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Compare lease, asset finance and cash routes alongside PPA on the commercial solar finance hub.
Both call themselves PPA but very different — on-site builds on your roof, sleeved gets power from a generator elsewhere via a supplier. Trade-offs.
| On-site PPA | Sleeved PPA | |
|---|---|---|
| Generation location | Your roof / land | Elsewhere (solar farm, third-party rooftop) |
| Delivery mechanism | Direct via your kit | Via electricity supplier 'sleeving' |
| Supplier role | None | Critical — supplier must agree to sleeve |
| Tariff (year 1) | 9-18 p/kWh | 11-20 p/kWh (excludes supplier markup) |
| Best for | Single-site businesses with roof | Tenants, multi-site, no roof rights |
| Site survey needed | Yes | No (generator pre-built) |
| Build time | 6-16 weeks | 0 — already built |
On-site is cheaper per kWh and lower risk but limited to a single site. Sleeved suits multi-site businesses and tenants without roof rights.
On-site PPA typically wins when (a) you need zero upfront capital, (b) you want operations and performance risk transferred, (c) your business horizon doesn't extend to a 25-year capital commitment, or (d) you want speed to deploy.
Sleeved PPA typically wins when (a) you have capital and want the lowest 25-year cost, (b) you want to retain ownership of the asset and its long-term value, (c) you can manage operations in-house, or (d) you're constrained by structural reasons (e.g., procurement rules for public bodies).
On-site is cheaper per kWh and lower risk but limited to a single site. Sleeved suits multi-site businesses and tenants without roof rights. Run your specific numbers in our PPA calculator before deciding.
Sometimes. SEG income always layers on top of either route. AIA / Full Expensing combine only with cash or self-finance. PPA + grant rarely stack — most grants exclude PPA structures.
Our mechanics hub covers 10 deep-dives on PPA structure, pricing, escalators, term, end-of-contract, off-taker covenant, EPC, O&M and M&V.
Our calculator runs both scenarios with your actual kWh, tariff and site assumptions.
Open calculatorCompare lease, asset finance and cash routes alongside PPA on the commercial solar finance hub.
If you'd rather own the system, check live UK grant and tax-relief options on the grants directory.
Vetted MCS-accredited installer partners on the commercial solar installation hub.