Solar Power Purchase Agreements in Minnesota
Understanding Power Purchase Agreements in MNBusinesses of any kind in every sector as well as state, county and municipal government units throughout Minnesota can convert to solar powered energy systems without tying up funds in a capital investment, or having any operating and maintenance costs, while cutting what they pay for electricity as they reduce their carbon footprint. It is done by using a Power Purchase Agreement (PPA). With a PPA, Cedar Creek Energy does the design, permitting, financing, installation and ongoing maintenance for the solar energy system on your property under a contract that runs for 15-to-20 years. We then sell the electricity you use to you at rates that often are lower – and never higher – than those available through your local utility. At the end of the contract, you may either renew it or cancel it in which case Cedar Creek Energy removes the installation.
Who Can Benefit From a Power Purchase Agreement?
Minnesota Farms + Agriculture
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Cities + Municipalities
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Commercial Real Estate
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Governments
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Multifamily Housing
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Manufacturing + Distribution
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Retail + Small Business
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Schools + Universities
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Our Solar Equipment
Your Roof/ Property
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6 Benefits to Power Purchase Agreement Users in MN
With a Cedar Creek Energy solar panel system, businesses and governments using a PPA obtain six key benefits:
$0 - No Cost to You
Cedar Creek Energy absorbs all of the upfront expense of assessing the size of the installation needed, designing and installing the system, and integrating it into your building.
Lower Energy Costs
A Cedar Creek solar energy system provides businesses and governments with a fixed, predictable price for electricity for the duration of the contract. Usually, the price is considerably lower than the projected increases of electricity generating companies whether they are privately-owned or a public utility.
Zero Risk
Cedar Creek Energy is responsible for every aspect of the performance of your solar energy installation as well as the risk of operating it over the life of the contract.
No Upkeep
The installation is maintained and inspected regularly by Cedar Creek Energy. Nobody inside an organization has to be trained to keep the solar energy system in peak working condition. We provide regular maintenance and our crews respond immediately if a problem is reported to us.
Leverage Available Tax Credits
Cedar Creek Energy can offer a low-cost solar energy system using a PPA because we are better able to utilize federal and state tax credits – especially when a government entity is using the system. A government has no taxable income so it is unable to take advantage of the Sec. 48 Investment Tax Credit. When installed at a private company, Cedar Creek Energy uses the tax benefits to lower the overall operating costs of the system.
Enhances Your Property Value
In case after case, the installation of a solar energy system has been shown to add to the value of the property. While this many not be of any interest to a government for its buildings, it can mean a lot to the owner of commercial or multi-unit residential real estate.

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Better Technology Improves Your Solar Energy System MN
When you enter into a PPA with Cedar Creek Energy, you will know that the what is driving your solar power electrical system always takes advantage of improvements in the underlying technology. Because Cedar Creek Energy owns, maintains and operates the system in Power Purchase Agreements, you won’t have to go through lengthy internal approvals when it’s time for an upgrade. We simply do it when it is right for your specific situation and installation.
And don’t worry when you need to expand your current facility. We’ll assess the additional needs of a growing business and upgrade your solar energy system as necessary to accommodate the additional demand for electricity.
Learn How Power Purchase Agreements Will Benefit You
Cedar Creek Energy has installed over 500 solar panel systems for residential, commercial, industrial and government buildings. If you are interested in learning more about how a PPA will enable you to have a solar energy system for your location, call us at (763) 432-5261 or complete the form on our website.
Power Purchase Agreement Blog Posts
FAQs About Solar Power Purchase Agreements in MN
What is a Solar Power Purchase Agreement (PPA)?
A Solar PPA is a financial arrangement where a third-party solar provider installs and maintains solar panels on a property. The property owner purchases the generated energy at a predetermined rate, often lower than standard utility rates, providing access to solar energy without upfront costs.
How does a Solar PPA work in Minnesota?
In Minnesota, a business partners with a solar provider like Cedar Creek Energy. The solar provider installs and maintains the panels, and the business purchases the generated energy from the provider at an agreed-upon rate, usually fixed over the contract term.
What are the benefits of entering into a Solar PPA for businesses in Minnesota?
Businesses benefit from reduced energy costs, positive environmental impact, and the ability to adopt solar without the upfront investment. Additionally, solar PPAs often provide fixed energy rates, shielding businesses from utility rate fluctuations.
Are there any specific eligibility requirements for businesses to participate in Solar PPAs in Minnesota?
Eligibility criteria can vary, but generally, businesses need to have a suitable property with available space for solar panels and meet certain creditworthiness standards.
How long is the typical term of a Solar PPA in Minnesota?
The typical term for a Solar PPA in Minnesota is around 20 to 25 years. However, the term can be tailored to the specific needs and preferences of the business.
What is the process for installing and maintaining the solar panels under a Solar PPA?
The solar provider handles the entire process, from design and permitting to installation and maintenance. Businesses simply agree to purchase the generated energy, while the provider handles system upkeep.
How is the electricity generated from the solar panels billed and accounted for in a Solar PPA?
The solar provider meters the energy production and bills the business based on the energy consumed from the solar system. Any excess energy generated beyond the business’s consumption may be credited or purchased by the utility.
What happens at the end of the Solar PPA term in Minnesota?
At the end of the term, businesses usually have options to renew the agreement, purchase the system, or have the provider remove the panels. Renewal terms and buyout options are typically outlined in the contract.