SOLAR ENERGY SYSTEM DISCLOSURE DOCUMENT

SOLAR ENERGY SYSTEM DISCLOSURE DOCUMENT

This disclosure shall be printed on the front page or cover page of every solar energy
contract for the installation of a solar energy system on a residential building. The
TOTAL COST for the solar energy system (including financing and energy/power cost
if applicable) is $ _____________________________.
To make a complaint against a contractor who installs this system and/or the home
improvement salesperson who sold this system, contact the Contractors State
License Board (CSLB) through their website at www.cslb.ca.gov (search: “complaint
form”), by telephone at (800) 321‐CSLB (2752), or by writing to P.O. Box 26000,
Sacramento, CA 95826. If the attached contract was not negotiated at the
contractor’s place of business, you have a “Three‐Day Right to Cancel” the contract,
pursuant to Business and Professions Code (BPC) section 7159, as noted below. For
further details on canceling the contract, see the Notice of Cancellation, which must
be included in your contract.

THREE‐DAY RIGHT TO CANCEL

You, the buyer, have the right to cancel this contract within three business days.
You may cancel by e‐mailing, mailing, faxing, or delivering a written notice to the
contractor (Exhibit A – Notice of Cancellation Form) at the contractor’s place of
business by midnight of the third business day after you received a signed and dated
copy of the contract that includes this notice. Include your name, your address,
and the date you received the signed copy of the contract and this notice.

Owner’s Printed Name Co‐owner’s Printed Name

Owner’s Signature Co‐owner’s Signature

This document was developed through coordination of the California Contractors State License Board and the California Public Utilities
Commission pursuant to Business and Professions Code section 7169.

Solar Investment Tax Credit

The Solar Investment Tax Credit generally benefits those who have tax liability. Elite Energy Homes and all
its associated representatives and related parties are in no way tax professionals and any questions
regarding the Solar Investment Tax Credit should be directed to a tax advisor.

Customer acknowledgement

I , understand the general nature of the ITC. I understand
that it is not a discount from the purchase price of the system. I understand that the ITC is not a tax rebate,
that I will not receive a check from the IRS in the amount of my system. I also understand that if I do have
tax liability that I will only receive a credit from the IRS in the amount that I am liable for. I further
understand that I should consult a tax professional to determine if I will be able to claim the credit on my
federal taxes. I certify that no one from Elite Energy Homes or anyone representing Elite Energy Homes has
made any guarantees or promises regarding the nature of this tax credit and whether or not I will be able
to use it to apply to my federal tax liability.

Signature: Date:

Co-Signature: Date:

Home Improvement Contract CSLB # 1060358

PURCHASER INFORMATION Date:
Purchaser’s Name: Co‐Purchaser Name Email Address:
Home Phone: Work Phone: Cell Phone:
N/A
Mailing Address: City State: Zip Code:
N/A N/A N/A N/A
Installation Address (If different): City: State: Zip Code:
County:
N/A
Utility Name: Utility Account Number: Utility Meter Number: Customer Name on Account:
N/A N/A N/A N/A
SYSTEM INFORMATION Elite Energy Homes (“Contractor”) agrees to procure and install a solar electric power system at the address

indicated above as described below:

System Size (kW): Estimated Year 1 Production (kWh): Roof Type (if roof mount):
N/A N/A

Roof Mount Solar System Ground Mount Solar System Re‐Roof

Quantity of Modules: Manufacturer: Model:
N/A N/A N/A
Quantity of Inverters: Manufacturer: Model:
N/A N/A N/A
Quantity of Batteries: Manufacturer: Model:
Quantity of Generators: Manufacturer: Model:
SYSTEM INSTALLATION
Installation shall begin approximately N/A ,2020 (approximately 20 days after Credit Approved) and will be
completed approximately N/A ,2020(approximately 10 days after Permit Approved).
Purchaser agrees that Contractor and Contractor’s certified installers shall not be responsible for delays in delivery, construction or installation of
the solar electric system caused by Purchaser, Purchaser’s agents, new construction, fire, acts of nature, strikes, production and/or shipment delays,
material shortages, war, terrorism, government or utility regulations, permitting or inspection delays, payment disputes, change orders, financing
delays, soil conditions, and/or any other matters of conditions beyond Contractor’s control. Failure of Contractor, without lawful excuse, to

substantially commence work within 120 days from the approximate date specified above is a violation of the Contractors’ State License Law. Extra
work and change orders become part of the contract once the order is prepared in writing and signed by parties prior to the commencement of any
such work.

Comments:

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Home Improvement Contract CSLB # 1060358

PRICING Cash / Check Financing
Gross Price of Work: $ N/A Finance Company: _N/A
Loan term: _N/A

Financed amount for Work:

Cash price for Work:
Down Payment (if cash $1,000 or 10%
of contract price, whichever is less
due, due at signing):
Progress Payment 1 (50%)
(due upon completion of design):

Progress Payment 2 (remainder)
(due day of installation):

Total Price (includes all applicable tax,
equals Total Contract Price for Work):
$ N/A
$ N/A

$ N/A

$ N/A

N/A
$

N/A
$

Total Rebates/Discounts: $ N/A
Total Cash Amount: $ N/A
Down Payment: $ N/A
Balance: $ N/A
To be paid in installments as set forth on the right. The schedule
of progress payments must specifically describe each phase of
work, including the type and amount of work or services
scheduled to be supplied in each phase. IT IS AGAINST THE LAW
FOR A CONTRACTOR TO COLLECT PAYMENT FOR WORK NOT
YET COMPLETED, OR FOR MATERIALS NOT YET DELIVERED.
HOWEVER, A CONTRACTOR MAY REQUIRE A DOWN PAYMENT.
Upon successful completion of all work and satisfactory
payment being made in full, Contractor shall furnish a full and
conditional release from any claim or mechanic’s lien for that
portion of the work.
It is against the law for a contractor to collect payment for work
not yet completed, or for materials not yet delivered. However,
a contractor may require a down payment.
SIGNATURES You, the Purchaser, may cancel this transaction at any time prior to midnight of the third business day after the date of this

transaction. See attached Notice of Cancellation for an explanation of this right.

Consultants Printed Name:
Scott Wallace

Consultant’s HIS Reg. Number
N/A

Consultant’s Signature Date Signed
Owner’s Printed Name: Owner’s Signature Date Signed:
Co‐Owner’s Printed Name: Co‐owner’s signature: Date Signed:

Final Approval CEO / President / CFO / COO
Signature:
Date Signed:

By signing above, Purchaser acknowledges that they are familiar with the contents
of this agreement, and that they will be available for all city and/or county
inspections. Purchaser also agrees and acknowledges that they are responsible to
carry fire and all other necessary insurances regarding any purchase from this
agreement.

ESTIMATE AND PROPOSAL. Contractor offers to furnish the materials and arrange for delivery and installation, as

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specified in this Agreement, the attached sketches, and equipment specification sheets, for the total price shown and any
additional changes thereto. Purchase price is subject to change if the 1st progress payment (for ordering equipment,
system engineering and design) is not received within 30 days of this agreement date or if the start of installation is
delayed beyond 120 days of this agreement date due to delays in new construction or a meter set at the property. If the
installation cannot be made in accordance with the law, the offer will be withdrawn and any payments you have made,
less any fees incurred, will be refunded to you. If the cost of equipment increases by more than 20% from the solar
equipment manufacturers, Contractor reserves the right to cancel this agreement and refund all monies paid back to the
customer.
DELAYS IN INSTALLATION. Purchaser agrees that Contractor and Contractor’s certified installers shall not be responsible
for delays in delivery, construction or installation of the solar electric system caused by Purchaser, Purchaser’s agents,
new construction, fire, acts of nature, strikes, production and/or shipment delays, material shortages, war, terrorism,
government or utility regulations, permitting or inspection delays, payment disputes, change orders, financing delays, soil
conditions, and/or any other matters of conditions beyond Contractor’s control.
ENTIRE AGREEMENT AND CHANGES IN PROPOSAL. This Agreement constitutes the entire agreement between Purchaser
and Contractor relating to the materials, labor, and services referenced herein. Changes to the terms of this Proposal and
Contract must be in writing and expressly signed by Purchaser and Contractor to have any effect. EXTRA WORK AND
CHANGE ORDERS BECOME PART OF THE CONTRACT ONCE THE ORDER IS PREPARED IN WRITING AND SIGNED BY THE
PARTIES PRIOR TO COMMENCEMENT OF ANY WORK COVER BY THE NEW CHANGE ORDER, THE COST TO BE ADDED OR
SUBTRACTED FROM THE CONTRACT, AND THE EFFECT THE ORDER WILL HAVE ON THE SCHEDULE OF PROGRESS
PAYMENTS. ANY HAZARDOUS MATERIAL WILL BE A COST ADDED TO THE CONTRACT AND IS OUTSIDE OF THE NORMAL
SCOPRE OF WORK.
PAYMENT. Purchaser agrees to pay Contractor the total price, which includes applicable tax, according to the schedule set
forth above, including any change orders or extras caused by unforeseen conditions or requests of the Purchaser. Upon
request Contractor shall furnish a statutory conditional waiver and release form prior to receipt of the next payment.
Contractor will charge at the rate of 1.5% per month for all balance past due per the Payment Schedule. Purchaser agrees
to pay all collection costs (including attorney fees and court costs) incurred by the Contractor to collect past due amounts.
CANCELLATION FEE. Purchaser may cancel this Agreement after the 3‐day rescission date and before installation is
commenced by providing written notice to Contractor. Upon cancellation, Purchaser shall be liable for all costs incurred by
Contractor, including any restocking charges, profit and overhead that would have been earned if the contract had been
fully performed.
MONITORING. Purchaser agrees that that they will be responsible for monitoring the energy production of their solar
system. Purchaser will be provided with information about monitoring from Elite Energy Homes, however, the actual
monitoring of the system and its production must be done by the Purchaser. Elite Energy Homes does not
independently monitor any system. Any problems noted by the Purchaser should be reported to Elite Energy Homes
immediately.
WARRANTY INFORMATION. Upon payment in full, Contractor shall provide Purchaser with the manuals, manufacturer’s
warranty for the panels, inverter, and batteries (if included) and a ten (10) year workmanship warranty. If Purchaser does
not make payment in full within twenty‐one (21) days of the due date, including payment for all change orders or extra
costs caused by unforeseen conditions or requests of the Purchaser, all warranties will be considered suspended and non‐
enforceable until full payment is received from the Purchaser.

