How To Determine the ROI of Your Commercial Solar Installation
We should all care about the environment, but another reason to install solar panels is that they can save your business a lot of money. If you own a commercial property, you may be surprised to learn just how much of a return on investment you can get with solar installation. With a commercial solar installation, you can kiss utility bills goodbye and start making money back. So, is solar installation right for your business? In today’s post, Alternative Energy Systems discusses how you can determine the return on investment of your commercial solar installation and how you can figure out if it will be worth it to you? Read on to learn how to determine the ROI of your commercial solar installation.
The ROI of your commercial solar installation obviously depends heavily on how you pay for your solar installation in the first place. Though paying for it out of pocket may be pricey up front, you will likely make your money back when the utility savings and incentive income start coming in. That being said, many states offer programs that help commercial properties finance their solar installation. It’s worth looking into these programs. They can save you a lot of money.
Xcel Energy offers a Solar Rewards Program which can get you a 20 year contract to purchase renewable energy credits regardless of where they are consumed. This means they will pay you for the energy you are creating with your solar installation. This is a method of incentivising people to invest in renewable energy and it will often add up. With this program, a business can be paid more than $27000 a year.
The government is invested in renewable energy and solar installation can benefit your business come tax season. Under current law, you can get a 26% tax credit for your solar installation. You can also claim your solar installation when you file your taxes.
Price and Value
The initial cost of investment is obviously a big component of figuring out ROI but the value of the system you install will determine how much money you save in the end. A system that is a bit pricier will likely offer more value and therefore a better return on investment than a cheaper system, particularly if you cut corners on the technicians installing the system. It is worth it to pay more upfront for a better quality system and more experienced techs. Make sure you choose to work with someone who has a proven track record of saving businesses money with solar installation.
Alternative Energy Systems is all about helping businesses get the best ROI when they invest in solar installation. If you want to ensure you get the most out of your solar installation, you can count on us. Work with us. Start today!