Solar PV generation has been one of the cornerstones of the UK’s low-carbon transition. Lately, more businesses are looking at technology to secure energy independence and lower soaring energy costs.
There are still many considerations businesses should review, especially during the energy crisis, so we have put this guide together to answer your questions about generating low cost and renewable energy with what could be your onsite business solar system.
Should your business invest in Solar PV now? The short answer is yes!
Rocketing energy prices and lower solar technology costs mean investments in solar systems are delivering the fastest payback for businesses than ever before.
Now is an ideal time to benefit from long-term cost savings and advance your net zero goals by generating 100% renewable power.
In previous years (before the energy crisis), we’ve seen the return-on-investment for solar photovoltaic (PV) projects pay back between 5 – 8 years. To put that in monetary terms, pre-energy crisis: one client was predicting annual energy savings of £43,000. Now, this has risen to £78,000 today. Of course, the higher the energy costs from grid, the higher the savings in generating your own renewable energy.
As of today, your business can achieve payback within 2-5 years, but this has the potential to improve even further should the energy markets continue to provide uncertainty.
Considering that solar PV systems now have a 25+ year lifespan and are easy to maintain and operate, you can lock in to long-term energy cost savings and future-proof your sustainable energy needs, while protecting your business from continued market volatility.
You can make use of unused space on rooftops or spare land to site your solar panels. This can also supply additional future renewable power needs, such as electric vehicle charging infrastructure and electric heat pumps in place of gas heating systems as part of decarbonisation or electrification strategies.
Finance Solar Systems
If budgets are tight, there is potential to access CAPEX funding options. Whilst the interest in Solar PV has increased recently and systems have become more affordable, many businesses have seen the increase in rising energy costs wipe out any surplus budget that could have been used for this type of activity.
Our solar finance platform covers the complete costs of installing, operating and maintaining your solar asset on a performance-based cost model. Once a project is operational, you repay the investment via your realised energy savings.
Solar PV savings in action
We’re installing 1000s of solar panels with many of our clients, which is part of active sustainability and reducing energy costs through generation campaigns. Approximately, across all sites and businesses combined, we are delivering annual savings of over £1 million in energy costs and over 1,500 tonnes of carbon dioxide.
Winning on energy costs and carbon reduction
Onsite solar installations can deliver immediate cost and carbon advantage, while achieving greater security over supply and energy prices. You can also get ahead of tighter environmental regulations and higher carbon taxes, while future-proofing your organisation to capitalise on the benefits of the electrification of transport and heating. We have also found that many organisations have seen an increase in better business as companies look for sustainable supply chains.
The Highlights:
- The cost of Solar – The cost of Solar systems have decreased over the years making them more affordable to businesses.
- The technology – Solar panels and technology that is part of the whole system has rapidly evolved and is offering best generation results with long life spans.
- Cost of energy from grid – Electricity prices have increased for many reasons, mainly due to the Russian invasion of Ukraine but, Third Party Non-Commodity Costs have also increased – this means your total billable electricity rate is higher. Our blog on third party costs and energy markets can be found here.
- Energy independence and security – The UK’s drive towards net-zero will see us electrify our gas system and become more independent on renewables. Your business can get ahead of any potential impending policies and benefit from cost and carbon reduction.
- New revenue streams for your business – Our National Grid is currently stretched and being upgraded to ensure higher levels of demand and integrate renewables. As the grid is upgraded, schemes such as flexibility markets become available to renewable generators. If you have excess generation available, your business could participate in ensuring the UK’s energy independence through renewables and be paid generously for doing so.
- Generous ROIs – With energy costs from grid the highest we have ever seen, generating your own renewable energy through solar is delivering the best return-on-investments we have ever seen.
Start generating your own on-site renewable energy and enquire about our free desktop feasibility study for Solar PV