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Roof Warranty ‐ All roof penetrations we make for your System will be watertight. This warranty will run the longer of (a)
ten (10) years or (b) the length of any existing installation warranty or new home builder performance standard

for your roof. However, the roofer or roofing material manufacturer (but not the Contractor) shall be responsible for any
workmanship or product warranty for re‐roofing.
Damage Warranty ‐ We will repair damage we cause to your Home, your belongings or your Property or pay you for the
damage we cause, as limited by pre ‐existing conditions, for the full Term (except damages that result from our roof
penetrations, which damages are covered for the first ten (10) years of the Term).
Purchaser agrees that THE LIMITED WARRANTIES DESCRIBED HEREIN SHALL BE THE PURCHASER’S EXCLUSIVE AND SOLE
REMEDY WITH RESPECT TO THE SERVICES, SALE, MATERIALS, SOLAR POWER SYSTEM, INSTALLATION OR THE WORK
PERFORMED IN CONNECTION WITH THE SOLAR POWER SYSTEM. THERE ARE NO WARRANTIES WHICH EXTEND BEYOND
THE COVERAGE PROVIDED IN THE LIMITED WARRANTIES. THE LIMITED WARRANTIES SUPERSEDE AND ARE PROVIDED IN
LIEU OF ALL OTHER WARRANTIES OR GUARANTEES WHETHER EXPRESSED OR IMPLIED, INCLUDING, WITHOUT
LIMITATION, WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE. Contractor’s agents have
no authority to give warranties or guarantees beyond these provided herein.
WATER LINES AND SPRINKLER SYSTEMS. Purchaser to assist in identifying prior to site survey all irrigation and water lines
(pipes). As a convenience to the Purchaser, should Contractor break an unidentified water line, Contractor can repair it for
an additional cost.
CLEAN UP AND REMOVAL. Job site will be returned as close as practical to its original state.
INSURANCE. Contractor carries commercial general liability insurance and workers’ compensation insurance for all
employees. WRITTEN PROOF OF GENERAL LIABILITY AND WORKERS’ COMPENSATION INSURANCE WILL BE PROVIDED
UPON REQUEST.
TRUE‐UP BILL. Most utility companies will provide a monthly energy statement form that help to track the amount of
energy produced by the solar system and the actual amount of energy used. If there is a difference between the amount
produced and the amount used, the utility company will make a note of that difference. If, at the end of one year, the
energy used exceeds the energy produced, the Purchaser will owe the utility company for the energy that exceeded the
output of the system. Such a sum will be provided in the annual “True‐Up” bill that is presented to the Purchaser on the
one year anniversary on the date which the Purchaser received Permission to Operate (PTO). Purchasers who receive a
True‐Up bill are responsible for paying the amount due to the utility company.

Purchaser Initials: /
NOTICES. Any and all notices or other matters required or permitted by this Agreement or by law to be served on, given
to, or delivered to either party shall be in writing and shall be deemed duly served, given, or delivered when personally
delivered to the party to whom it is addressed or in lieu of such personal service, when deposited in the United States
mail, first‐class postage paid, addressed to the addresses specified on the first page of this Agreement. Either party may

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change the specified address for the purpose of this paragraph by giving written notice of such change to the other party
in the manner provided in this paragraph.
ARBITRATION PROVISION. Any dispute controversy or claim arising out of or relation to this Contract, or the breach
thereof, shall be settled by binding arbitration and judgment upon the award rendered by binding arbitration under the
rules and regulations of the American Arbitration Association. Any decision or award rendered in any arbitration may be
made a judgment by any court of competent jurisdiction. If any party refuses or neglects to appear or participate in such
arbitration hearings, such acts shall be conclusively deemed an act of bad faith, and the arbitrator(s) are empowered to
decide the controversy in accordance with whatever evidence is presented, and are authorized to award reasonable costs
and damages, including those for bad faith and expenses and reasonable attorney’s fees. The parties hereby waive their
right to bring any legal action and understand they are giving up their rights to discovery and appeal. If any party refuses
to submit to arbitration after agreeing to this provision, they may be compelled to arbitrate under the authority of the
California Code of Civil Procedure. Further, if any party to this Contract, including any agent, shall institute any legal action
against any other party to this Contract, the prevailing party shall be entitled to court costs and reasonable attorney’s fees
in addition to any other relief which may be granted.

INTERCONNECT AGREEMENT. Purchaser may also have the opportunity to enter an “Interconnect Agreement” with his or
her local utility. Contractor makes no representation or warranty concerning the availability or terms of any such
Interconnect Agreement. Contractor agrees to prepare and submit any reasonably requested forms to support an
Interconnect Agreement. However, this Agreement is not dependent or conditioned, either expressly or impliedly, upon
Purchaser obtaining any such Interconnect Agreement.
ELECTRICITY GENERATION. Contractor is not responsible for changes in the amount of electrical power generated by the
installed system due to obstructions to the sun such as trees, towers, buildings, or other obstructions; changes in the
season; changes in customer’s electrical usage, or changes in environmental conditions such as weather, precipitation,
smoke, fog, cloud cover, air pollution, etc.
TERMINATION BY CONTRACTOR. If Purchaser fails to make payment at the due dates and in the amounts provided for in
this contract, or in any other way violates the terms or conditions of the contract, Contractor may, upon seven (7) days’
written notice to Purchaser, elect to suspend the work until the default is cured or terminate this contract. The election to
either suspend or terminate shall be solely at Contractor’s discretion. In either case Contractor shall recover all costs
incurred in pursuing the work, including all labor, material and equipment costs or commitments, restocking or
termination charges, demobilization costs and mark‐up on all costs for reasonable overhead and profit.
NOTICE (B&P § 7159(g). You have the right to require the Contractor to furnish a performance bond in connection with
the Project. Contractors are required by law to be licensed and regulated by the Contractors State License Board, which
has jurisdiction to investigate complaints against contractors if a complaint regarding a patent act or omission is filed
within four years of the date of the alleged violation. A complaint regarding a latent act or omission pertaining to
structural defects must be filed within 10 years of the date of the alleged violation. Any questions concerning a contractor
may be referred to the Registrar, Contractors’ State License Board, Post Office Box 26000, Sacramento, California 95826.
UNFORESEEN CONDITIONS / EXCLUSIONS. If unforeseen or concealed conditions are discovered, or if actual conditions
are materially different than as represented by customer, then Contractor shall be entitled to a mutually agreeable change
order adjusting the price and/or time for completion to accommodate such conditions. In the event customer elects not

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to make any such changes, either party may terminate this agreement as provided below. Should any special assessment
or survey be required (i.e. Biological, archeological, flood plain, geological, etc.), it is to be provided by homeowner. Not
included in this contract is an additional charge for expenses, which may be incurred if sub‐surface soil conditions (i.e.
rock, water, underground streams, etc.) are not workable with standard equipment equal to a Bobcat type skip loader. If
any of the above conditions are encountered there will be an additional charge.

