Partnership MOU for Solar and Power Installers

What a good one includes

• A detailed breakdown of roles, specifying who is responsible for engineering designs, permitting, physical installation, and final grid interconnection.
• A clearly defined exclusivity period that prevents partners from shopping the solar project to other installers while negotiations are ongoing.
• Explicit terms detailing who purchases, owns, and warrants the solar modules, inverters, and racking systems during the pre-construction phase.
• An access agreement granting the installation team permission to conduct site surveys, shading analyses, and preliminary engineering assessments.
• A clear outline of the projected pricing model, deposit structures, or fee splits, including how pre-development costs are shared if the project is aborted.
• Mutual non-disclosure clauses protecting proprietary engineering drawings, energy yield models, and pricing strategies shared during discussions.

Common mistakes to avoid

• Failing to clarify whether the MOU is legally binding, which can lead to unexpected liabilities or unenforceable exclusivity clauses.
• Omitting a clear expiration date or sunset clause, leaving your business indefinitely tied to a stalled or inactive solar development.
• Glossing over the utility interconnection responsibility, which frequently causes major timeline delays and unallocated costs later in the project.
• Neglecting to define who owns the preliminary design intellectual property if the partnership dissolves before final contracts are signed.

Frequently asked questions