Finance

OPEX vs CAPEX Solar: Which Model is Right for Your Business?

A clear breakdown of solar ownership models for commercial and industrial buyers in India.

10 January 2026By Greentek C&I Team
OPEX vs CAPEX Solar: Which Model is Right for Your Business?

Commercial and industrial buyers in India typically choose between two solar financing models: CAPEX (capital purchase) and OPEX / PPA (power purchase agreement).

Under the CAPEX model, you own the solar asset outright. You pay for the system once and enjoy the highest lifetime ROI, accelerated depreciation, and tax benefits. Typical payback is 3–5 years, and savings continue for 25+ years.

Under the OPEX or PPA model, a third party — such as Greentek or its financing partner — owns the system. You pay only for the solar power generated at a tariff lower than the grid. There is zero upfront investment, and savings start from day one.

CAPEX works best for businesses with available capital and a long-term view. OPEX is ideal for organisations that want immediate savings without balance-sheet impact.

Greentek offers both models with turnkey EPC, monitoring, and long-term O&M. Our engineers help you pick the structure that maximises your cash flow and ESG goals.