Opex Model
-
A model built to simplify your clean energy adoption.
-
We invest in, build, and operate the system, so you can access clean power without capital expenditure.
-
Enter into a flexible long-term power purchase agreement for greater power cost predictability.
-
Get energy at a lower tariff than the grid, delivering cost benefit and sustainability.
Zero Investment Business Model
Sankalp builds the plant and operates
Greater savings against the grid.
Maintenance by Sankalp
Client makes upfront capital investment
Client will own the system
Carbon footprint reduction & tax saving
Sankalp builds & operates the system
Capex Model
-
Turnkey development services, including land, evacuation infrastructure, EPC services, and O&M services for the project lifecycle
-
Benefit from our execution and operating capabilities while retaining asset ownership
-
Across Onsite Solar plants and offsite plants such as wind-solar
-
Significant long-term savings and energy independence
OPEX Vs CAPEX in India
Switching to solar power is a commendable move for your business, and a cost-effective one too in the long run. However, there are a lot of underlying technicalities you need to know before making the final move to go green.
When you are considering buying solar power, you would generally find two options in the market – Investing into a rooftop solar plant or buying solar power under a power purchase agreement (PPA). Both the options can be availed under two models: the capital expenditure (CAPEX) model or the operating expenditure (OPEX) model. In this section, we help you make an informed decision by highlighting the differences between the two in terms of their merits and disadvantages, and which model suits your business better.
OPEX vs CAPEX Comparison
OPEX
Zero Investment Model
-
Ownership
Sankalp owns the asset
-
Investment
Zero upfront investment by the customer. Can instead invest that capital into its core business.
-
Management Approval Timelines
Quickly replicable and scalable because additional projects don't need internal CAPEX approvals
-
What You Pay For
Pay only for electricity generated, no hidden costs
-
Per Unit Saving
20-40% cheaper than Grid electricity Tariff
-
O&M
Turnkey solution, therefore Sankalp bears O&M cost
-
Payback
Savings from day 1 (Zero days)
-
Technical Know How
Sankalp handles all technical matters
-
Performance Risk
Sankalp bears all the performance risk and is incentivized to maximized generation because revenues are linked entirely to generation
-
Tax Benefits
No Tax benefits for customer
-
Regulatory Risk and Approvals
Sankalp prerogative
CAPEX
Asset Ownership Model
-
Ownership
Customer owns the asset
-
Investment
100% investment borne by customer
-
Management Approval Timelines
Typically requires long lead time for CAPEX approvals at senior management level
-
What You Pay For
Pay only for O&M charges after system purchase, no tariff for solar electricity generated
-
Per Unit Saving
Capital repaid through generated electricity
-
O&M
Customer pays separately for O&M
-
Payback
As high as 4 years
-
Technical Know How
Dedicated team needed at customer's end to evaluate system design, installation and operation
-
Performance Risk
Customer bears all the performance risk and must manage equipment & downtime losses
-
Tax Benefits
Customer can claim tax benefit through accelerated depreciation
-
Regulatory Risk and Approvals
Owners prerogative