When the customer chooses CAPEX model, He pays for the Installation and owns the installation and is responsible for the maintenance of the solar power plant. The energy produced completely belongs to the customer. The ROI (Return On Investment) for these type of projects is around 3-5 years. After which the customer enjoys free power for the next 22 years.
In this model, the whole investment will be done by the consumer. Consumer usually hires a solar EPC company who installs the solar power system and this is ultimately given to the customer. On a mutually agreed cost per annum, an Operation and maintained (O&M) is done.