Purchaser Initials: /
SHADING. Shading caused by objects (trees, vents, chimney, etc.) surrounding the solar system may affect system output
and rebate amount. The shading effect is going to be measured at the time of site survey. If the Purchaser is planning to
remove or relocate the objects causing the shade, Purchaser must remove or relocate objects prior to completion of
installation. Purchaser is to notify Contractor when/if the objects causing the shade are removed or relocated and request
a re‐measurement from Contractor.

Purchaser Initials: /
REBATES. This agreement may entitle Purchaser to a rebate for a portion of the agreed upon price from the government
or Purchaser’s utility provider. Contractor makes no representation or warranty concerning the availability or amount of
any such rebate. Contractor agrees to prepare and submit any reasonably requested forms to support a rebate
application. Purchaser may apply the rebate amount toward the final payment, that is required to be paid upon
completion of the system, within 120 calendar days after final building permit sign‐off without interest. After 120 calendar
days, after no fault to Contractor, Contractor will charge 7% annual interest on the remaining amount until the final
payment is received in full.
MECHANICS LIEN WARNING. Anyone who helps improve your property, but who is not paid, may record what is called a
mechanics’ lien on your property. A mechanics’ lien is a claim, like a mortgage or home equity loan, made against your
property and recorded with the county recorder. Even if you pay your contractor in full, unpaid subcontractors, suppliers,
and laborers who helped to improve your property may record mechanics’ liens and sue you in court to foreclose the lien.
If a court finds the lien is valid, you could be forced to pay twice or have a court officer sell your home to pay the lien.
Liens can also affect your credit. To preserve their right to record a lien, each subcontractor and material supplier must
provide you with a document called a ’20‐day Preliminary Notice.’ This notice is not a lien. The purpose of the notice is to
let you know that the person who sends you the notice has the right to record a lien on your property if he or she is not
paid. BE CAREFUL. The Preliminary Notice can be sent up to 20 days after the subcontractor starts work or the supplier
provides material. This can be a big problem if you pay your contractor before you have received the Preliminary Notices.
You will not get Preliminary Notices from your prime contractor or from laborers who work on the project. The law
assumes that you already know they are improving your property. PROTECT YOURSELF FROM LIENS. You can protect
yourself from liens by getting a list from your contractor of all the subcontractors and material suppliers that work on your
project. Find out from your contractor when these subcontractors started work and when these suppliers delivered goods
or materials. Then wait 20 days, paying attention to the Preliminary Notices you receive. PAY WITH JOINT CHECKS. One
way to protect yourself is to pay with a joint check. When your contractor tells you it is time to pay for the work of a
subcontractor or supplier who has provided you with a Preliminary Notice, write a joint check payable to both the
contractor and the subcontractor or material supplier. For other ways to prevent liens, visit CSLB’s website at

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www.cslb.ca.gov or call CSLB at 1‐800‐321‐CSLB (2752). REMEMBER, IF YOU DO NOTHING, YOU RISK HAVING A LIEN
PLACED ON YOUR HOME. This can mean that you may have to pay twice or face the forced sale of your home to pay what
you owe.

INFORMATION ABOUT THE CONTRACTORS STATE LICENSE BOARD (CSLB). CSLB is the state consumer protection agency
that licenses and regulates construction contractors. Contact CSLB for information about the licensed contractor you are
considering, including information about dis‐closable complaints, disciplinary actions, and civil judgments that are
reported to CSLB. Use only licensed contractors. If you file a complaint against a licensed contractor within the legal
deadline (usually four years), CSLB has authority to investigate the complaint. If you use an unlicensed contractor, CSLB
may not be able to help you resolve your complaint. Your only remedy may be in civil court, and you may be liable for
damages arising out of any injuries to the unlicensed contractor or the unlicensed contractor’s employees. For more
information: VISIT CSLB’s website at www.cslb.ca.gov, CALL CSLB at 1‐800‐321‐CSLB (2752), or WRITE CSLB at P.O. Box
26000, Sacramento, CA 95826.

************ SIGNATURE PAGE *************

I have read and fully understand the terms above…

Purchaser’s Signature: Co-Purchaser’s Signature:

Confidentiality Notice. This agreement is for the sole use of the intended recipient(s) and may contain confidential and
privileged information; any unauthorized review, use, disclosure, or distribution is prohibited

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Exhibit A
Notice of Cancellation Form
N/A
(Enter date of transaction)

You may cancel this transaction, without any penalty or obligation, within three business days from the above date.
If you cancel, any property traded in, any payments made by you under the contract or sale, and any negotiable
instrument executed by you will be returned within 10 days following receipt by the seller of your cancellation
notice, and any security interest arising out of the transaction will be canceled.
If you cancel, you must make available to the seller at your residence, in substantially as good condition as when
received, any goods delivered to you under this contract or sale, or you may, if you wish, comply with the instructions
of the seller regarding the return shipment of the goods at the seller’s expense and risk.
If you do make the goods available to the seller and the seller does not pick them up within 20 days of the date of
your notice of cancellation, you may retain or dispose of the goods without any further obligation.
If you fail to make the goods available to the seller, or if you agree to return the goods to the seller and fail to do
so, then you remain liable for performance of all obligations under the contract.
To cancel this transaction, mail or deliver a signed and dated copy of this cancellation notice, or any other
written notice, or send a telegram to:

Elite Energy Homes
[insert address]
Not later than midnight of: N/A
Date
I hereby cancel this transaction:
Date

Buyer’s Signature

Confidentiality Notice: This agreement is for the sole use of the intended recipient(s) and may contain confidential and privileged information;
any unauthorized review, use, disclosure, or distribution is prohibited.

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Exhibit B
A NOTE ABOUT YOUR

CERTIFICATES OF WARRANTY & GUARANTEE

Elite Energy Homes is committed to providing excellent and continual customer service to you over the life of your
solar system. It is our pleasure to be your premiere servicer. Should any issue arise with your system, we will
restore your full energy production as quickly as possible.

Elite Energy Homes has complete confidence in the high‐quality equipment used in your solar system, as well as in
the work performed during installation. We are pleased to offer an industry leading 10‐year, full‐service warranty on
all workmanship relating to your solar system. Additionally, we provide a 10‐year, leak‐proof roof guarantee against
any leaks resulting from the installation of your solar system. Additionally, these Warranties accompany all other
warranties that may be offered by the equipment manufacturer or financing products associated with your
installation. Elite Energy Homes only works with tier 1 suppliers and equipment manufacturers.

We are proud to provide all of these guarantees and warranties to protect your investment in solar power and to
ensure your energy solution will serve you for many, many years to come.

Best,
Connie Landrum, CEO

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Exhibit B

Certificate of Limited Warranty
10 Year Full Service & Manufacturer’s Warranties

1. This 10‐year workmanship warranty applies only to systems installed by Elite Energy Homes and includes all
parts and labor for workmanship errors associated with repairing the system. Elite Energy Homes will investigate
requests for service as soon as possible and report findings to Customer. Elite Energy Homes will repair or
replace (in Elite Energy Homes’ sole discretion) issues related to the identified workmanship error. The 10‐year
term begins on the date system passes final inspection by permitting authority. Should Customer make a
warranty claim for an issue that is determined to not be related to Elite Energy Homes’s work, Customer shall pay
Elite Energy Homes a flat fee of $150 to cover the costs of the inspection.
2. The warranty also covers customer’s roof against leaks resulting from solar panel installation for a period of 10
years from final inspection. Elite Energy Homes installations adhere to the highest industry standards for
waterproofing and durability to ensure a clean and leak‐free installation. Customer agrees to contact Elite Energy
Homes at the first sign of a roof leak. Elite Energy Homes will analyze the problem to determine the cause and
report to the customer. If Elite Energy Homes finds the intrusion resulted from our installation, we will then
perform the repairs needed to fix the leak. Leak warranty does not cover damages resulting from roof leaks.
Customer must cooperate and communicate with Elite Energy Homes with respect to any and all warranty claims
and provide Elite Energy Homes with access to the site to address any warranty items or warranty is null and
void. Should Customer make a warranty claim for a roof leak issue that is determined to not be related to Elite
Energy Homes’s work, Customer shall pay Elite Energy Homes a flat fee of $200 to cover the costs of the
inspection.
3. Guarantee does not cover damages due to accidental, incidental, or intentional acts, including but not limited
to acts of God (e.g., earthquakes, fire, hail, windstorms etc.) or damage due to actions or inactions by the owner.
This guarantee does not contemplate or in any way impose a duty on Elite Energy Homes to provide pest control
services, devices, or improvement materials designed to prevent or remove pests (such as pigeons, rodents,
insects, etc.) from solar arrays. The exclusive remedy under the limited workmanship warranty is repair or
replacement of equipment (in Elite Energy Homes’s sole discretion).
4. Elite Energy Homes grants you (the end‐user who first put the solar system into operation correctly or the
person who has purchased the solar system from such an end‐user during the warranty term), a Limited
Workmanship Warranty. Elite Energy Homes shall be notified in writing of the assignment within thirty (30) days
from the sale of the property where the solar system was originally installed. If the solar system is moved from
the original location of installation the Limited Warranty is void.

