Solar as a Service
Solar power purchase agreements
Centreco, the UK’s trusted commercial solar partner, now brings you Solar as a Service (SAAS)—a new, fully managed way for businesses to access sustainable, low-cost solar energy through zero upfront cost solar installations. This innovative financing model, delivered via MCS-accredited solar systems, has been designed for commercial and industrial businesses seeking the benefits of solar power without the risks, such as capital risk, upfront costs, or operational burden.
Solar PPA Explained
How Power Purchase Agreements Work
Solar Power Purchase Agreements (PPAs) enable businesses to take full advantage of power generated from solar energy without the initial financial burden of purchasing solar panel systems.
Under a solar PPA, companies agree to purchase the electricity generated by their solar system at a predetermined rate. This solar leasing arrangement ensures businesses benefit from fixed energy costs over the contract’s duration, providing much-needed financial predictability in an often volatile market.
Additionally, solar PPAs allow businesses to enjoy the benefits of solar energy without the responsibilities of system maintenance and performance monitoring¹. As part of the agreement, Centreco ensures that the solar PV system operates efficiently throughout the term of the contract.
Benefits of Solar as a Service for UK Businesses
- Zero Capital Required
Have a bespoke solar PV system installed at your site with no inbitial outlay costs. - Fixed, Lower-Cost Energy
Lock in lower electricity rates through a long-term agreement, protecting your business from energy price volatility. - Immediate Savings
Start saving from day one - enjoy reduced operating costs and improved cash flow.
Choosing Solar as a Service with a Power Purchase Agreement from Centreco offers your business a smarter, more sustainable way Zto access environmentally friendly energy—without the risk of upfront investment or ongoing management. With this model, you can immediately benefit from predictable savings on your energy bills, as you only pay for the solar electricity you use. This is charged at a fixed, lower rate, shielding your business from the volatility of rising energy prices.
For UK businesses, adopting solar power is a strategic step toward meeting sustainability goals and enhancing your corporate reputation. By generating renewable energy on-site, you reduce your carbon footprint and demonstrate a genuine commitment to environmental responsibility. It’s worth noting that market trends* clearly indicate a growing preference among customers, partners, and regulators for businesses that demonstrate sustainable practices.
Unlocking Value: Solar Power Purchase Agreements vs. Owning Your Solar PV System
When deciding between buying a solar system outright and choosing a Power Purchase Agreement (PPA) with Centreco, it’s important to weigh the differences in cost, risk, and responsibility. With a traditional solar system purchase, your business may need significant upfront capital investment to buy and install the system.
You own the asset, which can mean you’re responsible for ongoing maintenance, repairs, and system performance. While you can claim any available tax incentives directly, and may benefit from greater long-term savings once the initial investment is recouped, you also take on operational risks and system management responsibilities throughout its lifetime. The savings from outright purchase typically become most apparent after several years, once the system has paid for itself, and any future upgrades or repairs are at your expense.
Solar PPA vs Buying: Commercial Solar Financing Compared
| Aspect | Traditional Solar Purchase | Centreco Solar PPA |
|---|---|---|
| Upfront Investment | Capital expenditure | £0 upfront cost |
| Maintenance Responsibility | Business owner’s responsibility | Fully managed by Centreco |
| Tax Benefits | Business claims incentives | Handled by Centreco, reflected in lower rates |
| Energy Costs | Variable savings after recouping investment | Immediate savings with fixed, predictable rates |
| System Performance Risk | Incurred by the business | Incurred by Centreco |
| Contract Length | N/A | Flexible terms (typically 10–25 years) |
Centreco’s commercial Solar as a Service offers a zero upfront cost solar solution for your business. Centreco funds, installs, owns, and maintains the solar system on your premises. You simply pay for the electricity you use at a fixed, often lower rate than your current utility, enjoying immediate savings and predictable energy costs from day one.
Centreco handles all maintenance, monitoring, and performance risks so your business avoids unexpected expenses and operational hassle. Tax benefits and incentives are managed by Centreco and reflected in your lower energy rates, streamlining the process for your business. At the end of the solar energy contract—typically between 10 and 25 years—you may have options to renew, purchase the system at fair market value, or have it removed, providing flexibility for your future needs.
Ultimately, buying outright is best suited for businesses with available capital who want full control and are prepared to manage the asset long-term . A Solar PPA is ideal for organisations that prefer to conserve capital, minimise risk, and benefit from immediate, predictable savings with no operational burden.
How Does Solar as a Service Work?
Solar as a Service with Centreco is designed to make the transition to sustainable, affordable energy seamless and straightforward for your business. The process begins with a comprehensive site assessment, where Centreco’s specialists evaluate your premises and analyse your energy usage to design a bespoke solar energy system² tailored to your needs. This initial review ensures that the proposed system will deliver optimal performance and savings for your specific operational requirements.
Once the assessment is complete and you’re happy with the proposal, you enter into a long-term service agreement with
Centreco. There are no upfront costs—Centreco covers the full investment in the solar PV system, including design, equipment, and installation. The installation is managed by Centreco’s experienced in-house teams, ensuring minimal disruption to your daily operations and a smooth commissioning process.
