Sunprint
Can you get a solar PPA in Florida?
Not for your home. A power purchase agreement, or PPA, is a deal where a company owns the panels on your roof and sells you the electricity they make at a price per kWh. Florida law treats that as supplying electricity to the public, which makes the seller a public utility regulated by the Public Service Commission. That's why rooftop solar deals in Florida are leases, loans or PACE instead.
Buying solar power by the kWh
A company can't sell you the electricity from panels on your home.
Leasing the equipment
A lease with payments that don't depend on how much power the panels make.
Owning the system
Pay cash, take a loan or use PACE, and the panels are yours.
What a PPA is
The U.S. Department of Energy describes the two ways a company can own the solar on your roof. With a lease, you make fixed monthly payments. With a PPA, you agree to buy the power the system generates at a set price per kilowatt-hour. Either way the company owns the system, so the tax benefits of ownership aren't yours; our incentives guide covers what owners can still claim in 2026.
The difference sounds small, but under Florida law it decides everything. A lease is a payment for equipment. A PPA is a sale of electricity.
Why Florida doesn't allow PPAs for homes
Florida Statute 366.02 defines a public utility as anyone "supplying electricity or gas ... to or for the public within this state." The definition leaves out rural electric cooperatives, city-owned utilities and some natural gas businesses. It has no exception for solar.
The Public Service Commission applied that definition in 1987, when a company called PW Ventures asked whether it could sell electricity to another private company. The Commission said that would be a retail sale, which a private company can't make without becoming a regulated utility, and the Florida Supreme Court upheld the ruling in 1988 in PW Ventures, Inc. v. Nichols. The court also noted that nothing stops anyone from making their own power.
For a home, that means a solar company can't sell you the electricity from panels on your roof. Florida's net metering rule says the same thing from the other side: your system can be one you buy or lease from a company, under terms that "do not include the retail purchase of electricity from the third party."
Who can sell you electricity
Solar power can reach a Florida home two legal ways: through your utility, or from panels you own or lease. A solar company selling you power directly is the one path the law closes.
Who may sell electricity to a Florida home
A solar developer can sell power wholesale to a utility. Selling it straight to a homeowner by the kWh isn't allowed.
PPA, lease and loan side by side
| PPA | Lease | Loan | |
|---|---|---|---|
| Who owns the panels | The solar company | The solar company | You |
| What you pay for | Each kWh the panels make, at a set price | The equipment, in fixed monthly payments | The loan; the power the panels make is yours |
| Allowed for Florida homes? | No | Yes, if payments don't depend on output | Yes |
PACE works like a loan you repay as an assessment on your property tax bill; our PACE guide covers how it differs.
What you can sign instead
None of these are free, whatever an ad says; our guide to free solar panels in Florida explains what no-cost offers really are.
Where PPAs do exist in Florida
PPAs are part of Florida's power supply, just not with homeowners. Solar developers sell power wholesale to utilities, and the utilities sell electricity to their customers. Florida law requires each investor-owned utility to keep offering a contract to buy capacity and energy from renewable energy producers, solar included, and the Public Service Commission's rules set out how those contracts work.
A 2021 analysis by the law firm Holland & Knight describes the result: because developers can't make retail sales, they're left selling wholesale to utilities through wholesale PPAs.
If someone offers you a PPA in Florida
- Ask how the payment is set. If you'd pay a price for each kWh the panels make, that's a sale of electricity, which Florida doesn't allow for homes.
- Read the contract, not the name on it. How the payment works decides whether it's a lease or a sale of power.
- If it's a lease, get the terms in writing: the monthly payment, the number of years and any yearly increase. Our lease guide covers the disclosure Florida requires.
- Check the company's license before you sign; our guide to checking a solar company shows how.
- Know how to cancel. Our guide to canceling a solar contract explains the deadlines.
