In large parts of Australia, commercial power prices are rising, which means operating costs are also rising. When energy prices go up, it’s hard to know how much power will cost in the future, which makes it harder to plan. This is very true for businesses that use a lot of power. But commercial solar systems could save a lot of money on energy costs and help the environment simultaneously. There are now two tax breaks for businesses that use solar power, making the whole system much cheaper.
Understanding the commercial solar energy industry is vital to grow your solar business and to bring in new customers. So, let’s look into this key part of the industry to make the most of this business opportunity.
Going Green Benefits Brands
In the past few years, more and more people have been buying green products and services. Several multinational businesses have made carbon-neutral goals to help fight climate change by reducing greenhouse gas emissions and fossil fuel use. In general, switching to renewable energy is one of the most important things a company can do to lower its carbon footprint.
Solar panels on roofs can be prominent and make a strong statement about the environment. Getting the word out about solar success could be a good way to sell products. Some businesses tell customers about the benefits of solar systems through a plaque on the wall, a press release, or a website.
Solar panels could lower operating costs overall.
Businesses have to pay for electricity, but they don’t get anything in return. Because most businesses rent their energy instead of owning it, this is the case. The solar panels could be put on land owned by the company or elsewhere. Businesses must either sign a power purchase agreement (PPA) or buy a solar photovoltaic system to switch to solar power.
Possible rise in property value
Studies have shown over and over that solar panels raise the value of a home. Commercial property owners who install solar PV systems should expect the same. Solar-powered homes are cheaper to keep up with because they use less energy. Remember that your client must own both the building and the solar system for the solar system to affect the value of the property.
Financial incentives for businesses to put up solar panels
Solar-powered businesses can get two tax credits from the federal government. These financial incentives boost the solar system’s return on investment and shorten the time it takes to get its money back.
Several states and utility companies also give businesses that install solar panels extra tax credits and rebates. Understanding these reasons is essential so you can tell potential clients about them.
Different ways to pay for commercial solar energy
Solar energy systems have high start-up costs, so it is important to ensure that the customer can pay for the project. Commercial solar energy can be paid for in many ways.
- Solar loans
Several ways to get money could help pay for a solar system. Also, customers using solar power for their business can get financing that homeowners can’t.
For example, small businesses can get loans backed by the Small Business Administration. SBA loans have a lot of benefits, like longer payback periods and low-interest rates, but the application process can be tricky. Equipment loans are another option, but companies may have to put down cash.
If a business customer already has cash, it could be a good way to buy a solar system. This cuts down on interest payments, so customers can use those funds to cut down on other costs.
Knowing the answers to frequently asked questions and telling businesses the main benefits of solar panels can help installation companies get a big piece of a growing market.