Group Captive
A Group Captive solar/wind energy model is an arrangement where multiple consumers, along with the developer, co-invest in a renewable energy project (such as solar or wind) that is set up off-site. This model enables consumers to meet their electricity needs with clean energy, while also benefiting from lower tariffs compared to conventional grid electricity rates.
Key points of the Group Captive model:
1. Ownership Structure:
Consumers own at least 26% of the equity in the project, while the developer handles the construction, operation, and maintenance.
2. Tariff Savings:
Since the project generates renewable energy, the tariff is often lower than traditional grid rates, helping consumers reduce their energy costs.
3. Regulatory Benefits:
Consumers can avoid certain charges like cross-subsidy surcharges, which typically apply to third-party energy purchases.
4. Sustainability:
The model helps organizations meet their sustainability goals by shifting to clean energy.
5. Custom Solutions:
Consumers can choose the size and capacity of the project based on their energy consumption needs.
This is an attractive option for industries and businesses looking to reduce energy costs and carbon footprints while having more control over their electricity sources.