MANUFACTURERS’ PRODUCT WARRANTY

The manufacturers of your panels and inverter system warrant their products to be defect free and guarantee
their production. Please see the specific manufacturers’ warranties for details.

中文
한국어
PUTTING SOLAR ON YOUR HOME IS
AN IMPORTANT FINANCIAL DECISION.
DON’T SIGN A CONTRACT UNTIL
YOU READ THIS DOCUMENT!

Watch out for false claims 2
Know your rights 3
Ask solar providers
these initial questions 4
Step 1: Ask is solar
a good fit for me? 5
Step 2: Understand
roles and the solar process 7
Step 3: Find a qualified
solar provider 9
Step 4: Compare your
financing options 12
Step 5: Learn about
electricity bill savings 16
Step 6: Carefully
read all paperwork 20
Step 7: Review
additional resources 21
Step 8: “Before
you sign” checklist 22
Step 9: Sign this guide 23

This guide provides important information to
homeowners thinking of going solar.

This guide is from the California Public Utilities
Commission (CPUC), a government agency that
regulates privately-owned utilities like Pacific Gas and
Electric Company (PG&E), Southern California Edison
Company (SCE), and San Diego Gas & Electric
Company (SDG&E).

PG&E, SCE, and SDG&E customers must initial and sign this guide to
connect a residential solar system to the electric grid. The CPUC
requires these companies to collect your signed copy of this guide to
ensure that you know your rights and have enough information to make
a decision. (This requirement does not apply to solar thermal systems or
solar systems in new home construction or multi-family buildings.)
Guide Accessibility
• Audio recording available at 855-955-1535.
• Español, , , Tiếng Việt, and
Tagalog versions available at 866-849-8390.

You should understand and initial the first 4
pages and sign at the end of this guide before
you sign a contract for a residential solar system.
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This guide is available at this government website:
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What’s Inside
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CALIFORNIA
SOLAR
CONSUMER
PROTECTION
GUIDE
Published January 2021

If you think you have been a victim of solar fraud, you may file a
complaint against a contractor or home improvement salesperson
to the Contractors State License Board (CSLB) at 800-321-CSLB
(2752) or www.cslb.ca.gov/consumers.
To file a complaint against a financing company, visit
www.dfpi.ca.gov/file-a-complaint.

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Watch Out for False Claims
Most solar providers are honest and fair. However, there are still some false claims
you need to watch out for. Do not do business with a salesperson who makes one
of these false claims.

False Claim The Truth
You can get free
solar energy at
no cost to you.

Solar energy is rarely free. An honest company will
be upfront about all the costs you will pay over time.
There is one exception: a few government-funded solar programs
offer free or low-cost solar to low-income households. Go directly to
page 6 to see what government-approved organizations run these
programs.

You will never pay
an electricity bill
ever again after a
solar system is
installed.

After going solar, you will typically pay a small
electricity bill every month and a larger electricity bill at
the end of the 12-month cycle. See page 18 for an
example.
Customers who take out a solar loan or sign a lease or power
purchase agreement will also receive a monthly bill from a loan
company or solar provider.
If you use Property Assessed Clean Energy (PACE) financing, you
will also make a payment once or twice a year with your property
taxes or monthly with your mortgage payment.

Time is running out
and you must quickly
sign an electronic
tablet to get solar.

An honest salesperson would never rush you
to sign anything without giving you time to
review what you are signing.
California law requires that a salesperson show you the contract terms
before you sign.

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to read this entire 24-page
guide before signing a contract.
The CPUC recommends that solar providers
give out this guide during their first contact
with
potential customers. Do not feel pressured to
read this guide while the salesperson waits. Ask
them to come back at a later date to allow you
time to read it.
If you are a PG&E, SCE, or SDG&E customer,
a solar provider must give you time to read this
guide before you sign a contract for solar. If
they do not allow you to read this guide, they
cannot connect your solar system to the electric
grid, and you should report them to the to the
Contractors State License Board (CSLB) at
800-321-CSLB (2751) or
www.cslb.ca.gov/consumers.

to a copy of a solar contract
and financing agreement in
the language in which the
salesperson spoke to you.
If a solar provider or salesperson comes to sell
you solar panels and speaks to you in a
language other than English, they must give
you a copy of the contract in that language.
Also, if you prefer to read this guide in
Spanish, Chinese, Korean, Vietnamese, or
Tagalog, the solar provider or salesperson must
give you this guide in that language.

to a Solar Disclosure Document
from your solar provider.
By law, a solar provider must provide you
with a completed Solar Energy System
Disclosure Document created by the
Contractors State
License Board (CSLB). This one-page
document shows you the total costs for the
solar energy system. A blank version of this
document is available at
www.cslb.ca.gov/consumers/solar_ smart.

to a 3-day cancellation period
after signing a contract.
You have at least three business days to cancel
your contract for any reason. You may cancel
the contract by emailing, mailing, faxing, or
delivering a notice to your solar provider by
midnight of
the third business day after you received a
signed, dated copy of the contract. If you are 65
years
of age or older, you have five days. Note that
different rules may apply for contracts
negotiated at a company’s place of business.
If your solar provider refuses to cancel the
contract, report them to the CSLB at 800-321-
CSLB (2751) or www.cslb.ca.gov/consumers.

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Know Your Rights

You have the right…

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Ask Solar Providers These Initial Questions
Before You Sign A Contract

What is your Contractors State License Board (CSLB)
license or registration number?
Ask for the solar provider’s CSLB license number. If you were contacted by a telephone or door-to-door
salesperson, ask for their individual home improvement salesperson (HIS) registration number, too. Then
check the license and, if applicable, HIS registration numbers to make sure they are valid and associated
with the solar provider by going to www.cslb.ca.gov/consumers or calling 800-321-CSLB (2752).
• CSLB License Number is: 1060358
• (If applicable) HIS Registration Number is: N/A
The CSLB license must be active and in classification C-46 (Solar Contractor), C-10 (Electrical
Contractor), or B (General Building Contractor) in order to be valid. If your solar provider does not have
a valid contractor license, do not sign a contract with them and report them to the CSLB.
What is the total cost of the solar energy system?
If you are considering a solar loan, lease, or power purchase agreement, also ask:
• Is there a down payment?
• How much will I pay per month? When will these payments increase and by how much?
If you are considering PACE financing, also ask:
• How much will I pay once or twice a year with my property taxes or monthly with my mortgage?
• How many years will I pay this amount?
If I sell my home, what are my options and what do I need to do?
Ask your solar provider, lender, or PACE program administrator to show you where in the contract it
describes what happens when you sell your home.

OK, I read these 4 pages. Now what?
• For other important questions to ask a solar provider before you
sign a contract, go to page 10 of this guide.
• If you already understand the information listed in the table of contents
and are getting ready to sign a contract, you can skip to the “Before You
Sign” checklist, on page 22 of this guide.
• For a step-by-step guide for how to go solar, proceed to the next page.
This is recommended, even if you’ve already started the solar process!

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Make sure to get
bids from at least
3

different solar providers.
See page 9 for more
details.

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1 STEP 1:
Is Solar a Good Fit for Me?
Solar photovoltaic panels can capture sunlight on your roof or
property and convert it into electricity. This electricity powers the
needs of your home, such as lights, electric vehicles, and
appliances.

Before you consider getting solar at your home, ask yourself:
Have I made my home energy efficient first?
Reducing your energy use can reduce the size of the solar system you need, potentially
saving you thousands of dollars. Visit www.energyupgradeca.org/home-energy-
efficiency and/or contact your electricity provider for energy efficiency tips and advice on
how to get a home energy assessment. You may also want to ask your electricity provider
about residential demand response programs.
Do I qualify for low-income solar programs?
If you think you might qualify for a low-income solar program, be sure to read page 6.
There are residential solar and community solar programs available for qualifying low-
income PG&E, SCE, and SDG&E customers that could save you money with no financial
contribution.
Is my roof suitable for rooftop solar?
• Does my roof receive a good amount of sunlight or is it mostly shaded? What direction
does the roof face? Roofs that are mostly shaded or face due north are not good
candidates for solar. If you plan to replace your roof soon, you should replace it before
installing a rooftop solar system.
• If your roof is heavily shaded or isn’t in great condition, or if you are a renter, community
solar programs could be a good fit for you. With community solar, you receive 50-100
percent of your electricity from solar projects located across California. Community solar
programs vary and may increase your electricity bill or provide an electricity bill savings.
Contact your electricity provider for more information.

