June 27, 2018 Deciding to install commercial solar panels isn’t something you flip a coin on. It’s an investment and should be considered with a thorough evaluation of the solar energy advantages and disadvantages specific to your unique needs.
To help you make the best business decision, our solar energy engineers at KMB have put together a list of the top advantages and disadvantages to consider when starting your research on investing in a commercial solar energy system.
Solar Energy Advantages and Disadvantages
Can solar energy give your business an advantage? Most definitely. In most instance, the advantages far outweigh the disadvantages, but understanding both sides will help you make the right choice for your business.
3 Solar Energy Advantages for Businesses
Sustainability Leader
As the most admirable advantage of solar energy is the fact that it benefits our environment. And a number of businesses are installing solar panels to demonstrate to their customers and employees about their commitment to reduce our carbon footprint. Investing in solar energy as a corporation speaks volumes about your renewable energy values which can leave a lasting impression with customers, attract and retain top talent, and position your brand as a sustainability leader.
Cost Savings
For most corporations, the primary reason to invest in solar energy is to reduce electric bills and save money. Depending on the efficiency of your installation, organizations could potentially eliminate costs entirely and even earn a profit through solar renewable energy credits (SRECs) and net metering. In those cases, businesses would be compensated for any extra electricity that their solar panels generate.
Reliability
Reducing dependency on the local power grid, solar energy offers reliable energy source if the power goes out. That means you’ll be able to keep business running seamlessly and customers comfortable at a time when your competitors cannot.
3 Solar Energy Disadvantages for Businesses
Location
Commercial solar energy systems may not be for everyone. Sometimes there are situations where solar energy panels may not make the best business sense considering your overall strategy. Your rooftop and geographical location can be limiting factors. If your building is surrounded by other tall buildings or trees, your solar system may not be able to reach its full efficiency potential.
Upfront Costs
The initial capital investment of a commercial solar system can take a few years to start showing a return. Keep in mind that many upfront costs can be mitigated through tax incentives and financing options. But, with any business purchase, it’s crucial to consider how the investment will align with your overall strategy and future plans.
Future Plans
Considering solar energy installation upfront costs are high, it’s not an ideal solution if you’re about to move your business location in the near future. Each system will have a different payback period, but on average, commercial solar systems have a payback period of about 10 years.
KMB Will Help You Determine Your Own Solar Energy Advantages and Disadvantages for Business
Commercial solar installation is an investment. Our goal is to educate clients about the advantages and disadvantages of solar energy to help them make a smarter decision.
As a full-service solar engineering company licensed in the United States and Europe, we take a systematic approach to every PV design project. Our comprehensive photovoltaic engineering solutions include rooftop installations, canopy installations, ground mount install, and multisite programs for a wide variety of industries.
Contact the solar engineers at KMB Design Group at 888-942-9401 to learn more.
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