Major economic disruption and continuing uncertainty mean that it's more critical than ever for organizations to control and reduce business costs. Many organizations are looking for ways to improve financial performance and achieve cost efficiencies throughout their business – and energy consumption is a good place to unlock financial advantage while still being good social and environmental stewards.
Renewable energy technologies like commercial solar provide organizations with a way to both reduce energy costs during challenging times and to achieve their sustainability ambitions and carbon reduction goals. Unlike many other investments, solar pays back regardless of what interest rates are or how the stock market performs – and it is a 100% renewable resource that is not only the right thing to do financially, but socially as well.
The sun is efficient and reliable – it rises every day and delivers a consistent source of power. Installing a solar photovoltaic (PV) system is a great way to monetize a rooftop, parking lot, or plot of land by transforming these spaces into sources of on-site generation. By harnessing clean electricity from the sun with a solar PV system installed on-site, organizations can generate efficient, clean energy and reduce their consumption from the grid – lowering their cost of electricity and enabling them to reinvest energy savings into other parts of their business.
In addition to energy cost savings, solar enables organizations to lock in a predictable energy rate for the lifetime of the PV system. By running business operations on an efficient source of energy at a predictable rate that is lower than the cost of the grid, organizations can better forecast energy spend and operating expenses as they navigate these turbulent times, providing them with a significant competitive advantage.
There is a general, yet false, assumption that installing renewable energy technologies like solar will be too cost prohibitive. A lack of available capital budgets is not a barrier to accessing renewable energy opportunities like solar – a range of innovative financing methods can overcome these investment barriers.
During these uncertain times, organizations can preserve capital and simply finance a solar PV system with a 7-Year Operating Lease. This innovative financing option is ideal for organizations that prefer to preserve their capital budgets but want to realize the immediate benefits of solar through energy cost savings. It provides organizations with the trifecta of benefits – no capital investment, immediate savings in year one, and large lifetime savings that come from system ownership.
In addition to energy cost savings, organizations can turn solar into a source of revenue by participating in various state-level incentive programs like Solar Renewable Energy Certificate (SREC) incentive programs to receive compensation for the clean energy that their solar PV system generates. Unlike many other financing options, the Operating Lease keeps the incentives with the organization and doesn’t transfer them to the financing entity.
An Operating Lease offers the ability to acquire the solar PV system at the end of the lease term – and at a significantly discounted rate from the original PV system cost, setting the stage for longer-term energy cost control, savings, and revenue generation through solar PV system ownership.
In spite of these challenging times, installing solar with an Operating Lease provides a way to quickly reduce your energy costs and reduce your carbon footprint with no upfront capital – providing much needed operating expense reductions and positioning your organization to be even more competitive moving forward. As we gradually begin to see changes to the economic landscape, organizations that implement sustainability measures by harnessing technologies like solar can turn energy into an asset for top and bottom line growth.
Selecting a commercial solar installer that designs and installs high-quality solar PV systems is critical to ensuring maximum performance from your installation, regardless of what financing method you choose.
At Centrica Business Solutions, we support you on every step of your journey, from understanding your energy goals to optimizing your solar PV system. Every system is customized to your specific business needs in order to maximize energy production and deliver energy savings. We only install Tier 1 bankable components that are backed by 20-year+ manufacturer warranties and are rigorously tested. You can be assured you are receiving top-quality components that will generate maximum energy to power your facility. Our highest quality technology offerings, experienced project management, and professional engineering and design ensure a worry-free investment.
Through our industry-leading 10-year workmanship warranty and 10-year production guarantee, we provide you with peace of mind that your professionally installed solar PV system will generate what we say it will. These best-in-class warranties and guarantees extend well beyond the term of the Operating Lease, so you can be assured that your system will generate positive cash flows – providing a truly worry free investment.
Solar is a financially sound, affordable source of energy. Our team can walk you through available options and help you navigate these opportunities for your business.
Tim Seamans serves as Head of Commercial Solar at Centrica Business Solutions. Tim is a 14 year veteran of the solar industry and has worked with a diverse group of teams to provide clients with an excellent financial return from solar and help build an distributed energy platform for future generations.