Green Energy: Does Solar Power Make Sense For Your Business?
Considering solar as a way to reduce your energy costs and promote your business as environmentally-responsible? Before starting the process, here are a few things to consider and help you determine if solar is a fit for your facility.
3 Steps to Considering Solar Power to Your Business
If you’re thinking about solar power for your business, you’re probably already aware of the advantages of going green. An important benefit is reducing your electricity rate by hedging your costs over the long-term at a discount to current market rates. As a starting point, ask yourself these questions, but we are here to answer any questions you have about exploring your solar options.
Determine if you can put solar panels on your roof
An experienced solar provider can help you determine the technical specifications, but there are a few high-level questions you can ask yourself first.
- Do you own your facility or have 10+ years remaining on your lease?
- Is your roof in fair to strong condition? If you need to replace your roof in the next couple years, it may not be the right time to install panels.
- Do you have unused roof space available? If you live in an area with rooftop incentive programs available, you could turn your rooftop into a revenue stream if you don’t need the energy for your facility.
If a roof-mounted system isn’t feasible at your facility and you have access to an open field or parking canopy, you could still explore solar for your business.
Determine if you want to own, lease, or take advantage of a Power Purchase Agreement (PPA)
Depending on how you choose to pay for your energy and the system, there are a few common financing alternatives you’re likely to see in the market. A Power Purchase Agreement (PPA) is a third-party ownership model where the solar provider owns, operates, and maintains the system. Under a PPA, you are only responsible for purchasing the energy produced by the system based on a customized long-term payment plan at a discount to current market rates.
If PPAs aren’t an option in your area, learn more about financing options that satisfy your state’s regulations.
Research solar installers and financiers
In addition to the energy cost savings, another important benefit of going solar is that it is highly customizable, both in terms of the system design and installation itself and financing options available. Each provider will have a different process, so it’s important to ask questions about what is required of both parties before getting started.
Now is a great time to consider moving forward with a solar energy system for a variety of reasons – such as the decline in technology costs, favorable tax incentives, and state solar programs that are designed to spur development.
To learn more about going solar for your business, watch this webinar.