All,
I have a project that is looking to install a significant amount of solar PV on the roof of their commercial office project via a third party PPA arrangement. In the analysis we've run, the annual energy cost from the utility will be reduced by 35% from the LEED baseline case without the solar, and 70% with the solar. However, because the project will also have to pay the PPA provider for the kWh coming from the solar array, the total annual energy cost will actually go up, so that it's about 33% reduced from the LEED baseline case (due to the fact that the PPA rate is slightly higher than the utility rate).

So my question is: do projects have to account for the annual energy cost from the solar PPA? Or just from the utility. I would hope LEED would recognize the PPA as an innovative way to get more renewable energy out in the world, but I want to make sure.

Thanks,
Josh