It’s no surprise that as the world becomes more aware of the environmental impact of traditional energy sources, many businesses, organizations, and property owners are turning to solar energy as a solution. The advantages of solar energy are numerous and varied, and they can make a significant difference in your organization’s financial and environmental impact. So, if you’re thinking about going solar, you should know what you stand to gain from it.
Here are the top reasons why going solar could be a game changer for your business:
Reduced Operating Costs:
Perhaps the most tangible and significant benefit of solar energy is the reduction in energy costs. By producing your own electricity through solar panels, you can significantly reduce or even eliminate your reliance on traditional grid energy. This can save you a significant amount of money each year, which you can then use to invest in other areas of your business.
Good Return on Investment:
When it comes to making any big financial investment, it’s important to consider the potential return and payback period. The good news is that solar arrays typically have a payback period of only 3 to 6 years, depending on the system size and financing solution utilized. After that payback, all financial benefits and savings contribute significantly and directly to your ROI, making solar energy a smart financial investment.
Environmental Leadership:
With the growing demand for renewable energy, customers, tenants, and prospective employees are increasingly weighing a property owner’s or company’s environmental policy and commitment to sustainability in their decision criteria. By going solar, businesses can demonstrate their commitment to sustainability and contribute to the adoption of carbon-cutting renewable energy technology, helping to build a more sustainable world.
Tax Advantages:
To further incentivize the deployment of solar energy solutions, federal and state governments provide tax advantages to property owners who go solar. Depending on your tax situation, you could reduce system cost by up to 50% with the federal Income Tax Credit and accelerated depreciation. You can even choose to spread this benefit over the life of a system or retroactively apply it to past tax years.
Energy Cost Stability:
Electricity costs have been rising dramatically over the past decade and continue to do so in a volatile way, making it difficult to budget this line item year over year. With solar energy, you can accurately forecast the cost of your energy use for more than 25 years. Predictable energy rates mean a more predictable budget, making it easier for you to manage your finances.
Improved Property Values:
Not only does solar energy help you save money on energy costs, it can also increase the value of your property. According to the American Association of Appraisers, a building with a solar PV array has a higher market value than the same building without, as well as better resale values for owners. This means that going solar could not only save you money, but also increase the value of your property.
Reduced Carbon Footprint:
Solar energy is clean, renewable, and abundant. Unlike fossil fuels, solar energy does not generate harmful carbon emissions and other greenhouse gases that are known to contribute to global warming. By using solar electricity instead of electricity generated with fossil fuels, your business can reduce its carbon footprint and contribute to a culture of sustainability, which is becoming increasingly important to consumers and investors.
Limited Maintenance:
While a solar array does require some maintenance and cleaning to operate at full efficiency, there is virtually no day-to-day maintenance required. This makes solar energy an easy “tenant” for your business, allowing you to focus on other aspects of running your organization. An experienced solar developer can assist in maintaining a solar PV system to achieve maximum efficiency.
Flexible Financing Options:
There are several financing options available for those interested in going solar:
- Cash purchase: If you have the funds available, you can pay for the entire solar system upfront with cash or a personal loan.
- Solar loans: Many banks and credit unions offer loans specifically for solar installations, with competitive interest rates and flexible payment terms.
- Power purchase agreements (PPAs): With a PPA, a solar company installs and maintains the solar panels on your property, and you agree to purchase the electricity generated by the panels at a set rate for a specified period.
- Solar leases: Similar to a PPA, a solar lease allows you to lease the solar panels from a company and pay a monthly fee for the energy generated.
- Property-assessed clean energy (PACE) financing: PACE financing allows you to finance a solar installation through your property taxes, with the loan paid back over a period of up to 20 years.
There are many great reasons to consider going solar for your business, organization or property. From reducing your operating costs to improving your property values, going solar can provide a range of tangible benefits, including good return on investment, limited maintenance, and tax advantages. Moreover, going solar helps you to demonstrate environmental leadership, reduce your carbon footprint and make a positive contribution to building a more sustainable world.
With energy costs continuing to rise, and incentives for solar investments running out, there has never been a better time to consider going solar. A knowledgeable and experienced solar developer can help you assess your situation and determine whether a solar solution is the right decision for your property. By going solar, you can enjoy a range of benefits, including reduced energy costs, financial savings, and a positive environmental impact.
