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The Hidden Trap of Escalating Lease Rates - RevoluSun

RevoluSun Blog

The Hidden Trap of Escalating Lease Rates

Kelley Burke

2 August 2025

The Marketing Trick You Need to Know About

Many mainland solar companies advertise incredibly low starting rates – sometimes as low as $0.18 per kWh. It sounds amazing, especially compared to Hawaiian Electric’s rates. But there’s a catch that most homeowners don’t discover until it’s too late: escalators.

What Are Escalators?

An escalator is a clause in your lease that automatically increases your rate every year. Most mainland companies, including industry giant SunRun, built-in annual rate increases of 2.5% to 3.5% every year for the entire 20-year lease term.

Here’s the math that will shock you:

Corporate Mainland Example (Starting at $0.20/kWh with 3% annual escalator):

  • Year 1: $0.20/kWh
  • Year 5: $0.225/kWh
  • Year 10: $0.269/kWh
  • Year 15: $0.312/kWh
  • Year 20: $0.361/kWh

RevoluSun Flat Rate Example ($0.20/kWh for 20 years):

  • Year 1: $0.20/kWh
  • Year 5: $0.20/kWh
  • Year 10: $0.20/kWh
  • Year 15: $0.20/kWh
  • Year 20: $0.20/kWh

The Real Cost Difference

For a typical Hawaii home using 600 kWh per month:

Corporate Mainland Company’s escalating lease: $63,828 total payments over 20 years RevoluSun’s flat rate lease: $57,600 total payments over 20 years

That’s a $6,228 difference for the exact same solar production!

Why Do They Use Escalators?

Escalators serve one purpose: to maximize profits for shareholders. They’re betting that you won’t notice the gradual increases, especially when Hawaiian Electric rates are also rising. But here’s the problem – you’re locked into these increases regardless of what happens to utility rates.

The RevoluSun Difference

We believe in transparency and fairness. That’s why our leases offer flat rates for the entire term. What you pay in year one is what you’ll pay in year twenty. No surprises, no hidden increases, no Wall Street profit-maximization schemes.