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SunSpark Energy: Customized on-site and off-site solar Energy Solutions
The Govt. of India has set an ambitious target of achieving 100 GW of installed solar capacity by the year 2022. India has come a long way in the last few years from having only 1 GW of solar installations as of 2012 to having 22 GW of solar installations as of March 2018. Contributing to the Government’s target is Mumbai based SunSpark Energy, a solar IPP (independent power producer) known to help industrial and commercial consumers in India go solar. SunSpark Energy believes in offering highly customized solutions with the best in class products to its clients.
“Today the industry is flooded with solar EPC companies and has commoditized the experience of going solar. It is unfortunate to see how some companies in the industry would at times wrongly advice clients and cut corners in order to make a quick buck. At SunSpark Energy, we believe in offering world-class products and highly customized solutions to our clients. Every client has a different power portfolio, power requirements and future forecast of power consumption. Moreover, every rooftop has its own challenges which require special attention. Our attention to detail and solutions designed to maximize our clients return on investment has helped us stand out in this crowded marketplace,” speaks Rikhav Parikh, CFA, Director & CEO.
The Zero-Capex offering by SunSpark is primarily driven to make solar adoption easier for select commercial and industrial clients. Under the OPEX model, clients sign a long-term PPA (Power Purchase Agreement) typically 15-25 years with a pre-determined rate of solar power. The company invests, designs, procures, constructs, operates and maintains the solar power plant for the life of the agreement at zero cost to the consumer. “The client only pays for the power consumed from the solar power plant as per the signed PPA on a monthly basis. This model has levelled solar with grid power, where clients pay only for the power consumed and do not need to invest in the power plant. Clients save significantly on their monthly electricity bills and are helping the environment, without having to incur the upfront capital investment,’ informs Rikhav.
Deeming the Industrial and Commercial clients as the primary power guzzlers in India, team SunSpark focuses on them as every project brings them an opportunity to have a greater impact on the environment. “In addition to saving significantly on monthly electricity bills, commercial and industrial clients in India also have various income tax benefits for investing in a solar power plant,” he adds. Solar assets provide a unique opportunity for domestic and foreign investors to earn a fixed return over a long tenure. Bond yields will undergo various cycles over a tenure of 20 years and to have a product yielding a fixed return over a 20 year horizon is a valuable asset. Solar assets have almost zero correlation with the performance of the broader equity and bond markets and hence help reduce the volatility of an investor’s portfolio”
The Road Ahead
SunSpark Energy is focused on providing the best quality products and customized services to the clients. The team is constantly learning to keep up with the changes in the global solar landscape to improve its offerings to the clients here in India. Additionally, they are evaluating various tenders set-out by the Maharashtra Govt. and PSU’s that will help in furthering their mission of providing solar to all. “It is now very important for every power consumer to consider solar as part of their business’ power portfolio, be it a factory, warehouse, hotel, hospital, mall or a commercial establishment. If that’s not the case, consumers are overpaying, losing money on high electricity bills,” he concludes.