Along with the powerful marketing benefits “going green” will accord your business, the benefits of solar power over the long term are impressive. Cheaper energy, and lower maintenance bills are two popular reasons why solar energy is often hailed as a modern miracle for businesses and residential customers nationwide.
Nevertheless, it’s important to be prepared for the initial outlay for a commercial solar power system as well. The cost can be significant, but understanding a breakdown of where your money is going will help you to not only get the best results, but also defray unnecessary expense.
First, the good news for HVAC customers:
According to the Electricity Markets Policy Group, the price opens in a new window of both commercial and residential solar systems in the United States is getting cheaper every year. In fact, it has declined between 6 and 12% every year since 1998, and especially after 2009. This includes the cost of the solar panels themselves, as well as their installation and maintenance.
While the solar panels themselves haven’t changed much, companies are getting better and more efficient about design and installation protocols. Furthermore, the inverters, equipment to turn DC into AC power, have also declined in price, making the price of installation opens in a new window even cheaper, down to an installed cost on average of $3.57 per watt.
Do Your HVAC Homework.
The big takeaway for anyone considering solar power for their commercial building? Doing your HVAC homework is mission critical. First, consider taking advantage of solar investment tax credits. Federal tax incentives (also known as solar Investment Tax Credits or ITCs) may provide savings that make going solar all the more appealing for your bottom line. Often, these offer dollar for dollar tax reductions that can save your business thousands in tax liability. Familiarize yourself with what’s available.
Get to Know Your Neighbors.
Pow-wow with other small businesses in your area about going solar, to take advantage of bulk rate equipment prices. With the rise in popularity for solar purchasing cooperatives, new opportunities for solar installation savings exist for those willing to get creative about how and when they’ll buy.
Think About Net Metering for Solar Energy.
Net metering allows your local utility company to buy back any excess energy generated by your commercial solar system opens in a new window. Depending on the weather, and how much energy you use when the panels aren’t producing, you could theoretically reduce your utility bill to zero! Even if it’s not a complete zero sum, net metering can allow you to make a significant dent in your utility bills over time. If you’re thinking about solar power for your commercial building, you should definitely factor in the potential for enormous savings with this arrangement. Definitely identify your state incentives and policies before you buy.
Understand the benefits and limitations of solar energy for your commercial property before you purchase.
Download our FREE guide to solar power—”What’s Your Solar IQ?”—today to get up to date on the positives and negatives of this groundbreaking new energy technology resource for California.
Thinking about solar power for your home or business? Call Air-Tro today to discuss how harnessing the power of sunshine could save you money! Get in touch today at (626)-357-3535.