Solar Panels – The Smart Choice!

Why does installing solar panels make so much sense?

The growth of commercial solar energy  has been monumental in the fourteen years I have been operating in the C & I sector, driven by commitments & conscious efforts towards sustainability and high energy bill costs.Commercial solar panels can be installed on a wide variety of commercial & industrial buildings or premises, even ground mounted, enabling businesses,local authorities,nonprofits organisations, and other companies or institutions  to generate their own clean energy electrical solar power directly into the building for use.

Let’s delve into the primary advantages of why adopting solar energy is a must, the various installation options, and the typical cost considerations that customers should evaluate.

Why you should invest in solar panels

The reasons why business organisations should invest in commercial solar panels fall into three main benefit categories:

Economic Benefits

Operational Benefits

Solar panel systems can enhance energy independence, bolstering the operational resilience of your business. By producing your own clean energy on-site, you diminish dependence on the grid infrastructure creating less reliance & impact. Moreover, solar panels require minimal maintenance. Coupled with warranties and performance guarantees, they offer businesses steady performance and financial benefits for the system’s lifespan, which is often 25 years or longer.

Sustainability Benefits

Incorporating solar energy into your energy portfolio, as opposed to exclusive reliance on fossil fuels, diminishes your carbon footprint. This is crucial for companies striving to achieve sustainability targets under the direction of their investors, workforce, and clientele. Moreover, investing in solar sustainability can significantly enhance your reputation, marking your enterprise as environmentally conscientious to the public.

Types of solar systems in the commercial & Industrial sector

Rooftop solar systems comprise panels mounted atop buildings. They are particularly suitable for commercial entities with extensive, flat rooftops,trapezoidal metal roof areas that receive plenty of sunlight, such as office buildings, warehouses, sports centres,cold stores and distribution centers etc. Such facilities typically have the necessary space to accommodate a system of adequate size that can reduce energy expenses and qualify for various commercial incentives & even if the roof space is limited the introduction of battery storage can further enhance savings & sustainability of further KW energy use.

Ground-mounted systems involve installing solar panels on land, making them a great option for organisations with available and underused property, or for buildings unsuitable for rooftop installations. Unlike rooftop panels, which are constrained by the roof’s orientation, ground-mounted panels can be installed in different orientations based on the energy demand of the building versus the best suited azimuth proving generated energy to meet the energy demand , enhancing energy generation.Typically the decision on panel direction will be part of the initial discussions,surveys at the relevant location.

Solar canopies, also known as solar carports, are structures built over parking spaces and garages that offer shade and protection for vehicles and generate renewable energy. The benefits of solar carports include their non-intrusive footprint, no need for alterations to existing buildings, and their prominent display of a commitment to sustainability. Additionally, solar carports can be equipped with electric vehicle charging stations, providing convenient access to power for EV owners

Key cost considerations for commercial & industrial

Ensuring all costs have been evaluated will give a greater understanding of the financial outlay, payback period & ROI.  

Installation Costs

In general, the costs associated with commercial solar panel installations fall into two categories: hard costs and soft costs. Hard costs encompass the physical hardware.plant and electrical components such as supply cable & switchgear necessary to construct a solar energy system. Soft costs, on the other hand, cover variable expenses such as labor, design,planning,supply chain acquisition and developer overhead.

The selection of equipment is a clear determinant of the hard costs for a solar project.Modern energy only uses Solaredge technologies. Commercial solar panels vary & only Tier 1 bankable panels are provided to our customers.These can differ in brand, efficiency, size, wattage rating & warranties all of which are offered at various price points. Additionally, inverters or optimised systems  convert the dc electricity from the panels into ac into the  building for energy sustainability, and the correct mounting systems, required for mounting the panels.

Several specific hard costs associated with roof-mounted installations need consideration. Panels on flat roofs require tilting and installation at an optimal angle for maximum sun exposure and energy production. Solar panels are compatible with various roofing materials, yet each type necessitates distinct mounting techniques and components. Furthermore, if a roof is nearing the end of its lifespan, it is advisable to replace it before installing solar panels to avoid the expenses of removing and reinstalling the solar system later.Any good company will advise of this at the survey stage & may offer to cost & renew the roof prior to installing the solar project,Modern energy offer this service.

Soft costs, such as labor, fluctuate based on the installation’s type and complexity. Additionally, expenses arise both prior to commencement (such as obtaining and securing the required connection agreements or planning) and post-completion on energising the system, the connection to the grid ). The specifications of the local DNO can impact the  project costs due to infrastructure & transformer upgrades when deemed necessary to accommodate the increased import power loads. Costs can escalate when solar panels are situated further from the electrical  meter connection , as extending over greater distances necessitates larger supply cables which are required to carry current over a distance while meeting the permissible volt drop requirements (BS7671) .Additional trenching or cable management can impact.

Operations & Maintenance (O&M) ServicingCosts

Even the most advanced solar systems are subject to wear and tear from adverse weather exposure and environmental factors such as soling and birds/pests. It is necessary to take proactive measures to preserve the system’s health and ensure it continues to operate at maximum energy output,this is an investment after all!

For this reason, investing in long-term operations and maintenance (O&M) services is crucial. These services can be obtained from specialised providers such as Modern energy or from the original project developer if they are versed. Typical O&M activities include vegetation management to prevent shading, cleaning of panels to avoid dirt build-up & add longevity to the lifespan, and consistent system checks ensuring your investment is providing a good return .Providers of O&M services employ real-time system monitoring to allow proactive services negating or limiting downtime & can identify problems that require urgent maintenance, ensuring the system remains operational and functions at optimal capacity.

Return on Investment & Revenue

As previously stated, customers who opt for solar energy can greatly diminish their dependence on utility companies for electricity, which can lead to substantial reductions in their yearly energy expenses. The savings begin to accumulate rapidly, enabling system owners to recover the costs of installation within a short span, often as brief as 2-5 years, and benefit from a robust return on investment.

Tax Credits & Incentives for Commercial Solar Installations

Offsetting annual investment allowances can reduce the first year outlay costs heavily & thus improve the payback period dramatically & improve the ROI making solar an even greater investment from financial perspective but also a conscious one.

Exporting unused energy back to the grid,although not always ideal, can add further cash payment incentives into your pocket.

Ready to switch to solar?Get in touch with Modern Energy & Electrical Services