How subscription solar actually works

What is subscription solar, exactly?

Subscription solar is a service contract, not a purchase. You don't buy the system, you don't finance it, and you never own it. A provider installs panels on your roof at no upfront cost and you subscribe to the power they produce. Think cell phone plan, not mortgage. Your provider bill replaces most of your utility bill.

You keep a small utility charge for staying connected to the grid. In Florida, that minimum typically runs a few dozen dollars a month depending on your utility. Ask for the exact figure on your quote.

What does the provider cover?

• Installation: $0 down. Billing starts when the system turns on, not at signing.
• Maintenance and repairs: included, routine and emergency.
• Insurance: the provider insures the system against damage, theft, and malfunction.
• Upgrades: free when components become obsolete.
• Resizing: panels can be added or removed at no cost when your usage changes. New EV, new pool, new baby.
• Downtime: if the system underproduces or goes down through no fault of yours, you aren't charged for the downtime.
• Roof work: give notice and the provider uninstalls and reinstalls at no cost, subject to qualifications.
• End of term: the system comes off free, and anything the system caused gets repaired.

How long is the contract, really?

The agreement is written for ten years. You can cancel any timeafter month 36 with no cancellation fee. That makes your real commitment 36 months. The ten-year paper locks the rate structure so the price can't be rewritten on you midway.

We state both numbers together every time, because each one alone is misleading. Anyone who says "it's a three-year contract" without the ten-year paper in the same breath is skipping a page, and anyone who leads with ten years without the month-36 cancel right is doing the reverse. Make the salesperson show you the cancellation clause in writing, including what the provider's options are if you cancel inside the first 36 months. Those are discretionary, not guaranteed.

Does subscription solar have a price escalator?

The subscription price increases 1.9% per year, fixed. Three years at 1.9% is about 5.8% total. We mention it before anyone asks, because escalators are where long-term solar contracts hide their teeth: a 2.9-3.9% annual escalator on a 25-year lease can push you above utility rates in the back half. A 36-month exposure at 1.9% can't do that to you.

How much does subscription solar save?

Typical savings run around 40% of the current bill. On a $300 bill, that's in the neighborhood of $120 a month. These are typical results, not a guarantee. Your number depends on your roof, your usage, and your utility, which is why the estimate on this site reads your actual roof before it says anything.

How does a subscription compare to a lease, a loan, or buying?

The row people stop on is the third one. Whether a structure puts alien on your house is the single biggest practical difference between these columns, and it's the one that shows up years later at the closing table. The rest of the table matters most in context: how this plays out for Texas homeowners in a deregulated market, what changes inFlorida, where the provider carries the insurance on the panels, and how it holds up through an Illinois winter.

Who shouldn't get subscription solar?

The honest anti-pitch, because it's the fastest way to save everyone time:

• You're confident you're staying 20+ years and want to own the asset. Cash or a loan may still beat a subscription on lifetime cost. Run that math with your CPA, including which federal credits actually apply to a new install today.
• You can pay cash and want maximum lifetime savings.
• Your roof needs replacing first. Do the roof first.
• Heavy shade or a bad roof plane. Production won't pencil, and we'll tell you.
• Any new monthly obligation would strain the budget.
• Your credit score is below about 600.
• You rent, or you already have solar.

The long version, starting with who it is not worth it for, isis subscription solar worth it.

Verify everything

Every structural fact on this page (no lien, the month-36 cancel right, provider ownership, free removal) should be verified against the agreement in front of you. Not against this page, not against a sales call, and not against a Reddit post.