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Low-Income
Solar Programs
Available to PG&E, SCE,
and SDG&E Customers
If you currently receive or qualify
for a discounted electricity bill
through the California Alternate
Rates for Energy (CARE) or
Family Electric Rate Assistance
(FERA) program, you may qualify
for assistance installing solar at
low or no cost using one of the
programs to the right.
You may also qualify for one of
these programs if you live in a
disadvantaged community
(DAC).
A DAC is a neighborhood
vulnerable to multiple sources of
pollution.
To find out if you live in a
qualified DAC, check out the
map:
www.cpuc.ca.gov/solarindacs.

If you are not a
PG&E, SCE, or SDG&E
customer, call your
electricity provider or
check their website to
see if any low-income
solar options are
available to you.

SASH Program & DAC-SASH Program
The SASH Program provides discounted rooftop solar for income-
qualified single families. If you qualify, your family can get assistance
installing solar at low cost. The DAC-SASH program is designed for
CARE- or FERA- eligible single-family homeowners who live in a
DAC. If you qualify, your family can get assistance installing solar.
GRID Alternatives administers the SASH and DAC-SASH programs.
See if you qualify by visiting
www.gridalternatives.org/qualify or by calling GRID
Alternatives at 866-921-4696.
DAC-Green Tariff Program
The DAC-Green Tariff Program is designed for eligible households that
live in a DAC. Participants can have 100 percent of their electricity
offset by solar generation and receive a 20 percent discount on their
electricity bills. In this program, you do not have to install solar on your
roof. The solar is installed elsewhere and the bill credits are assigned to
you.
See www.cpuc.ca.gov/solarindacs for more information on
eligibility and how to sign up.
Community Solar Green Tariff Program
The Community Solar Green Tariff Program allows households in a
disadvantaged community to subscribe to a solar farm within 5
miles of their neighborhood and receive a 20 percent discount on their
electricity bills.
See www.cpuc.ca.gov/solarindacs for more information on
eligibility and how to sign up.

www.cpuc.ca.gov/solarguidepage 6

PACE financing is not a “free government
program." If someone describes it this way to you,
please read about false claims on page 2 of this
guide. You can learn about PACE financing on page
14.

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Solar Providers Electricity
Providers

Salespeople Lenders

Manufacturers

Residentia
l Solar PACE
Administrator
Installers City or County
Inspectors

Solar Providers
Solar providers are the companies that sell you
solar and send installers to your home. Sometimes
they provide financing. They must be licensed. See
page 4.
Salespeople
Salespeople work for solar providers and may call
you or knock on your door. They must be
registered, with some limited exceptions. Ask for
their “home improvement salesperson (HIS)
registration” and check it at 800-321-CSLB
(2752) or www.cslb. ca.gov/consumers.
Installers
Installers are sent by solar providers to your
home to check roof, ground and electric
conditions and to install the solar system. They
must be licensed like a solar provider. See page 4.
Manufacturers
Manufacturers are the companies that make solar
equipment. They provide most solar warranties for
purchased systems.
Electricity Providers
Electricity providers interconnect your solar
system to the electric grid and send you electricity
bills that may include solar bill credits.

Lenders
Lenders provide you with financing if you
have a solar loan.
PACE Program Administrators
Except for a few governmental PACE
programs, PACE financing programs are
managed by PACE program administrators,
which must be licensed. Check their license at
www.dfpi.ca.gov/pace- program-
administrators.
PACE Solicitors and PACE Solicitor Agents
PACE solicitors are organizations, such as
contractor companies; and PACE solicitor agents
are individuals, such as home improvement
salespersons. They are authorized by PACE
program administrators to solicit property owners
to enter into PACE financing agreements. Check
their enrollment with a PACE program
administrator at www.dfpi.ca.gov/pace- program-
administrators.
City/County Inspectors
City/county inspectors come to your home to
make sure the system is up to code to ensure your
health and safety.

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2 STEP 2:
Understand Roles and Solar
Process

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Overview of a Typical Rooftop Solar Process

Before You Sign a Contract
You decide if rooftop solar is a good fit for you (see page 5)
You get a home energy assessment to make your home more energy efficient (see page 5)
You look at low-income solar programs to see if you qualify (see page 6)
You research solar providers and compare at least 3 bids (see page 9)
Solar Provider provides you with contract and Solar Energy System Disclosure Document (see page 9)
You qualify for financing, if needed (see page 12)
Lender/PACE
Program
Administrator

writes up financing agreement (if needed)

You review solar contract, Solar Energy System Disclosure Document, and any

financing agreement (see page 19)

You go through checklist on page 22 of this Solar Consumer Protection Guide
You sign this guide, the solar contract, and the financing agreement

After You Sign A Contract
Installer performs a home site visit to confirm assumptions and check roof,

ground, and electric conditions

Solar Provider finalizes system design and applies for building permit with city or county agency
Installer installs the solar system (only after receiving city/county permit)
City/County Inspector inspects system for building permit compliance when applicable
Solar Provider submits application to electricity provider to interconnect solar system to grid
Solar Provider submits city/county inspection approval to electricity provider
You turn on system only after receiving written approval from electricity provider
Electricity Provider sends you your first electricity bill with solar/net energy metering credits (see
page 17) Lender/Solar Provider sends you first bill for solar system or solar energy*

*If you use PACE financing, you will not receive a bill from a lender or solar provider
(the last step above). Instead, your payments will be due once or twice a year with your
property taxes or monthly with your mortgage payment.

It typically takes 1 to 3 months after you sign
a contract for the solar system to be installed
at your home.

After the solar system is installed, it typically takes 2 to
3 weeks to receive approval from your electricity
provider to turn your system on. It could take longer
depending on your circumstances.

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Find Solar Providers that Serve Your Neighborhood
Go to www.cslb.ca.gov, a government website, and click on “Find My Licensed
Contractor." Enter your city and one of the following license classifications: C-46 (Solar
Contractor), C-10 (Electrical Contractor), or B (General Building Contractor).
Go to www.californiadgstats.ca.gov, a government-funded website, to enter your ZIP
code and see a list of solar providers and recent installation costs. Note that these costs are
not verified by the government.
Check to see if your county has a County Contractors Association with licensed solar providers.
Ask friends and neighbors who had solar installed at least a year ago if they recommend a
solar provider and why.

Narrow Down the List to Qualified Solar Providers
First, make sure solar providers you consider have a valid license from the CSLB. It is
illegal for solar providers and their installers to conduct business without a license.
• Go to the Contractors State License Board (CSLB) website at
www.cslb.ca.gov/consumers or call 800-321-CSLB (2752) to see if the solar provider
and installer licenses are active and valid. The licenses must be in the classification C-
46 (Solar Contractor), C-10 (Electrical Contractor), or B (General Building Contractor).
Find out how long the company has been in business and how many installations they have done.
Check out trusted customer review websites online. Since some websites may not be
neutral, check a few different websites to make sure reviews are consistent.
It’s a good sign if companies employ installers certified by the North American Board of
Certified Energy Practitioners (NABCEP), a high standard in the industry.

Get Bids From At Least 3 Qualified Solar
Providers, Compare Bids, and Ask Questions
After you narrow down the list of solar providers, ask for a bid or price quote.
• Look up how to compare solar quotes online, and compare the bids you have obtained.
• Note that the cheapest bid is not necessarily the best option for you. A very low bid
may indicate that a solar provider is trying to cut corners.
The CPUC recommends that solar providers give out this guide during their first contact
with potential customers. Don’t hesitate to ask solar providers a lot of questions up front. A
qualified company will be happy to answer all of them. A sample list of questions is on the
next page.

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3 STEP 3:
Find a Qualified Solar
Provider
For low-income solar programs, go to page 6.

