A lease and a power purchase agreement are exactly the same except for one key difference. In both you get to keep a solar system for zero down, and both come with monthly repayments. However, while in a solar lease you have to pay a fixed amount every month regardless of how much energy the system produces, in a PPA, you pay per kWh of power your system generates.
Benefits of Solar PPA
A PPA is ideal for people who do not want to tackle the heavy upfront cost of going solar, and those who do not want to, or cannot utilize state incentives such as the 30% Federal ITC (Income Tax Credit).
You can enjoy a reduced and fixed electricity bill for the duration of the lease which is usually between 20 and 25 years, while the leasing company worries about keeping the system in good shape.