PPA or buy: the honest comparison
Solar PPA vs Buying Solar Panels Outright
Two ways to get solar on your roof, side by side on one table. We arrange PPAs, and we will tell you plainly when buying outright is the better call.
Nothing to pay to find out, and no obligation.
“I'll be honest, I was a bit sceptical at first. It sounded too good to be true.”
£0 up front
Our funding partner pays for the system. Not even a deposit
Fixed for 15 years
Between 16p and 23p per kWh today, depending on the site (September 2026)
NAPIT
Our installers are accredited
Our installation partners are MCS registered, and RECC and NAPIT accredited
One person to call
Dave handles the funder, the installer and the grid for you, first call to first bill
The short answer
One question decides it: spend your cash, or hand over the work?
Solar PPA vs buying comes down to who pays for the panels. Pay for them yourself and you own them. Let someone else pay and you buy the power they make.
The second route is a power purchase agreement, or PPA. Our funding partner pays for the panels and the fitting. You pay only for the solar power you use, at a set price per kWh (a kilowatt hour, the unit of electricity on your bill). Buying outright means you pay for the whole system, then own it and everything it makes.
Neither is wrong. Buying can cost less in total. A PPA costs nothing to start and leaves you nothing to run. The rest of this page puts them side by side, with the real numbers from one funded site. If you want the basics first, read how a PPA works, step by step.
Side by side
Solar PPA vs buying outright: the full comparison on one table
The third column is the middle path. You start on a PPA with nothing to pay, then buy the system out on a day you choose.
| Compare | Buy outright | Solar PPA | PPA, bought out early |
|---|---|---|---|
| Cost up front | The full price of the system, paid before it is switched on. Crest's 50 kWp system is valued at £42,741. | £0, not even a deposit. | £0 to start. The money comes later, on the day you choose to buy. |
| What you pay for the power | Nothing per kWh once it is paid for. This is the big win of buying. | A fixed price per kWh for the solar you use. Crest pays 18p, against 37p before. | The fixed price until the day you buy. Then nothing per kWh. |
| Who looks after it | You. You arrange the checks, cleaning and repairs, and pay for them. | The funder, for the whole 15 years, at no cost. Cleaned every 6 to 12 months and watched from a central screen. | The funder, until the day you buy it. |
| Who carries the generation risk | You. You have paid for the system whatever it makes. | The funder. If it makes less, you pay less. | The funder, until you buy. After that, you. |
| Who owns it | You, from day one. | The funder, until you buy it out or reach year 15. | The funder until the buy-out, then you. |
| Your way out | Nothing to exit. It is yours, and it stays on the roof. | Buy it out at any time from a printed price list. If you sell the building, the deal can pass to the new owner at the same price. | The buy-out is the exit. You pick the day. |
| At year 15 | You own a 15-year-old system. The inverter (the box that turns panel power into building power) may need replacing, and that bill is yours. | Four choices: buy for £1, agree a new price, stay at the same price for five more years and then buy for £1, or pay to have it removed. | Already yours. |
| The catch | You carry the cash cost and the work. | A soft credit check on your business and a lease on your roof space. You pay for the solar for 15 years instead of owning it. | You pay the buy-out price, which falls each year. |
| Best when | You have cash to spare and want to run it yourself. | You would rather keep your cash and hand over the work. | You want to start with nothing and keep the option to own. |
These are Crest's figures. Your proposal prints your own. See a real proposal, line by line.
Who should buy instead
When buying outright is the better choice, and when a PPA is
Bay Bright arranges PPAs. If you are set on buying outright from day one, an installer is the right call, and we would rather say so now than waste your time.
Buy outright if
- You have the cash, and no better use for it.
- You are happy to look after the system, or to pay an installer to do it.
- You want to keep every penny it saves, with no funder taking a return over 15 years.
- You want to own it from day one, with no roof lease and no credit check.
A PPA suits you better if
- You would rather keep your cash for the business, the herd, the building or the people you serve.
- You do not want to find someone to clean it, watch it and fix it.
- You want to know your price per kWh for the next 15 years.
- You like the idea of owning it later, without committing the money now.