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Questions to Ask a Solar Provider
Before You Sign a Contract

Company Background
What is your company’s contractor license number from the Contractors State License Board
(CSLB)? What is your installer’s contractor license number?
Is the salesperson an employee of your company?
Will you subcontract with another company to install the solar system? If so, what is their CSLB
contractor license number?
How long have you been in business and how many systems have you installed?
Can you provide me with three customer references to call or visit? These customers should have
solar installed for at least a year.
Design & Roof
Is my roof a good candidate for solar? Why?
Does my roof need to be replaced before installing solar panels?
• If yes, how much will that cost, who will do it, what is their license number, and is there a
roof warranty?
Why did you choose this specific design and size for the solar system you are recommending to me?
• Note that a system sized to cover all of your electricity needs isn’t necessarily the best
investment. Typically, a system is sized to around 80-85 percent of your electricity use from
the previous year.
What steps will you take to ensure my roof won’t leak?
Roughly how much will it cost to remove and re-install the panels if I need to replace my roof in
the future, including inspection fees?
Warranties & Performance Of Solar System
Are there warranties for the panels and inverters?
• If yes, how long do they last and whom do I contact to replace these components?
• If equipment such as the inverter fails after the warranty period, how much will it cost to
replace? Are there warranties for labor/construction?
Are repairs and maintenance included in the contract? If yes, who should I contact for
repairs? Will I be able to monitor the performance of the system once it’s installed? If so,
how?
Does the solar provider offer a minimum energy guarantee (common with leases and power purchase
agreements)?
• If yes, how will I be compensated if the system does not produce as much energy as
promised in the contract?

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For questions about financing, read the next section!

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Is there an insurance policy that comes with the solar system, or do I need to take out additional
homeowner’s insurance? Note that this is especially important if you live in fire-prone areas.
What are my obligations in the contract if my solar system stops working due to a disaster like an
earthquake or a fire?
Who has the right to claim the environmental benefits of the power generated by my
system? (See “Getting Environmental Credit for Going Green” on page 18).
Electricity Bill Savings Estimates (see page 17)
Please beware of a solar provider who tells you solar is
free – it is not. See page 2 for more information on false
claims.
Will you explain to me why an electricity bill savings estimate is not a guarantee?
What electricity provider bill escalation rate is assumed in your electricity bill savings estimate?
• Note that the CPUC has capped this escalation rate assumption at 4 percent per year.
What electricity rate plan do you recommend I switch to for solar, and why?
• How long will I be on that rate plan, and how can I compare or change rate plans on my
electricity provider’s website?
• Note that each electricity provider has a rate plan comparison tool or page on its website.
Even though I will continue to pay electricity bills after going solar, I can receive solar bill
credits on my electricity bill. How does that work?
Is there an option to pay my electricity bills monthly instead of annually, so the costs are more even
throughout the year? How do I sign up?
Does my electricity provider offer special rates for solar customers?
Impacts On Future Sale Of Your Home
Will a solar system make it more difficult for me to sell my home or
refinance? For leases, power purchase agreements (PPA), and PACE-
financed systems:
• What happens if the home buyer doesn’t want the solar system or doesn’t qualify to take on my
lease, PPA, or PACE-financed system?
• Are there fees if I need to terminate the contract early to sell my house?
• Are there fees for transferring the lease, PPA, or PACE financing to a new homeowner?
Timeline (see page 8)
When do you propose to start and finish installing solar on my roof?
After installation is complete, roughly how long will it take for my electricity provider to send me
written approval to turn my system on?
What situations would allow me to be released from a contract?

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Pros Cons
• Purchase of a solar system with a solar loan or cash. With a purchase, you own the system.
• Property Assessed Clean Energy (PACE) financing of the upfront costs of a solar system, which
you pay back on your property tax bill. With PACE financing, you own the system.
• Lease of a solar system, in which the solar provider owns the system and “rents” it to you for a
scheduled monthly payment over a set number of years.
• Power purchase agreements (PPA), in which the solar provider owns the solar system and sells
you the electricity it generates for a certain price over a set number of years.
The next few pages contain a quick look at each option’s pros and cons, and then a closer look at each.

Purchase
with
Cash or
Loan

Typically greater return on
investment.
If you use a loan, little or no upfront
costs.
May increase value of home.
You can directly receive tax credits
and deductions. Consult tax
professional to see if you qualify.

You are typically responsible for repairs and maintenance.
This may involve contacting different manufacturers, who
could go out of business during the 10-20 year component
lifecycles.
Some solar loans place a lien on your property. In those
cases, if you do not make your payments, this could
result in foreclosure or make it more difficult to sell
your home or refinance your mortgage.

PACE
Financing

Little or no upfront costs.
May have a longer repayment period
than typical home improvement
loan, which may be preferable.
You can directly receive tax credits
and deductions. Consult tax
professional to see if you qualify.

PACE financing results in a first-priority lien on your
property. Your bank may require you to pay off the
PACE assessment prior to refinancing.
If you do not make your PACE payments, this could
result in foreclosure or make it more difficult to sell
your home or refinance your mortgage.
You are typically responsible for repairs and maintenance.
This may involve contacting different manufacturers, who
could go out of business during the 10-20 year component
lifecycles.

Lease
and PPA

Little or no upfront costs.
Solar provider is responsible for all
monitoring, maintenance, and
repairs.
Minimum energy production often
guaranteed.

Selling home may be more complicated than with a
purchased system. Options typically are: the new owner
must agree to take on the lease/agreement, you continue
making payments, or you buy out the lease/agreement,
which could be thousands of dollars.
Solar provider could go out of business during the
contract period.

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4 STEP 4:
Compare Your Financing Options
The most common solar financing options are:

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A Closer Look at Purchase (with cash or loan)
You can purchase a solar system from a solar provider or manufacturer with a solar loan or
cash. In this approach, you own the installed system. Types of loans include:
• Secured loans: these require an asset that will serve as collateral for the loan – often
that asset is your solar system.
• Unsecured loans: these do not require any collateral, similar to a credit
card. A secured loan is often preferred because it typically has lower interest
rates.
Many solar providers work with lenders that offer solar loans, but you should check with
banks and credit unions as well. Compare offers to make sure you are being offered a
reasonable interest rate.
If you install and own a solar system by the end of 2020, there is a 26 percent federal
income tax credit (ITC) available. Under current law, the federal ITC is scheduled to drop
to 22 percent for systems installed in 2021 and then 0 percent for systems installed after
2021. If you have questions about the ITC or whether a loan is tax deductible, speak to a
Certified Public Accountant (CPA) for tax advice.
Unless you purchase a maintenance plan or your system comes with one, you will be
responsible for any maintenance and repairs. Make sure you save the equipment warranties,
particularly for the inverter, which may need to be replaced sooner than other equipment. If
you sell your home, look for real estate agents and appraisers with experience selling homes
with solar. You may include the system in the house sale just like any other major home
component.

Questions to Ask a Lender About the Purchase of a Solar
System with a Loan:
What is the total cost of the loan over the entire course of the
contract? How much will I pay up front, how much over time, and
for how long? What is my interest rate?
What is my annual percentage rate (“APR”)?
Whom do I contact if I have questions about my loan payments?
Will a solar loan make it more difficult for me to sell or refinance my
home? Will I need to buy out my loan? Whom do I contact?

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A Closer Look at PACE (Property Assessed Clean Energy)
PACE is a financing option that is available in some areas of California. In most places, it
is sold through PACE solicitors and solicitor agents who are required to be enrolled with a
PACE program administrator. In a PACE financing arrangement, a PACE program
administrator finances the upfront costs of a solar system, which you then pay through an
assessment on your property tax bill. With PACE financing, you own the solar system. You
should read and review the terms carefully, and if necessary, consult with a tax professional
or attorney.
PACE financing lasts for a fixed term, typically around 10-30 years, and it is attached to
your house. If you sell your house before you have fully paid the PACE assessment, the
buyer may require you to pay off the remaining balance of the assessment, which could be
thousands of dollars. Some mortgage lenders will not loan money to buyers to purchase
properties with PACE liens unless the full assessment is paid.
Unlike leases and power purchase agreements that require monthly payments, PACE
assessments are typically due once or twice a year, in larger lump sums, with your property
taxes. Given this unique arrangement, it’s important to understand how much you will owe
and when, so that you can set aside enough money throughout the year to cover the amount.
If your house is mortgaged and you typically pay your taxes with an escrow or impound
account, your mortgage company may increase the amount you pay monthly to cover the
anticipated increase to your property tax bill. Discuss how PACE will affect your monthly
mortgage payment before you sign an agreement.
Be aware that if you fail to make your PACE payments included with your property taxes or
mortgage, your home could be put in foreclosure.

Questions to Ask a PACE Program Administrator
About a PACE-Financed System:
What is your PACE program administrator license number?
(Check the license at www.dfpi.ca.gov/pace-program-administrators)
Is the PACE solicitor or PACE solicitor agent I talked to enrolled with you? (Check their enrollment
with the PACE program administrator at www.dfpi.ca.gov/pace-program-administrators)
What is the total cost of the financing over the entire course of the contract?
How much will I owe for PACE financing when I pay my mortgage or property
taxes? How many times a year will I owe this PACE payment?
What happens if I want to sell or refinance my home? Will selling or refinancing be more difficult
with PACE financing? Is there anything I have to do with the mortgage company?
What are the penalties for failing to pay the assessment on time?
Whom do I contact if I have problems making my PACE
payments?

