Organizations across America are looking for ways to reduce business-as-usual operating costs and achieve efficiencies to improve financial performance – and they are accomplishing this by taking control of their energy usage and associated costs. Energy is a good place to unlock financial advantage and create a differentiating strategy, as energy spend can comprise a large proportion of overhead.
One way that organizations are reducing their energy costs is by generating renewable energy on-site instead of consuming energy from the grid. Leveraging technologies that harness and store renewable energy not only helps with energy cost control, but sustainability efforts as well. Continued growth in adoption of integrated technologies like solar photovoltaic (PV) panels and battery storage demonstrates the growing demand for clean, affordable electricity. 19 GW of new solar capacity were installed in 2020 – a 43% year-over-year growth from 2019. In addition, studies indicate that solar PV and battery storage pairing rates are expected to grow from 5% in 2019 to more than 25% in 2025, a massive growth in adoption.
Why solar PV and battery storage?
Solar PV and battery storage solutions deliver supply, price and carbon certainty. Installing solar PV panels delivers energy cost savings by offsetting a percentage of energy consumption from the grid with lower-cost, on-site generated solar energy instead. Energy is no longer a variable cost – it is a predictable asset that can be leveraged for growth. Organizations are able to lock in a predictable energy rate for the lifetime of the solar PV system, enabling them to better forecast energy spend and operating expenses.
Powering operational processes with solar power can also enable organizations to use energy more efficiently and sustainably throughout their infrastructure. By installing a clean source of power generation, organizations can make a positive contribution to the climate crisis and boost their sustainability credentials, as solar PV technology doesn’t emit CO2 or other harmful greenhouse gases.
What’s more, by combining solar PV and battery storage, businesses can charge their batteries with solar energy and utilize the stored energy during peak price periods, generating cost savings through peak shaving to support demand charge management, as well as time-of-use cost-shifting to reduce energy charges.