Solar Operations and Maintenance (O&M) vs Asset Management - Background
Many system owners are confused about the differences between Operations and Maintenance ( or Solar O&M) and Solar Asset Management (Solar AM). While there is still debate in the industry about what’s O&M and what’s AM, there are some clear distinctions. O&M is the list of site specific, technical activities which enable Solar Electric Facilities (SEF) to produce energy in compliance with applicable rules and codes. Historically, the solar industry sold and installed solar facilities with a ‘set-it-and-forget-it’ attitude without much thought to ongoing maintenance. O&M was often relegated to simple module cleaning and occasional visual inspections. Today, we know that is clearly insufficient and can lead to warranty violations, lost production and electrical safety hazards.
Indeed, HelioPower has built a portion of our business around repairing and servicing solar facilities installed by other contractors.
Major Goals of Solar O&M:
- Increased SEF revenue through production optimization
- Risk reduction for investors and owner operators
- Protecting asset value
- Compliance with local codes and utility regulations
- Reduction of life cycle costs
HelioPower considers Solar O&M to be contained within the scope of Asset Management. AM consists of the administrative and financial tasks required to ensure a SEF’s generation delivers the return on investment anticipated by the owner. Asset Management is generally conducted in the office rather than in the field. These activities include billing and collections, distributions to investors, incentive compliance, accounting and financial reporting, ITC compliance, technical field dispatch and interface with local authorities.
Solar Asset Management Includes:
- Solar O&M (monitoring, maintenance and dispatch) plus…
- Electricity billing and collections (PPA’s)
- Performance analysis and reporting
- Income Tax Credit / US Treasury compliance
- State Incentive and Net Energy Metering compliance (PMRS)
- State and Federal tax payments
- Financial statements and reconciliation
HelioPower provides discrete Solar Site Services, Solar O&M Plans for single system owners, and Solar Asset Management Programs for sophisticated investors and Owner/Operators. We can tailor a plan that meets your unique needs. With real-time data acquisition and performance analytics, regularly scheduled preventative maintenance and thoughtful administration, our clients can enjoy all the financial benefits of system ownership, while eliminating the operations and management headaches.
Please contact Jonah Liebes @ [email protected] to discuss our proprietary HelioPower Shield Solar Asset Management Program as a high value ‘insurance’ program to reduce performance risk and maximize the rate of return of your solar assets.