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A Closer Look at Lease & PPA
(Power Purchase Agreement)
With a lease, the solar provider owns the system on your property and “rents” it to you for a
set period of time. A solar provider will install the solar system on your home, and you will
make scheduled monthly payments in exchange for all the electricity the system produces.
A typical lease contract period is 20-25 years.
In a power purchase agreement (PPA), the solar provider owns the system on your property
and sells you the electricity it generates. PPAs are similar to leases, except that instead of
making
a fixed monthly payment for the system, you typically pay for all the power the solar
system generates (a fixed per-kilowatt-hour rate). The contract will specify the kilowatt-
hour rate you pay in the first year and every year after that. This rate should generally be
lower than your current electricity rate. A typical PPA contract period is 20-25 years.
• If you sell your house before the lease or PPA contract is over, you will have to pay the
solar provider the remainder of the value of the lease or PPA or transfer the contract to
the new property owner. Make sure you understand the specific contract terms, since
buying out a lease or PPA can cost thousands of dollars.
• Payments for leases or PPAs will typically increase by a specified amount every year
based on an “escalation clause” or “escalator.” Escalators are typically in the range of a 1
percent to 3 percent increase above the rate you paid in the previous year. Be cautious
of entering into a contract with an escalator higher than that.
• There may be different ways to arrange leases and PPAs, such as paying more up
front to reduce your monthly payments.

Questions to Ask a Lender or Solar Provider About a Lease or PPA
What is the total cost of the solar system or solar energy over the entire course of the
contract? How much will I pay up front, how much over time, and for how long?
Will my payments increase over time? How much will they increase, and how frequently?
Is there an option to make a down payment to reduce my monthly payments (for a
lease) or kilowatt-hour rate (for a PPA)?
What happens if I wish to end the lease or PPA early?
If I end my agreement early, will I owe a balloon payment and/or an early termination fee?
If so, how much will I owe?
Will a lease or PPA make it more difficult for me to sell or refinance my home?
Who will be responsible for monitoring, operations, and maintenance of the solar system?

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Your future energy use is uncertain. For
example, if your family grows, you buy an
electric vehicle, or you decide to turn up
your air conditioning in the summer, your
energy use will go up.

If you sell your home, you could incur
additional costs. For example, if a buyer
doesn’t want to take on a lease or PPA, you
might
have to buy out the contract, which could be
thousands of dollars.
Electricity prices and rates can change over time. Electricity bill
savings estimates typically assume they will escalate, or rise,
by a certain percentage each year (the CPUC has capped the
assumed escalation rate at 4 percent for these estimates). Also,
your electricity provider may require you to switch to a
different rate plan in the future, which could change how much
you save.

Your solar system might
perform slightly worse than the
estimate assumed. For
example, if your area is
unusually dusty, the system
could generate slightly less
energy than estimated.

Before you sign a contract,
ask yourself: if the savings
end up being lower than the
estimated monthly or yearly
savings, does getting rooftop
solar still make sense to me?

Electricity Bill Savings Estimates Do Not Guarantee Savings
Electricity bill savings estimates are educated guesses about how much you could save with rooftop solar.
They are based on several uncertain factors. Here are some reasons why it’s possible that your savings
could be lower than the estimate:
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5 STEP 5:
Learn About Electricity Bill
Savings

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How Electricity Bill Savings Work
If you go solar, your electricity provider will enroll you
in its Net Energy Metering (NEM) program. NEM
allows you to get a financial credit on your electricity
bill when your solar system sends electricity back to the
grid after first powering the electricity needs at your
house. Usually this credit is approximately equal to the
retail rate of energy. This means that you are credited
on your bill about the same amount that your electricity
provider would have charged you for electricity during
that time.
NEM and Your Electricity Bill
Consuming and Exporting Electricity
Since the sun isn’t always shining, solar customers also
rely on electricity from their electricity provider. After
your solar system is interconnected to the grid, your
monthly electricity bill will summarize how much
electricity you took in or “consumed,” from your
electricity provider, and how much electricity your solar
system sent to the grid or “exported.”
Monthly Bill Charges, Credits, and Minimum
Amounts
If you took in more than you sent out to the grid in any
given month, you will see an overall charge on your
bill. If you sent out more than you took in, you will see
an overall credit. Typically, you will be able to carry
forward credits to the next month’s bill, and electricity
usage charges will not be due until the end of a 12-
month period. Note
that many electricity providers require solar customers
to pay a monthly minimum bill each month just like
other customers. This minimum bill may change over
time.
Time-of-Use Rates
PG&E, SCE, and SDG&E solar customers are required
to go on a time-of-use (TOU) rate plan. A TOU rate
plan will charge different prices for electricity depending
up on the time of day. Prices are typically higher
between 4 p.m. and 9 p.m., called “peak” hours, and
lower the rest of the day and at night during “off peak”
hours.
12 Month Settlement Bill
Typically, at the end of a 12-month period, you will
receive a settlement bill, also called a “true up” bill,
that settles all the credits and charges. Even though
going solar can reduce your electricity costs, most
customers still owe some money to their electricity

provider at
the end of the 12 months. See graphic to the right that
shows an example of an electricity bill over a 12-
month cycle for a solar customer.

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This is an example of a settlement, or
“true up,” electricity bill. It could occur
in a different month for you.

$10 $10
$10

$10 $10 $10 $10 $10 $10 $10
$10

If you still have questions after
reading this section, you can find
help at the additional resources on
pages 20-21 of this guide.

Example Of A Settlement, Or “True Up” Electricity Bill
$600

$560

$400

$200

$
Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov Dec

Some electricity providers give you the option to pay
your settlement bill monthly instead of annually. If you
choose the monthly option, your payments will be more
evenly distributed over the course of the 12 months, and
you will not have to worry about paying a potentially
large bill once a year. Be clear with your solar provider
if you want the monthly option, and double-check with
your electricity provider that the correct option was
chosen.
Though it’s rare, if you sent out more electricity than
you took in over the course of the 12-month period, you
are typically eligible to be paid "net surplus
compensation," which is around 2 to 3 cents per
kilowatt-hour. Because this rate is lower than the retail
rate, it is generally not
in your financial interest to install a solar system that
produces more energy than you would use over the
course of a year.
Currently, PG&E, SCE, and SDG&E customers are
guaranteed NEM for 20 years from the time their
solar system starts operating. Your electricity rate,
however, is subject to change. Go to
www.cpuc.ca.gov/electricrates for more details on
how electricity rates work.

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Getting Environmental Credit for
Going Green
When a residential solar system produces electricity, the
system is eligible to receive Renewable Energy Certificates
(REC), which represent the renewable energy that is
generated. If
you purchase a solar system, you own the rights to these
RECs and can make the claim that you’re producing
clean energy and avoiding emissions of greenhouse gases
by going solar. However, if you enter a lease or PPA, the
contract may state that the solar provider or someone else
owns
the RECs. If you do not own the RECs, they can be sold
without your knowledge to other customers who use them
to make environmental claims or comply with clean
energy requirements. And with PACE financing, a local
jurisdiction
may own the RECs. If owning the RECs is important to you,
ask your solar provider who will own the RECs, and check
the contract fine print.

Combining Solar with Storage
When you install battery storage with your
solar system, you can store excess solar
electricity produced by your panels for use
in the evening when the sun goes down.
The software that comes with battery
storage automatically determines whether
to store the extra energy or export it to the
grid to maximize cost savings. Battery
storage can also provide limited back-up
power.
The state-funded Self-Generation
Incentive Program (SGIP) provides
financial incentives to install storage. See
www.cpuc.ca.gov/sgip for more details on
SGIP.

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The Solar Energy System Disclosure Document
This one-page document from the Contractors State License Board shows you the total costs for the
proposed solar energy system. It also has information about your three- or five-day right to cancel a
contract. A solar provider is required to fill out this document. It may be placed as the cover page to the
contract. See a blank version at www.cslb.ca.gov/consumers/solar_smart.
Contract
The solar contract is the legally binding document between you and the solar provider. Make sure
to read it carefully.
Make sure everything you were promised is written in the contract. For example, many answers to
the questions on pages 10 and 11 of this guide should be referenced in the contract.
By law, any contract for solar installation must include:
• Contractor information, including business address and license numbers
• Description of the project, including equipment installed and materials used
• Contract price, plus finance charge and/or down payment if applicable
• Approximate start and end date of the contract term
• Notice of a 3- or 5-day right to cancel the contract (with limited exceptions)
Ask the solar provider what situations would allow you to be released from the contract. For example, if
your solar provider discovers on a site visit that your roof is shaded in a way that wasn’t expected, that
could cancel the contract.
Financial Paperwork
If you are purchasing a system with a solar loan, you will be asked to sign a separate financing
agreement. The lender will provide you with this separate agreement.
If you are purchasing a system with PACE financing, you must sign: (1) a Financing Application and, (2) a
Financing Agreement.
• Before you sign the Financing Application, read it carefully to make sure all the information is
correct, including your contact information, your income, and the cost of the solar energy system.
• The separate financing agreement may be provided by the solar provider, the PACE program
administrator, or a financing institution. If you are using PACE financing, it should include a PACE
Financing Estimate and Disclosure form showing the solar system’s total cost. A link to a blank
version of this document is available at www.cslb.ca.gov/consumers/solar_smart.
Make sure everything you were promised is written into any financing agreement. For example, many
answers to the questions on pages 13 – 15 of this guide should be referenced in the financing agreement.

