With reference to solar power plant a business model is the method by which either revenue is generated by selling the generated energy or savings are made by consuming the generated electricity.
They contain the nature of value proposition, value creation and value delivery in the process of solar businesses. The business models are concentrated around the way rooftops are being utilized for solar PV installation. Accordingly four business models could be discovered in the markets which are explained through the following diagrams. 1.1.1.
What are the business models for solar PV installation?
The business models are concentrated around the way rooftops are being utilized for solar PV installation. Accordingly four business models could be discovered in the markets which are explained through the following diagrams. 1.1.1. Solar Roof Rental Model 1.1.2. Solar PPA Model 1.1.3. Solar Leasing Model 1.1.4. Solar Co-operatives Model
How can a market-centric business model help solar PV companies?
The disruptive nature of solar PV technology, limited awareness and high financial requirements often make solar PV disadvantaged compared with its competition, . A market-centric business model can help solar PV companies address consumers' concerns while offering solutions to enhance its adoption.
Will there be a pilot project based on a solar power business model?
No pilots as of yet have resulted from this project and the results of the study are not yet available to the public. The Department of Energy (DOE) is currently supporting the Solar Electric Power Association (SEPA) to develop new PV utility business model concepts via working groups. The results from the working group are expected in early 2008.
The PV industry has evolved to 1st Generation PV business models, in which the product is more attractive to a broader market, moving into the so-called early adopter customer category2 (See Figure ES-1-1).
This approach is referred to as the Zero Generation PV business model; its attractiveness was limited to a relatively small group of so-called pioneers1 who were committed to PV's environmental, energy security, and self-generation benefits.