Solar Panels For Your Business – The Average Cost to Install and Potential ROI

Solar panels can significantly reduce your electricity bills and stabilize them for the future. They also add value to your business, as green energy is a great marketing tool.

Choosing whether to buy or lease your solar system comes down to a few factors, including whether you qualify for incentives and the type of system you choose. Buying is an excellent option to avoid high upfront costs and maximize ROI.

Cost to Install

There are several factors to consider when selecting a solar contractor. A good place to start is with their Better Business Bureau rating and certifications. Other important considerations are their warranty length, power production and energy savings potential. A quality solar installer should be able to explain all of these factors clearly to you, including the average cost to install solar panels in Dallas. They should also be able to provide you with an estimate of the cost and savings associated with your particular installation. You will want to determine how much electricity you use regularly. This can be done by examining your monthly energy bills or using a simple online calculator. You will also want to learn about local and state-level incentives. Most notably, utility companies offer solar rebate programs that can significantly reduce the initial investment of your system. Additionally, the Modified Accelerated Cost Recovery System (MACRS) can provide tax benefits over some time. Lastly, you will want to decide whether to purchase or lease your solar panels.

Energy Savings

The biggest benefit of switching to solar is the energy savings you’ll experience. Most businesses pay higher electricity rates than the national average and use a lot of energy, making them great candidates for going solar.

If you’re considering installing a commercial solar system, there are several ways to go about it. One option is establishing a power purchase agreement (PPA) with a local installer, which allows you to eliminate upfront costs by paying monthly for your solar energy system. Another option is to use a utility solar rebate program in your area or a local electric cooperative. These programs compensate for the excess electricity your business produces that is sent back to the grid, similar to a net metering policy. The amount you receive depends on your utility and the size of your solar system. Many local programs also allow you to depreciate your business’s solar equipment over some time via annual tax deductions.

Tax Incentives

A solar system is a large financial investment, but federal and state incentives make it more affordable. You can claim up to 30% of the cost of your solar installation in the form of a federal investment tax credit (ITC). The ITC is applied directly against what you owe on your taxes, meaning that the amount you pay will be reduced or even returned. In addition, local rebate programs and property tax exemptions for solar systems further lower the initial investment. Additionally, many homeowners choose to install energy efficiency upgrades before installing solar, so a smaller array is needed to meet the household’s electricity needs.

Cash is the most straightforward way to invest in solar, but financing options such as loans and Power Purchase Agreements are also available. These options take longer to break even on the initial investment but can result in a higher ROI over time. It is important to weigh all your options when deciding how to finance your solar system in Texas.

Longevity

Your solar system will generate electricity if it receives sufficient sunlight. However, it will require routine maintenance to keep it running optimally. In addition, the size of your facility and energy consumption will determine how many solar panels you need. To calculate this, you can multiply your business’s hourly energy needs by the number of sunshine hours in your area and divide that by panel wattage. In addition to reducing your commercial electricity costs, going solar will help reduce your carbon footprint. Ultimately, this will benefit your brand and reputation as a green business. If you are interested in going solar, the best way to get started is by requesting a free estimate. You can compare quotes from qualified installers and decide which is right for your business. Once your solar energy system is installed, you will be able to reap the rewards for years to come.