After installation, you immediately begin to enjoy the benefits of on-site solar generation. You purchase the electricity produced by your system at a pre-agreed, lower rate, which translates into instant savings and improved cash flow for your business. Centreco takes care of all ongoing maintenance, monitoring, and performance reporting, so you can be confident your system is always operating at its best without any additional effort on your part.
1.Site Assessment & Porposal
Centreco reviews your site and energy needs to design the optimal solar solution.
2. Agreement & Installation
Centreco installs and commissions your solar PV system at no upfront cost
3. Enjoy the Benefits
You purchase the electricity generated by your system at a pre-agreed, lower rate.
4. Maintenance and Service
Centreco manages all maintenance, monitoring and performance reporting.
5. Lead the Way in Sustainability
Benefit from immediate cost savings, reduced carbon emissions and enhanced business resilience.
Centreco is the UK’s leading provider of commercial solar energy systems, trusted by hundreds of businesses nationwide for our expertise, reliability, and outstanding results. Since launching in 2014, we have empowered companies across the commercial and industrial sectors with high-quality, bespoke solar PV solutions that deliver significant cost savings, carbon reductions, and enhanced sustainability credentials.
Plumbing Merchants
James Hargreaves (Plumbers Merchants) Ltd
James Hargreaves (Plumbing Merchants) Ltd, of Burney, install Commercial Solar Panel system. Read the full Case Study and analysis here
Engineering Solutions Provider
Armultra Limited
Armultra Limited of Great Yarmouth install Commercial Solar Panel system. Read the full Case Study and analysis here
Frequently Asked Questions
How Do Solar PPAs Simplify Commercial Solar Financing?
Are Centreco MCS-Accredited?
Yes, Centreco is MCS (Microgeneration Certification Scheme) accredited, ensuring all installations meet rigorous UK industry standards for safety, performance, and compliance.
What This Means for Your Business:
- Quality Assurance: MCS certification verifies adherence to technical and workmanship benchmarks for solar PV systems.
- Compliance: Meets requirements for renewable energy incentives and grants (e.g., Smart Export Guarantee).
- Safety: Accredited installations are audited for electrical safety and structural integrity.
Centreco also holds NAPIT accreditation and RECC membership, further validating their expertise in commercial solar solutions.
What is a Solar Power Purchase Agreement (PPA) and how does it work?
A Solar Power Purchase Agreement (PPA) is a solar energy contract where Centreco funds, installs, and maintains a solar PV system on your premises at no upfront cost. Your business agrees to purchase the electricity generated by the system at a fixed, typically lower rate than your current utility, for the duration of the contract. This allows you to benefit from immediate savings and predictable energy costs without owning or maintaining the equipment.
Who is eligible for Centreco’s Solar as a Service solution?
Centreco’s Solar as a Service is ideal for UK-based businesses with significant on-site electricity consumption, typically 60,000 kWh per year or more. Your business should either own its premises or have a long-term lease, and have suitable roof space or land for solar installation.
What are the main benefits of choosing a PPA over buying a solar system outright?
With a PPA, there’s no capital outlay and no responsibility for maintenance or system performance. You benefit from immediate, predictable savings and avoid the risks and complexities of system ownership. Centreco manages everything, allowing you to focus on your business while enjoying the advantages of clean, affordable energy.
How long does the typical PPA contract last, and what happens at the end of the term?
PPA contracts usually last between 10 and 25 years, depending on your business needs. At the end of the contract, you may have the option to extend the agreement, purchase the system at fair market value, or have it removed at no cost.
Will the solar installation disrupt my business operations?
Centreco’s experienced in-house teams plan and execute installations with minimal disruption to your daily activities. We work around your schedule to ensure a smooth process and keep your business running as usual.
What happens if my business moves premises or I sell the property during the contract?
If you move or sell your premises, Centreco offers flexible options. The PPA can often be transferred to the new property owner or tenant, or alternative arrangements can be discussed to suit your circumstances.
Who is responsible for maintaining and repairing the solar system?
Centreco is fully responsible for all maintenance, repairs, and performance monitoring throughout the contract term. Our proactive approach ensures your system operates efficiently and reliably, without any hassle for you.
How are the electricity rates determined under a PPA, and will they change over time?
The electricity rates are agreed upon at the start of your contract and are typically set below current grid prices. Rates may include a small, pre-agreed annual increase, but they remain highly competitive and protect you from the volatility of the energy market.
How do I track the performance and savings of my solar system?
You’ll have access to a dedicated online portal that provides real-time and historical data on your system’s energy production, savings, and environmental impact. Centreco also supplies regular performance reports for complete transparency.
What steps are involved in getting started with Centreco’s Solar as a Service?
Getting started is simple. Contact Centreco for a free, no-obligation site assessment. We’ll review your energy needs, design a tailored solar solution, and present a clear proposal outlining your projected savings. Once you’re ready, we’ll handle everything from installation to ongoing management, so you can start saving from day one.
