Solar Panels for Businesses: Your Questions, Answered
Solar panels for businesses make more sense every day. As the price of panels decreases, capacity increases, and fossil fuels grow more and more volatile, businesses are investing in renewables to power their facilities.
At Keen Technical Solutions, we’re answering important questions from decision-makers from several industries. Here’s what we’ve been saying.
Are solar panels worth the investment?
Solar panels are an investment for today. One study, conducted by EnergySage, found that survey respondents averaged $1,950 before solar energy conversion. On average, businesses saved more than $1,400 per month, averaging roughly $500 per month.
How can solar improve my business’s energy independence?
Stable energy isn’t a given. Many areas of the United States experience frequent power outages, with Louisiana, Oklahoma and Connecticut experiencing the most time without power. Keep your business moving by producing on-site renewable energy with solar and implementing energy storage systems designed to meet your needs.
Renewables like solar aren’t just stop gaps, either. Photovoltaic panels deliver consistent power that can be used to supplement your current supply and replace it entirely during low-load periods.
How can I finance my solar panel installation?
Solar panel projects are eligible for tax incentives from local, state, and federal government programs. Many of these programs include advantageous payment schedules, rebates, or even funds to offset upfront costs.
Some of the most common solar panel tax credits are:
Federal Investment Tax Credit – Also known simply as the ITC, this program offers a rebate of up to 26% of your total solar power system costs. The rebate percentage decreases from 26% in 2022 to 22% in 2023, unless legislation is introduced to extend the current rebate rate.
Solar Renewable Energy Credits – The SRECs program focuses is an innovative earned rebate. Connecting your solar panels to the grid, the federal government pays credits for every 1,000 kWhs your system puts into the grid. The more energy you generate, the faster your system pays for itself.
What is the timeline on solar panel ROI?
It can be difficult to offer an answer because of the many variables inherent in power production and consumption. Schedule a visit with our energy consultants for an accurate estimate.
We can use industry averages to offer some insight, however.
For a $20,000 solar panel invest, you can expect:
$3,750 in state incentives and rebates
$4,400 26% Federal tax credit
Final cost: $11,375
Repayment time: 14 years
ROI in 25 years - $26,000
In most cases, medium and large businesses can expect to lower their monthly energy bills by 15-25%. These funds can be invested in revenue-generating aspects of the business instead of simply tossed into the energy grid.
Solar Power for Businesses: Start with Keen Technical Solutions
Solar power is a vital part of short and long-term business strategy. Take control of your energy future with on-site solar panels and energy storage with consultation, design, and construction with Keen. Let’s get started; contact us today.