 15 years).
Crede analyses the credit quality of the Offtaker. Crede pledges the credit claims arising from the PPA between SPV and Offtaker.
Result
The installer can account the contract off-balance sheet and does not compute CIRBE as it is a private contract.
PV plant allows self-consumption of energy and Offtaker saves c.30K/year compared to current energy consumption.
The estimations of the annual cost savings of the project repay the financial cost of the operation
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