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Carefully Read All
Paperwork

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page 20
Links with this icon have a resource
available in video format.

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7 STEP 7:
Review Additional Resources
If you still have questions about any aspect of going solar, find resources
in the list below where you can read or watch additional information, or
call someone to advise you.

Electricity Provider Solar Programs
Pacific Gas and Electric (PG&E)
• PG&E solar customer service: 877-743-4112
• PG&E clean energy: www.pge.com/en_US/residential/solar-and-
vehicles/options/ option-overview/how-to-get-started/how-to-get-
started.page
Southern California Edison (SCE)
• SCE solar phone number: 866-600-6290
• SCE solar power at home: www.sce.com/residential/generating-your-own-
power/solar- power
San Diego Gas & Electric (SDG&E)
• SDG&E solar phone number: 800-411-SDGE (7343)
• SDG&E get started with solar: www.sdge.com/residential/solar/getting-started-with-solar
If another electricity provider supplies you with electricity, call them or check their website for
details on their solar programs.
Low-Income Solar Programs
• SASH and DAC-SASH program: 866-921-4696 and www.gridalternatives.org/qualify
• Community Solar Green Tariff program and DAC Green Tariff program:
www.cpuc.ca.gov/ solarindacs
If you are not a PG&E, SCE, or SDG&E customer, contact your electricity
provider for low-income solar options.
Contractors State License Board (CSLB)
• CSLB 24-hour licensing and consumer information: 800-321-CSLB (2752)
• Check a contractor license or home improvement salesperson registration:
www.cslb.ca.gov/ onlineservices/checklicenseii/checklicense.aspx
• CSLB solar smart: www.cslb.ca.gov/consumers/solar_smart
• PACE Financing Estimate and Disclosure form and CSLB Solar Energy System
Disclosure document: www.cslb.ca.gov/consumers/solar_smart

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Department of Financial Protection and Innovation (DFPI)
• PACE financing information: www.dfpi.ca.gov/pace
• Financial services: 213-576-7690; pacehelp@dfpi.ca.gov
• PACE program administrator license check: www.dfpi.ca.gov/pace-program-administrators
• Filing a complaint against a PACE provider: www.dfpi.ca.gov/file-a-complaint
Solar Bills and Net Energy Metering (NEM)
• PG&E how to read your solar bill: www.pge.com/en_US/residential/solar-and-
vehicles/ green-energy-incentives/solar-and-renewable-metering-and-
billing/how-to-read-your- bill/how-to-read-your-bill.page
• SCE understanding your bill: www.sce.com/residential/generating-your-own-
power/net- energy-metering/understanding-your-bill
• SDG&E understanding your NEM statement: www.sdge.com/residential/savings-
center/ solar-power-renewable-energy/net-energy-metering/billing-
information/understanding- your-nem-statement
• CPUC NEM overview: www.cpuc.ca.gov/nem
Solar Financing Guides
• Clean Energy States Alliance (CESA) homeowner’s guide to solar financing:
www.cesa.org/ resource-library/resource/a-homeowners-guide-to-solar-financing-
leases-loans-and-ppas
• CESA una guía práctica de financiación solar para dueños de casa (en Español):
www.cesa. org/resource-library/resource/una-guia-practica-de-financiacion-solar-
para-duenos-de-casa
• CESA/George Washington University rooftop solar financing 101:
www.cesa.org/projects/ sustainable-solar/videos
Other Solar Guides
• Solar Energy Industries Association (SEIA) Residential Consumer Guide to Solar Power:
www.seia.org/research-resources/residential-consumer-guide-solar-power
• Interstate Renewable Energy Council (IREC) Be Solar Smart Consumer Checklist:
www.irecusa.org/consumer-protection/consumer-checklist
• CESA/George Washington University Choosing a Solar Installer:

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https://cesa.org/projects/ sustainable-solar/videos

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STEP 8:
“Before You Sign”
Checklist
8

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Make sure you have completed these items before you sign any
documents!
Remember, take your time and don’t feel pressured to sign a contract. Do not sign
anything if you feel you need more time to do research or think about your decision.
X Check to see if you qualify for a low-income solar program, which has strong
protections for consumers. See page 6.
X Consider making your home more energy efficient before getting solar. This could save you money.
See page 5.
X Get at least 3 bids for solar at your home. See page 9.
X Ask the solar provider for 3 customer references and call or visit them. See page 9.
X Check to make sure the solar provider’s license, and if applicable, the home improvement
salesperson’s registration number, is current and valid with the Contractors State License Board.
See page 4.
X Understand the solar purchasing process, including what happens after you sign a contract for solar.
See page 8.
X Ask the solar provider the contract questions on page 4, 10, and 11 so you understand the
terms of the solar contract.
X If you are financing your system, ask the lender, solar provider, or PACE program administrator
the finance questions on page 13, 14 or 15, so you understand the terms of your financing
arrangement.
X Read the critical information about electricity bill savings estimates on page 16.
X Carefully read all the documents that the solar provider is asking you to sign. These usually include:
1) Solar Energy System Disclosure Document, 2) Contract, and 3) Financial Paperwork. See page 19.
X Save copies of all the documents you sign. The information will be useful if you sell your home,
need to replace your roof, or have any repair or maintenance issues.

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STEP 9:
Sign This
Guide
9

January
2021

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page 23

中文
한국어

Have you read at least the first 4
pages of this guide?
The first 4 pages of the California Solar Consumer Protection Guide contain
important information on false claims to watch out for and your rights.
The CPUC recommends that solar providers* give out this guide during
their first contact with potential customers, so customers may fully
understand what a solar purchase involves. If a solar provider gave you this
guide along with your contract, the CPUC recommends that you take at least
48 hours to read and understand this entire guide before you sign below.

Customer
X I have not yet entered into a contract for solar with the solar provider signing on page 24.
X The solar provider provided me with a complete copy of the Solar Consumer Protection Guide before they
collected my initials and signature below.
X The solar provider gave me the opportunity to read this guide in Español, , , Tiếng Việt, or Tagalog
if they spoke to me in one of those languages.
X I read and initialed the first 4 pages of California’s Solar Consumer Protection Guide. The solar provider gave
me the time to read the entire 24-page guide.
X I was provided an option to sign the Solar Consumer Protection Guide electronically or in handwriting.
X If I was solicited as part of a door-to-door sale, the solar provider offered me the option to sign the Solar
Consumer Protection Guide with a handwritten signature by default. I was also given the option to sign with
an electronic signature.
X If I was solicited as part of a door-to-door sale and did not expressly request an electronic format, a complete
copy of the Solar Consumer Protection Guide was provided in paper format.
X If I choose to sign the Solar Consumer Protection Guide electronically, I am using an email
address that was created and is controlled by me prior to the sale, lease, or power purchase
agreement.

Customer Printed Name Date

Customer Signature

continued on page 24
Do not feel
pressured to read
the complete
document while the
salesperson waits.
Ask them to come back at
a later date to allow you
time to read it.

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STEP 9: Sign This Guide continued from page 23

Solar Provider
X The customer initialed the first 4 pages of the guide.
X The customer signed above before entering into a contract for the purchase, lease, power purchase
agreement, or PACE financing of a solar system or solar energy with the company named below.
X The sales presentation to this customer was principally conducted in this language:

Company Representative Name/Title Date

Company Representative Signature Company Phone

Company Name Company Email

Company CSLB License Number Company CSLB License Classification

*A solar provider is defined in California Public Utilities Commissioner Decision (D.) 18-09-044 as a vendor,
contractor, installer, or financing entity that enters into a contract for a power purchase agreement, lease, or purchased
solar system. Pacific Gas and Electric Company (PG&E), Southern California Edison (SCE), and San Diego Gas &
Electric (SDG&E) require solar providers to upload a signed copy of this page with a signature to their interconnection
portals before interconnecting residential customers in single-family homes to the electric grid. This requirement does
not apply to new home construction, multifamily buildings, or solar thermal systems.

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