For businesses
The rule isn't only for homes. The PW Ventures case was about selling power to another private company, and the Commission and the Florida Supreme Court treated that as a retail sale. A business can still own its system or lease equipment with fixed payments: in December 1986 the Commission ruled that Monsanto's lease financing of its own on-site generating plant was not a retail sale of electricity.
Could Florida change the rule?
It would take a change in state law or a new ruling. As of October 2026 we found no change to Florida law that allows residential PPAs, and the 2026 text of the public utility definition still has no exception for solar. If that changes, we'll update this guide. Our guide to Florida solar laws tracks the rules that do apply, and our net metering guide shows what each utility credits for power your panels send to the grid.
Want a number for your own home? The calculator below estimates what solar could save on your bill.
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- Enter your billYour ZIP code, your utility and last month's bill.
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It takes about a minute. You don't need a site visit, a commitment or a sales call to see your number.
Common questions
What is a solar power purchase agreement?
A solar power purchase agreement, or PPA, is a deal where a company owns the solar system on your property and you agree to buy the power it generates at a set price per kilowatt-hour. With a lease, by contrast, you pay a fixed monthly amount for the equipment.
Are solar PPAs legal in Florida?
Not for homes. Florida Statute 366.02 makes anyone supplying electricity to the public a regulated public utility, and in 1988 the Florida Supreme Court upheld a ruling that a planned sale of electricity to one other private company was a retail sale. A solar company that sold you power from panels on your roof would be acting as a utility.
Why can a company lease me solar panels but not sell me the power?
Because a lease is a payment for equipment, not for electricity. In 2018 the Public Service Commission ruled that one company's residential lease, with payments fixed for 20 years and not tied to how much power the panels make, was not a sale of electricity. Florida's net metering rule also allows a system leased from a third party as long as the terms don't include buying electricity from it.
Is a solar lease legal in Florida?
Yes, when the payments don't depend on how much power the system produces. The Public Service Commission's 2018 ruling covered a lease with fixed payments and said it applied only to the facts that company described, so check how your own payments are set.
Can a business sign a solar PPA in Florida?
No, the same rule applies. The PW Ventures case was about selling power to another private company. A business can buy its own system or lease equipment with fixed payments.
Who is allowed to sell electricity in Florida?
Regulated public utilities, plus the rural electric cooperatives and city-owned utilities that Florida law leaves out of the public utility definition. Solar developers can sell power wholesale to utilities, and Florida law requires investor-owned utilities to keep offering contracts to buy power from renewable energy producers.
What should I do if a company offers me a solar PPA in Florida?
Look at how the payment works. If you'd pay for each kWh the panels make, Florida doesn't allow that for homes. If it's really a lease, get the payment, the term and any yearly increase in writing, check the company's license, and know your right to cancel.
Will Florida allow residential solar PPAs?
As of October 2026 we found no change to Florida law that allows them. The public utility definition in the 2026 Florida Statutes still has no exception for solar.
Can I get solar with no money down in Florida?
Yes, through a lease, a $0-down loan or PACE financing, but none of them is free: you pay over many years. Utility subscriptions such as FPL SolarTogether are another option, with nothing on your roof.
Related guides
- Is a solar lease a good idea in Florida?
- Can you get free solar panels in Florida?
- Solar financing in Florida
- PACE financing for solar in Florida
- Community solar in Florida
- How to check a solar company in Florida
This page is general information as of October 2026, not legal advice. Sources: Florida Statutes 366.02 (2026) · PW Ventures, Inc. v. Nichols, 533 So. 2d 281 (Fla. 1988) · Florida PSC Order No. PSC-2018-0251-DS-EQ, solar equipment lease (PDF) · Florida Administrative Code Rule 25-6.065 · Florida Statutes 366.91 (2026) · Florida Administrative Code Rule 25-17.0832 · U.S. Department of Energy, Homeowner's Guide to Solar (under "Can I get financing for solar?") · Holland & Knight, solar development in Florida (2021). Reviewed October 2026.
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