If you’re a business owner, the concept of “solar panels for businesses” might seem like a risky move in a complex and confusing market. You may have heard about major Fortune 500 companies going solar, but thought that it might not be feasible for your organization. Maybe you’re considering installing commercial solar panels at some point in the distant future when your organization can afford to make a major investment in something that seems like an environmental “good” rather than a strategic financial decision. Time to shake off that old way of thinking and join the growing chorus of smart business owners that have discovered that commercial solar panels are a great fit for a small to mediums sized business. Solar isn’t just for Intel and Wal-Mart anymore. Businesses of all sizes are capitalizing on the financial opportunities of installing solar, proving that a solar energy system is a key strategic decision that virtually guarantees a solid financial return for your business. Let’s take a look at the numbers – this is a financial decision, after all.
According to EnergySage marketplace data, the average commercial property owner pays around $557 in monthly electricity bills before going solar. After their installation, their electricity bill was reduced by approximately 89%.
So how much does it actually cost to install a commercial solar panel system? The price of buying and installing solar panels has dropped considerably in the last five years, making the economics of solar even more attractive.
Your system size is measured in watts and is dependent on how much electricity you need for your business. (For your reference, an average home installs a 6 kilowatt, or 6,000 Watt, solar panel system to cover their electricity needs.) The cost of a solar panel system is usually measured in dollars per watt. On EnergySage, the average commercial system was priced at $2.87/Watt before any rebates or incentives. Take a look at the table below for price information about different solar system sizes. These prices have already incorporated the solar tax credit. The average cost of installing a commercial solar panel system on EnergySage
SYSTEM SIZE (KW) AVERAGE PRICE EXPECTED PRICE RANGE
25 kW $50,211 $43,750 – $56,350
50 kW $100,423 $87,500 – $112,700
100 kW $200,846 $175,000 – $225,400
250 kW $502,113 $437,500 – $563,500
Note: this table has already deducted the value of the 30% federal income tax credit for solar.