The middle path
Start on a PPA and buy it out whenever it suits you
You never have to decide on day one. Every proposal prints a buy-out price for every year of the term, and it falls each year to £1. Here is Crest's list.
| When you buy | Crest's buy-out price | What it means |
|---|---|---|
| At the start (year 0) | £42,741 | The highest price on the list. This is the cost of owning the system from day one. |
| Year 5 | £28,487 | About two thirds of the starting price. |
| Year 10 | £14,233 | About a third of the starting price. |
| Year 14 | £2,829 | Almost nothing left to buy. |
| Year 15 | £1 | The end of the term. You own it. |
Until you buy, you keep paying the fixed price per kWh for the solar you use. The early prices are high, so buying in year one is rarely the point. The list matters because it means you are never stuck.
Crest's numbers
What each route costs, using one real site
To start a PPA
Our funding partner pays for the panels, inverter, frames, scaffolding, labour and grid connection.
Per kWh for the solar Crest uses, fixed for the full term
Crest paid 37p per kWh to the grid before. Your own price is set from your usage data and sits between 16p and 23p today (September 2026).
To own Crest's system from day one
The buy-out price at the start of Crest's proposal. It shows the size of cheque buying involves. It is not an installer's price for your roof.
We do not give a price per kW for buying, because it depends on your site and your installer. For the wider picture, read what commercial solar costs to buy.
What you pay per kWh for the solar you use
- PPA price: 16p to 23p, fixed for 15 years
- What our case-study customers were paying: about 23p to 53p
PPA prices as of September 2026, and your rate depends on your site. Savings are illustrative, never promised. Your proposal works out your own.
Check my eligibilityFree, no obligation, about two minutesWho carries the risk
Four things that can go wrong, and who pays for each
This is where the two routes really differ. Here it is in plain words.
If it makes less power than expected
PPA: you pay less, because you only pay for the solar you use. Buying: you have paid for the system either way.
If something breaks
PPA: it gets fixed at no cost to you, and your building just uses the grid meanwhile. Buying: the repair bill, and the chasing, are yours.
If grid prices fall
PPA: your price does not fall with them. If grid power ever dropped below your PPA price, you would pay more than the grid for the solar. Today the 16p to 23p range sits well below what our case-study customers paid before, about 23p to 53p.
If you sell or move
PPA: the deal can pass to the new owner at the same price, or you can buy it out from the printed list. Buying: the system is yours and stays on the roof with the building.
Two worries we hear
The honest answers to the questions about owning
Isn't buying cheaper in the end?
Often, yes, if you have the cash and the time
When you own the system, no funder takes a return, so over a long run the total cost is usually lower. The price of that is the cash you spend first, and the checking, cleaning and repairs after. A PPA swaps all that for a price per kWh. Crest, a charity, went with a PPA, and says the saving lets it give back to the community.
Won't I regret not owning it?
You can own it whenever you like
The buy-out list is printed in your proposal, so you can see the cost of owning in every year before you sign. At year 15 it is £1. The panels carry a 30-year warranty, so you then have at least another 10 years of free electricity.
Other ways to pay
How a PPA differs from a solar lease or a bank loan
Some people ask about these because they want a low start without a PPA's structure. We arrange PPAs only, but here is how they differ, so you can compare like with like.
A solar lease for business
You rent the panels and pay a set amount each month, whatever they make. A PPA is different. You pay for the power you use, by the kWh, so a quiet month costs you less. We do not arrange leases.
A bank loan
You borrow the money, buy the system and repay the debt. You own it, so the upkeep and the generation risk are yours too. A PPA is not a loan. You borrow nothing. We do not arrange loans.
In their own words
Two customers who weighed it up and said yes
“I was pretty sceptical initially because you never get anything for free in this life. But once Dave broke down the detail and explained to me how it would benefit Crest as an organisation, it became quickly to me a bit of a no-brainer.”
“It hasn't cost me a single penny to have it all installed.”
- System size (peak output)
- 50 kWp
- Power it makes each year
- 36,290 kWh
- Fixed price for 15 years
- 18p per kWh (was 37p)
- Saving in year one
- £4,739
- Saving over 15 years
- £131,796
The 15-year figure assumes grid prices rise 5% a year. Your proposal works out your own figures, never a promise.
