"Power Purchase Agreements" - good or scam?
I am seeing a couple of companies in my area that are offering "Power Purchase Agreement" type deals - You put up about $1K up front, they put a system on your roof and you commit to purchase the electricity produced by the system for the next 18 years at a "locked in" rate about equal to the current electric rate... They take care of system maintainance and upkeep. (They also collect all the gov't handouts)
Unlike CitizenRE, this appears to be a reputable company, using known products (i.e. Evergreen panels) and established installers, etc.
The assumption they make is that electric rates go up at about 5.5% / year on average, and that by locking in at todays rates, you save as the rates go up.
Is there any experience here with this type of deal, and any opinion as to whether it is a worthwhile thing to get involved with, or a scam (or possibly honest but just a bad idea from an investment standpoint...) I would like to do solar, but don't really see it making sense at current prices...
Heat with wood, starting to study other energy conservation / alternative energy stuff
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