Three factors that have made solar energy a viable option for SMEs
Solar energy is the answer to the big question on how to save the environment using clean energy. For many years, however, its use has been limited to residential places. Only larger companies have taken up the use of this form of renewable energy in the business world.
The initial cost of solar installation has been the main hindrance to the use of solar energy by businesses. Fortunately, it is about to end. Mid-sized and small businesses can now harness the benefits of using solar power on their premises. Here are three solutions that have solved the solar energy riddle for SMEs.
Short break-even period
The price of PV panels has fallen drastically over the past five years, and the cost of solar panels is predicted to fall further by about 34 per cent by the end of 2018. The cost of installing a solar panel system is now favourable, and the price of panels is set to reduce even more in the future.
While this trend might be unfortunate for investors, it is an opportunity for small businesses to save money on energy. Before, companies would have taken more than 15 years to break even from the investment. Today, the period is about three to five years.
Efficient battery storage solutions
One limitation of solar energy is that it should be utilised as soon as it is harnessed. Fortunately, there are high-quality storage batteries that can be used to store the power from solar panels. The latest charging batteries in the market can last the lifetime of the solar panels; they have a high capacity and require little to no maintenance. Hence, they cut operating costs significantly.
Power purchase agreements
A solar power purchase agreement is another solution that makes it an economically viable source of renewable energy for businesses. Most installers are willing to install and maintain the panels at zero cost on the business’ premises.
Energy plays a vital role in the productivity and profitability of a business. Using solar energy protects your firm from the effects of inflation and the volatility of the prices of grid power.