The Questions a CFO Should Ask Before Approving a Solar Plant

A solar plant is a capital decision, and it deserves the same scrutiny a CFO would apply to any other major investment. A few questions help cut through developer sales language and get to the numbers that actually matter for approval.

What Is the Real Payback Period, Based on Our Actual Consumption?

A generic payback figure means little without the business's own consumption data behind it. Ask for a payback estimate built from an actual site assessment and the business's real usage pattern, not an industry average.

What Happens to the Asset After the Management Period Ends?

The plant doesn't stop generating once the active asset management period concludes. Ask the developer to explain what continues: the plant's expected output, the land's status, and what ongoing maintenance, if any, the business would need to arrange on its own at that point.

Who Is Accountable If the Plant Underperforms?

Find out what recourse exists if actual generation falls meaningfully short of the original estimate, and who is responsible for addressing it. This matters more over a multi-decade asset than it does for most capital purchases.

What Does the Land Sourcing and Approvals Process Actually Cost, and Who Owns That Risk?

If land and approvals aren't already secured, understand who is responsible for that risk during the pre-construction period, and how delays in that stage affect the overall investment timeline.

What Does the Balance Sheet Look Like in Year 10?

Understand the depreciation schedule, the asset's expected book value over time, and how that compares to the ongoing value of the power it continues to generate. This is the question that separates a plant evaluated as a line item from one evaluated as a genuine capital asset.

Bringing These Questions to Dexler Energy

Dexler Energy works through each of these questions with a client's finance team directly, using real site data and consumption numbers, before any commitment is made. A CFO evaluating a solar plant should expect clear, specific answers, not a generic sales deck.