How solar PPAs help transit agencies electrify their fleets

As fleets electrify, transit agencies are turning to solar and battery storage under long-term PPAs to control costs and future-proof infrastructure.

June 27, 2025 Phoebe Skok

Mariordo (Mario Roberto Durán Ortiz), CC BY-SA 4.0, wikimedia commons

Transit agencies face growing calls to electrify their fleets. But transitioning from a quick fuel-up-and-go model to a charging-based approach isn’t easy, particularly as it requires a firm supply of stable, affordable electricity.

One increasingly popular approach? Pairing electric vehicle (EV) infrastructure with solar and long-term power purchase agreements (PPAs). The Anaheim Transportation Network (ATN) is one such agency that’s already taking advantage of the model, thanks to a partnership with REC Solar, a California-based commercial solar installer.

As part of a 20-year PPA, REC Solar installed a 514 kW solar canopy that provides charging for ATN’s fleet of 46 battery electric buses. The project is now entering its second year of operation and the charging hub can handle up to 80 buses at full capacity.

Sage McLaughlin, a business development manager at REC Solar, told pv magazine USA that the PPA contract structure is increasingly attractive to transit operators interested in electrifying their fleets.

“You’re thinking, ‘How do I lock in a rate as energy costs are going up,’” she said. “How can I have a fixed rate for 20 years that lets me manage all of my other moving costs? PPAs offer that consistency and predictability.”

She explained that electrifying a fleet comes with a mindset shift: gas up versus charge up. When you’re used to measuring in gallons and fast refills, switching to kilowatts can be tricky. But, McLaughlin explained, the switch also adds financial comfort, as “we can now know our energy costs for 20 years and that adds a lot of security to what is already a complex process.”

It’s also an exercise in balancing immediate needs with long-term flexibility.

The ribbon-cutting at Anaheim Transit Network’s solar EV charging hub. *Image: REC Solar*

“Logistically, you have to think about what you’re solving for now while keeping in mind what the future will look like,” she said. McLaughlin explained that for the ATN project, REC Solar had to develop custom solar canopies that were tall enough to fit the electric buses and provide shade for the charging structures.

“We knew ATN wasn’t always going to be in a position where it’s a 1:1 charger to vehicle ratio,” she added, noting that finding a way to “future-proof” installations for future growth is critical. This is especially true when ATN’s EV hub could power up to 80 electric buses at max capacity. “Everybody is thinking forward, but you also need to plan for what you have now and what you’ll need.”

Battery storage is one way to plan for future needs and lock in opportunities for cost-savings, particularly for transit agencies like ATN that have electric buses in service nearly round the clock. The key is to not get mired in complexity.

“People get stuck in one box or another,” McLaughlin said. “They’re either too intimidated by all their future needs that they don’t start, or they’ll start work immediately without thinking about what comes next.”

It takes a balance. At the end of the day, however, she recommends one thing: action.

“Everything tends to take longer than you think. Don’t be afraid to jump,” she said. “There’s always going to be an edge case that you can’t electrify, but focus on the grand scheme of things. Think of it this way: Would life be better today if you’d acted a year ago? If so, then take that step now.”

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