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RESCO solar: pay for the units, not for the plant

Under RESCO, a developer funds, installs and owns a solar plant on your roof, and your business pays a per-unit rate for the solar power it uses. This page is for business owners. If you want to invest in solar plants, see the investor page.

  1. Your roof is assessed

    The site's roof, load and daytime use are checked to see whether a RESCO plant is commercially suitable.

  2. The agreement is signed

    A long-term agreement sets the per-unit rate, how units are measured, the term and what happens at the end.

  3. The developer builds the plant

    The developer funds and installs the plant, and owns it for the term of the agreement.

  4. You pay for what you use

    Each month you pay for the solar units your site uses, at the agreed rate, alongside your remaining grid bill.

Who RESCO can suit

  • Businesses that would rather keep their capital for their core operations
  • Sites with steady daytime power use, so most solar units are used on site
  • Owners with a suitable roof they expect to occupy for the long term

Whether RESCO is offered depends on the site and is decided project by project.

How the per-unit rate works

The plant has its own meter. Each month, the units it delivers to your site are read from that meter and billed at the rate in the agreement. Any power you need beyond what the plant produces still comes from the grid at your normal tariff. The agreement also says whether and how the rate changes over the term.

What to check in a RESCO agreement

  • The rate: the per-unit rate, and whether it is fixed or changes each year
  • The term: how many years the agreement runs
  • Metering and billing: which meter is used and how disputes are settled
  • Maintenance: who cleans, maintains and repairs the plant, and how quickly
  • Minimum purchase: whether you must pay for a minimum number of units
  • Roof and access: your obligations for roof access, repairs and any building changes
  • Early exit: what happens if you move, sell the building or want to end early
  • End of term: whether the plant is transferred to you, the agreement is renewed or the plant is removed

RESCO or owning the plant?

Owning the plant usually gives the biggest long-term saving and the depreciation benefit, but needs capital or a loan. RESCO needs no plant purchase, but the saving per unit is smaller because the developer is paid for its investment. Compare all three routes side by side, or read our guide to CAPEX vs RESCO.

Want to know whether your site could suit RESCO? Our free assessment includes a funding direction. Get a business proposal.