Read our latest article by our Energy Efficiency Solutions Manager, Luigi Taddeo on the benefits of investing in Solar now.
5 Reasons to invest in solar
In the past few weeks, clients who haven’t been convinced to invest in solar in the past – are now requesting requotes – as the rise in energy prices has resulted in a greater return on investment, on solar projects.
So why should you invest in solar?
Here we outline 5 reasons why now is a good time to consider the benefits solar could have on the future of your business.
✔️ Futureproof your business against rising energy cost
Investing in solar reduces your business’s reliability on the grid and protects your business against rising commodity costs. The Australian Energy Market by nature is a volatile market due to our ageing coal fleet, retiring assets, system outages combined with extreme weather events.
✔️ Take advantage of state and/or federal rebates
STCs and LGCs can significantly reduce the cost of your system. These incentives are scheduled to end by 2030 and their value diminishes over time. The earlier you invest in solar the more value you can get out of these schemes. For example, a business that invested in solar in 2020, has had the advantage of 10 years’ worth of certificates versus a business that delays its decision till next year. In Victoria, there’s also the added benefit of the Victorian Energy Efficiency Certificates (VEEC), which can be used towards a large-scale solar system above 300kW.
✔️ Reduce your carbon emissions
By reducing your carbon emission your company is not only helping the planet, you’re helping to future proof your business. The importance of ESG within supply chains is growing rapidly – before too long you may find there is an increased focus on your business to be meeting certain ESG standards, including carbon emissions. Rooftop solar power is one of the few renewable energy solutions that your business can control onsite. It can significantly reduce your overall emissions making it an attractive investment.
✔️ Cut operational cost
Not only does solar reduce your operational cost by reducing your energy consumption. It provides your business with clean energy delivered immediately to the site bypassing additional billing costs such as energy losses, network charges and demand charges.
✔️ Finance your project using CAPEX or a Power Purchase Agreement (PPA)
Zero to low upfront costs, minimal maintenance requirements, and immediate savings make PPAs an attractive option, however as the unit price is fixed over the contract’s term, a PPA may not be the best option for all businesses. Under a Capex model, a business invests in its own solar infrastructure and bears the full costs for installation upfront. In return, it has full access to the system and all the power generated. The latter option is best suited to companies with the budget to make this investment and those that are positioned to take advantage of government grants and funding initiatives.
So, should every business with a flat roof rush out and get solar? The answer is in your strategic energy plan.
Navigating the solar landscape can be challenging with hundreds of suppliers ready to do business.
To ensure the success of your solar project, contact our experts by emailing energy@sustainablees.com.au or request a FREE solar assessment.
