How to Save on Utilities with a Commercial Solar Energy System
As the cost of traditional energy sources continues to rise, many businesses are looking for ways to reduce their energy expenses. With commercial solar, your business can reduce its energy costs by an average of 75%.
Here are three ways that a commercial solar energy system can help your business save on utilities.
1. Fix your energy costs
US retail electricity prices rose at the fastest rate since 2008 in 2021, and businesses that have not yet switched to solar are paying more for their electricity than ever before. You can avoid paying for expensive utility-generated power by generating your own electricity with a commercial solar energy system. It provides a fixed price for solar energy, making it easier to budget your energy expenses and avoid unexpected cost hikes. By installing a commercial solar energy system, you can prepay your energy bills at a fraction of your current electricity costs.
2. Lower peak demand charges
You can lower your business’s peak demand charges by installing a commercial solar energy system. When there is high electricity demand, utilities charge a higher electricity price, called peak pricing. You can lower your peak demand charges and save on utility bills by offsetting your business’s power during these times. A commercial solar energy system can also help hedge against future price increases, providing long-term savings for your business.
3. Reduce energy consumption costs
Commercial solar energy systems can help your business save on energy consumption costs. You can generate excess energy during peak production, which can be sold back to the utility company through net metering or solar renewable energy credits (SRECs). Solar policies vary state by state, so you should research local incentives in your area.
Net Metering
In some states, businesses with commercial solar energy systems can sell their excess solar power back to the electric utility company. You can receive credits for the excess electricity that your solar energy system generates through net metering. These credits offset the electricity that you need to use in the future, which reduces your energy consumption costs and saves you money on your utility bills. Net metering can generate income for your business and reduce or eliminate your electric bill.
SRECs
If your commercial solar energy system connects to the grid, you may be eligible for SRECs. These credits can be traded or sold to other businesses or entities that want to support renewable energy. One SREC equals 1,000 kilowatt-hours of solar energy generated. The number of SRECs that your business can earn each year depends on the amount of solar power that your solar energy system produces. By selling your SRECs, you can generate additional income from your commercial solar energy system.
Get Started with Commercial Solar
Businesses of all sizes can reduce their utility bills and gain energy independence by switching to commercial solar. By installing a commercial solar energy system, business owners can lock in a fixed price for electricity, reduce peak demand charges, and lower energy consumption costs.
Get your energy needs assessed by an expert at Geoscape Solar to estimate the cost of switching to commercial solar for your business. Invest in your business by finding the financing option that will give you the best ROI.
At Geoscape Solar, we help businesses utilize solar energy for profit. Your business will become energy independent, be able to decrease utility costs, and leverage available solar incentives for a quick ROI.
To discover how installing solar energy on your property will increase your business profitability, contact one of our energy specialists!
