At Solar Harmonics, we believe that the future of the solar industry lies in commercial solar projects. Unfortunately, the adoption rate for commercial solar remains low because many property owners view their investments with a short-term perspective of just 1-2 years. However, the commercial real estate industry offers significant rewards for going solar, such as instantly increasing property value. Beyond the environmental and electricity benefits, commercial solar also provides substantial tax advantages.
Imagine not only renting out your building but also monetizing your roof and parking lots.
Solar pays for itself in just a few years but continues to produce energy long after it's paid off. For instance, if a tenant pays $5,000 in rent and another $3,000 to PG&E, adding solar allows the landlord to charge $5,000 for rent and $2,500 for electricity.
This approach not only boosts property value but also strengthens tenant relationships by offering them a more competitive overall cost.
While we often recommend solar loans, we also offer solar leases where the tax credit is rolled into the solar payment.
The debt is considered an Operating Lease, not a Debt Service. It’s important to remember that the PG&E bill is a never-ending debt that only increases over time.
At a minimum, solar provides a reliable hedge against future electricity price hikes.
However, when compared to an endless PG&E bill, solar is an obvious choice—even if the breakeven time were 10 years, which it typically isn’t. The long-term savings and stability offered by solar far outweigh the costs of staying dependent on ever-increasing utility rates.
It's true that the California legislature is making it more challenging for commercial solar projects by reducing depreciation benefits and imposing prevailing wage requirements on projects over 15 kilowatts (about 25 solar panels).
These changes have increased project costs, but with smart design, we can avoid the prevailing wage requirement and use more than 50% domestic equipment to secure the Bonus 10% Tax Credit minimum.
While the California legislature works to phase out solar, they’re doing nothing to stop PG&E from continually raising prices.
This means that despite legislative hurdles, the demand for solar will persist because the economic and environmental benefits are too significant to ignore.
We’ve met with countless commercial clients who, despite high electricity prices, hesitate to go solar. It’s mind-boggling that some would rather face the possibility of going out of business due to unsustainable energy costs than invest in a solar solution that could secure their financial future.
We start by thoroughly assessing your energy needs and property to design the perfect solar solution for you. Our team will provide a customized proposal detailing system design, costs, and potential savings, tailored to your specific goals.
Once you approve the proposal, we meticulously design your solar system, selecting the best components for optimal performance. Our skilled installers then ensure a seamless installation process, so your system is up and running quickly.
After installation, we handle all necessary inspections to ensure your system meets the highest standards. Once activated, you'll start generating clean energy, and we’ll provide tools to monitor your system’s performance and savings in real-time.
Installing solar panels can significantly reduce your business's electricity costs, provide energy independence, and offer long-term savings. Solar installations can also enhance your brand's sustainability image, potentially qualify for tax incentives, and increase property value. Additionally, commercial solar projects can offer protection against future utility rate increases.
California offers several incentives, including the Federal Investment Tax Credit (ITC), which provides a 30% tax credit for solar installations, 10% Bonus Tax Credit for using Domestically made equipment. Other incentives include Net Energy Metering (NEM). Businesses may also qualify for accelerated depreciation through the Modified Accelerated Cost Recovery System (MACRS).
The timeline for installing a commercial solar system varies based on the project's size and complexity. Typically, the process can take 3 to 6 months from initial consultation to final installation. This includes time for design, permitting, utility approvals, and installation. However, large-scale projects might take longer.
The amount of space required depends on the size of the solar system and the energy needs of your business. On average, a 1 MW solar system requires approximately 100,000 square feet (about 2.3 acres) of space. Rooftop installations typically need large, unobstructed areas, while ground-mounted systems require open land.
Solar systems generally require minimal maintenance. Regular inspections, cleaning of panels to remove dust and debris, and monitoring system performance are key. Most solar panels have warranties that cover 25 years or more, and inverters typically last 10-15 years, after which they might need replacement.
Yes, there are several financing options available for commercial solar projects, including solar loans, leases, and power purchase agreements (PPAs). Financing allows businesses to spread out the cost over time and often results in immediate energy savings. Some programs also offer zero down payment options.
Solar installations are designed to minimize disruption to your business operations. The installation process is usually quick, and the system can be designed to operate without interfering with your daily activities. Additionally, solar systems often have backup options to ensure uninterrupted power supply.
A site assessment will determine if your property is suitable for solar installation. Factors considered include roof size, orientation, shading, structural integrity, and your current energy usage. If your roof is not suitable, ground-mounted systems or carport installations may be viable alternatives. Please contact us for a no obligation solar proposal.
Net Energy Metering (NEM) allows you to send excess electricity generated by your solar panels back to the grid in exchange for small credit on your electricity bill. This can significantly reduce your energy costs, especially during peak usage times. California's NEM 3.0 program offers not great terms for commercial solar installations, but PG & E are never going down and never cheaper than they are today.
Savings depend on factors such as your current energy consumption, the size of the solar system, and the financing method chosen. On average, businesses can expect to see a significant reduction in electricity costs, often ranging from 20% to 60%. The return on investment (ROI) typically occurs within 3 to 4 years, after which the energy savings contribute directly to your bottom line.
We know finding the best value solar panels can be difficult, so we put together this detailed list of the best of the best so
It is necessary to know what options are available when determining which solar equipment. Different systems best suit different conditions. Ideal for conditions where shade
Understanding the lifespan of solar inverters is crucial for anyone investing in a solar power system. Solar inverters are responsible for converting the direct current
Selecting the right solar panel inverter is a crucial step in setting up an efficient and reliable solar power system. The inverter plays a key
Solar inverters are critical components of solar power systems, responsible for converting the direct current (DC) from solar panels into usable alternating current (AC). Despite
Solar inverters are a vital part of any solar power system, converting the direct current (DC) generated by solar panels into alternating current (AC) that
