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Frequently Asked Questions
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What is a PPA?
A Power Purchase Agreement (PPA) is an agreement between customer and solar developer, whereby the customer agrees to purchase electricity generated by the solar installation at a fixed rate per kWh over an agreed duration. Sembcorp typically offers PPA of 10 to 25 years.
Why is a PPA model better than an EPC model?
In an EPC model, you engage a contractor to design and build the solar installation that you will own. In the PPA model, the developer owns the asset.
The PPA model is preferred by most as there are no capital and operating expenses to be borne by the customer. This means that you can enjoy lower electricity bills without any upfront investment or worrying about maintaining the solar asset over its system lifespan of 25 years.
The maintenance and performance management of the solar installation will be left to the solar professionals while the clients enjoy hassle-free energy with the PPA model.
What is the typical installation period of a solar PV system?
Customers can expect the solar panel system installation to be completed within 6 months from site handover.
Who will maintain the solar panels after installation?
Sembcorp will maintain the solar panels with our inhouse Operations & Maintenance team as well as via our online monitoring system.
Will there be a battery storing electricity from the solar panels installed at my building?
No, there will not be a battery installed at your premises. The solar panel system is directly connected to your building’s electricity grid. Electricity generated by the solar panels will directly serve your building’s load and any excess electricity will be exported back to the grid.
What will happen if there is a fire? Who covers the scope of the damage?
Sembcorp has property insurance that will cover the entire duration of operating and maintaining the solar PV system, including public liability insurance.
The customer shall maintain his own property damage insurance at his own cost and expense.
If the fire is attributable to Sembcorp, Sembcorp’s insurer shall pay to the customer’s insurer. The customer can then claim from their insurer for the damages. If the fire is attributable to the customer, the customer’s insurer shall pay to Sembcorp’s insurer.
With this arrangement, both parties are covered in the event of a fire.
What will happen if there is water leakage from my roof after solar panels are installed?
Prior to installation, Sembcorp will conduct a roof assessment survey and advise if there is a need for the customer to conduct roof repair. This roof repair work will be done at the customer’s own cost.
After installation, Sembcorp will be responsible to address the leakage issue if it was caused by the solar panel system.
Customised solutions to suit your needs
We offer cost-saving solar solutions tailored to your business requirements. Let our solar professionals guide you through your journey towards environmental sustainability.