Free, in writing, no obligation
Choose with your own numbers: PPA price and buy-out list
Whether you buy or use a PPA, decide with your own figures. Your proposal prints your fixed price, your savings, and your buy-out price for every year. It comes back within up to 5 working days, with no obligation.
- The system designed for your siteSized to your real usage by the funder's design team, with how much power it should make each year.
- Your fixed price per kWhSet from your usage data. Between 16p and 23p today, and fixed for 15 years.
- Your savingsIn year one and over 15 years, worked out from your own bills. Illustrative, never a promise.
- Your buy-out price for every yearPrinted in full, falling each year to £1 at year 15. So you can see your way out before you sign.
Keep reading
Go further on PPAs
Solar PPA
The whole offer in one place: what a PPA is, who it suits and what it costs.
Find out more
A real proposal, line by line
Crest's figures walked through in our own layout, from the 50 kWp system to the 15-year saving.
Find out more
Does your site qualify?
Three-phase supply, room for 20 kW, and a year of electricity data. Here is the full list.
Find out moreWhat is a power purchase agreement? · Crest Community Centre case study
Where we work
Commercial solar across North Wales and the borders
Based in Colwyn Bay, working across North Wales, Mid Wales, Cheshire, the Wirral, Merseyside and Shropshire. Further afield, our funding partner has approved installers across Great Britain.
Questions
Questions about a PPA versus buying
Solar PPA vs buying: which is cheaper over 15 years?
Buying is usually cheaper in total, if the system works as it should and you have the cash. A PPA costs nothing to start and nothing to look after, and you pay a fixed price per kWh for that. We would not tell you a PPA always wins.
Is a solar PPA a loan or a form of finance?
No. Our funding partner pays for the system, so you borrow nothing and repay nothing. You buy the solar power you use at a fixed price per kWh, on one monthly direct debit. The rest of your power stays with your normal supplier.
Can I buy the system if I start with a PPA?
Yes, at any time. Your proposal prints the buy-out price for every year, and it falls each year. Crest's starts at £42,741, is £28,487 at year 5, £14,233 at year 10, £2,829 at year 14 and £1 at year 15.
How much does it cost to buy solar panels outright for a business?
It depends on the site and the installer, so we don't give a price per kW. For a sense of scale, Crest's 50 kWp system is valued at £42,741 in its proposal. An installer would price your own roof separately.
What happens at the end of a 15-year PPA?
You choose from four options. Buy the system for £1, agree a new price per kWh and carry on, stay at the same price for five more years and then buy it for £1, or pay to have it removed. The panels carry a 30-year warranty, so a £1 buy-out leaves at least another 10 years of free electricity.
Who looks after the panels under a PPA, and who pays?
The funder looks after them and pays, for the whole term. The system is watched from a central screen and cleaned every 6 to 12 months at no cost. If something stops, it gets fixed, and your building just uses the grid in the meantime.
What if the panels make less power than the proposal says?
You pay less. Your proposal states how much the system should make, and you only pay for the solar you use. The funder only earns when the system generates, so it has every reason to keep it working.
What if I sell the building or move?
The deal can pass to the new owner or occupier at the same price per kWh. Or you can buy the system out from the printed price list. Either way, you are not stuck.
Is a solar lease the same as a PPA?
No. With a lease you rent the panels and pay a set amount each month, whatever they make. With a PPA you pay for the power you use, by the kWh. We arrange PPAs only.
Who should buy solar outright instead of using a PPA?
Sites with cash to spare that are happy to run the system themselves. You keep every penny it saves, with no funder taking a return and no roof lease. If that is you, an installer is the right call, and we would rather say so.
What does my site need for a PPA?
A three-phase supply (the stronger kind most businesses and farms have), room for at least 20 kW of panels, and a year of electricity data. The site must not have existing solar. If you rent, the building's owner has to agree. Not sure? Send your postcode and a recent bill.
Not sure which is right? See both sets of numbers
Send your postcode and a recent bill. We check your roof on a map, and your proposal prints a PPA price and a buy-out price for every year. It costs nothing.