Sell to yourself, another company or to the government.

For any business keen on having solar power, the first question they should ask themselves is: Who will buy/use the power?

The answer to this question will pretty much define the business model for the power plant.

A solar power plant can provide benefits through the following avenues:


  1. Sale to Utility: Utility usually refers to state owned electricity distribution companies (discom) or large central power companies like NTPC. In this model, you can sell power generated from the solar plants to the discom/central power entity at fixed rates for as long as 25 years through power purchase agreements.
  2. Sale to Third Party: You can sell power to third party private companies. This is also typically done through a power purchase agreement with the buyer.
  3. Houses: Rooftop Solar Can Supply Most of Your Needs – For many houses, rooftop solar has the potential to contribute up to 80% of their total electricity consumption.

Offices & Commercial Establishments: 10-40% – For offices and commercial buildings, rooftop solar has the potential to contribute up to 40% of their electricity consumption. For an IT company in Chennai that Solar Mango assisted in implementing a rooftop solar power plant, the contribution from solar worked out close to 35%.Self-Consumption: If you have an energy intensive business, you can own solar power plants and use the energy generated to offset your monthly electricity bills.


Stuff to Remember
The power from your solar power plant can either be consumed by your own company or it can be sold to an outside entity, which could be a private company or government utility.