Commercial solar panel electricity

Adopting solar panels for businesses can be a game-changing strategy for reducing energy bills and demonstrating environmental responsibility. But before investing, it’s important to understand the long-term benefits, costs, and suitability for your operations. 

What are solar panels, and how do they work? 

Commercial solar panels are made up of photovoltaic (PV) cells crafted from layers of semiconducting material, such as silicon. When sunlight hits these cells, they produce an electric current that powers your business operations. 

• Direct Current (DC) to Alternating Current (AC): Solar panels generate DC electricity, which an inverter converts into AC electricity—used in commercial facilities. 
• Energy generation: On average, commercial solar panels produce 200–350W of power under optimal sunlight conditions. Remarkably, these panels can still generate electricity on cloudy days, which is ideal for commercial solar panels in the UK. 

Battery storage: Maximising solar energy for business 

For businesses seeking a reliable power supply, battery storage is a valuable addition. This system allows you to store surplus energy generated during peak sunlight hours for use after dark or on overcast days. Battery systems enhance the efficiency of your solar power for business by reducing reliance on the grid. 

Solar PV vs. thermal panels: What’s the difference? 

Solar PV panels convert sunlight into electricity, making them suitable for powering equipment and systems in your business. 

Thermal solar panels are designed to capture sunlight to heat water or air, offering a focused solution for energy needs like heating systems. 

Both systems can be installed on commercial rooftops and building facades. 

What are the benefits of solar panels for businesses? 

1. Lower operational costs 

Installing solar panels for businesses can drastically reduce electricity bills. With energy costs from suppliers currently averaging around 25p per kWh, generating your own power can lead to significant savings. 

2. Enhanced energy independence 

By investing in business solar panels, you decrease reliance on traditional energy providers and shield your business from rising energy prices. 

3. Improved environmental impact 

Switching to solar panels for businesses helps reduce your carbon footprint. Generating renewable energy on-site lessens the demand for electricity from non-renewable sources, promoting sustainability across your operations. 

4. Positive brand image 

Today’s consumers are drawn to environmentally conscious brands. Adopting solar power for business strengthens your reputation and helps attract eco-aware customers, differentiating you from competitors. 

5. Long-term financial savings 

While commercial solar panel costs may seem high initially, the investment pays off quickly. Once installation costs are recouped, the energy generated becomes virtually free, enabling businesses to reinvest savings in growth and innovation. 

What is the cost of commercial solar panels in the UK? 

The price of solar panels for businesses depends on several factors, including system size and energy needs. Here’s an average breakdown:

System size	Average cost	Break-even time
10kW	£13,000 - £15,000	5 - 6 years
20kW	£16,000 - £30,000	4 - 5 years
50kW	£33,000 - £60,000	3 - 6 years
60kW	£39,000 - £75,000	3 - 5 years
80kW	£50,000 - £100,000	3 - 6 years
100kW	£60,000 - £120,000	2 - 5 years

Most solar panel businesses in the UK require between 30,000–50,000 kWh annually. To calculate your needs and potential savings, consult professional solar installers who specialize in commercial applications. 

Are there any incentives and funding options for solar panels? 

Several funding schemes and government incentives can make commercial solar panels more accessible: 

1. Smart Export Guarantee (SEG) 

Under the SEG, businesses can earn money by selling surplus energy back to the grid. Suppliers set their own rates, making it worthwhile to shop around for competitive deals. 

2. Enhanced Capital Allowances (ECA) 

The ECA scheme allows businesses to claim 100% tax relief on energy-efficient technologies, making it easier to invest in solar panels for businesses. 

3. Renewable Heat Incentive (RHI) 

While the RHI program is closed to new applicants, businesses with existing installations can still benefit from quarterly payments based on renewable heat output. 

4. Lease-Purchase Agreements 

These agreements allow businesses to spread the cost of commercial solar panels while earning income from subsidies. Ownership of the system is transferred after the lease is paid off. 

5. Salix Finance 

This government-backed initiative offers interest-free loans for energy efficiency projects in the public sector, including solar panel installation. 

Do you need planning permission for commercial solar panels? 

Most solar panel business installations are considered permitted developments and don’t require planning permission. However, it’s wise to consult local authorities, particularly if your business is located in a conservation area or within a listed building. 

Are solar panels the right investment for your business? 

Investing in solar power for business involves careful planning, but the rewards make it worthwhile. Key factors to consider include: 

• Energy needs: Assess your business’s electricity consumption to determine the size of the solar system required. 
• Space availability: Ensure you have enough roof or ground space for the desired system size. 
• Budget: Explore funding options and incentives to make the investment more affordable. 

Take control of your energy future 

The adoption of commercial solar panels in the UK is growing as businesses recognise the advantages of renewable energy. By choosing solar panels for businesses, companies not only reduce costs but also future-proof their operations against volatile energy prices. 

Solar energy systems deliver consistent, long-term savings while significantly reducing environmental impact. Whether you operate a small enterprise or a large corporation, fitting this technology can position your brand as a leader in sustainability and innovation. 

Solar panels are an investment in both your company’s profitability and environmental responsibility. Partner with trusted solar providers to design and install a system tailored to your needs, and watch your business thrive in a greener, cost-efficient energy landscape. 

And remember, fixing your rates is another way to take control of your business energy bills and beat price volatility. To start an energy comparison, Call Bionic’s business energy experts on 0800 140 4667 or request a callback.