Capex vs PPA vs OPEX — which model fits your Jaipur business
**Capex (self-owned)** — You buy the system, get 40% accelerated depreciation Year-1 + full ownership of generation. Payback 3-4 years, 25-year net profit. Best if you have working capital or MSME loan (Mudra scheme covers 100% of solar for eligible units).
**PPA (Power Purchase Agreement)** — Vendor installs at their cost, you sign a 15-25 year contract to buy the electricity at ₹4-6/unit (vs JVVNL commercial ₹9-11/unit). Zero upfront. Best for cash-preservation-first businesses.
**OPEX (lease)** — Middle-ground: 3-7 year lease with buyout option. Rare in Jaipur due to shorter payback than PPA.