Solar energy can be applied on commercial & industrial buildings, factories, warehouses, winery & vineyards, restaurants, apartment buildings, Laundromats, gas stations, parking structures, solar power stations, buildings at remote locations, etc.
Business owners who own their buildings, commercial developers who want to increase their market differentiation, and business owners who need to control their energy costs all can benefit from converting to solar power. Whether the building is new and needs to be designed with integrated solar system (BIPV), or an existing building which needs installing an energy saving system, choosing a PV system is efficient, easy, and cost-effective.
With incentives and rebates available from the Federal, State and local governments, a PV system is now financially viable and a good investment.
How Solar Power Works
Free Yourself from Fast Climbing Electric Rates
Electricity rates have increased greatly over the last 5 years and are expected to continue to climb in a speedy rate over the next 5 to 10 years. Investing in solar today allows you to lock in your energy costs despite the increase that will be experienced by non solar assisted businesses.
Reduce Operating Costs
Utility bills are a significant portion of the overhead for most businesses and as the electricity costs increase significantly, it can affect the viability of your business. A solar power system can reduce or eliminate your building's electric bill. Installing a solar power system is equivalent to prepaying for 40 years of power at a fraction of the cost you are currently paying. The cost/unit of energy you are currently paying is already higher than what you would be paying with solar. As rates increase this difference will only increase, which will result in further savings over the life of the system.
Government Incentives Helps Pay for the System
Cash rebates, tax credits and accelerated depreciation schedules can provide your company an immediate return on investment. Designed to encourage businesses to generate their own solar power, these programs can pay for up to 40-70 % of the total system cost (depending on which state you are located).
Good Return On Investment (ROI)
Government incentives combined with recent decreases in solar equipment prices, make the investment in solar power a good financial decision for businesses. A solar power system on your business is a long term, low risk, high return way to invest your money. Solar offers an initial tax free annual return on investment of 5-11%. This is very competitive with other higher risk investments such as stocks and bonds. As utility rates increase, the annual return increases. For Commercial property owners, it will also increase rents or sale price for environmentally- responsive projects.
Solar Power Systems Are Dependable
Photovoltaic cells were originally developed for use in space, where repair is extremely expensive, if not impossible. Solar still powers nearly every satellite circling the earth because it operates reliably for long periods of time with virtually no maintenance. Once installed, the solar power system requires little or no maintenance (especially if no batteries are used), and will provide electricity cleanly and quietly for 25 to 40 years. Our solar panels carry a 25-year manufacturer warranty on their production. Solar has now achieved true state of the art performance and reliability.
Become A "Green" Business
Generating electricity from solar energy means less consumption of fossil fuels, reducing pollution and greenhouse gas emission. The installation of a solar electric system allows your company to contribute in a major way toward the reduction of harmful green house gases. The installation of a solar electric system also allows your company to aid the US in curbing its dependency on polluting foreign energy sources. Being a green business can, not only reduce your operating costs, but can be a great source of public relations and a good marketing tool. There are a growing number of consumers who make their buying decisions based on the perceived environmental responsibility of the vendor. It will also increase employees' morality and loyalty to companies that care for them and the environment.
The cost of a solar electric system can vary significantly depending on the amount of power required. Industrial facilities will require systems of a different scale than a small retail business. A small office may only require a $15,000 system, while an industrial facility may require a $200-500k system. The system can be paid for through a number of ways:
There are a number of ways to finance a commercial solar power system. These include:
- Property secured loans
Property secured loans usually offer the best terms and lowest interest rates. If you are in the process of refinancing a commercial property you should consider the purchase of a solar power system. Payments on a secured loan are often less than, or similar to, the amount that your business will save in utility bills. Therefore installing solar power could result in immediate positive cash flow.
- Capital equipment loans
Capital equipment loans are probably the most common method for financing solar power systems. There are many banks and institutions who grant capital equipment loans. The loan terms will depend heavily on your lender and credit rating.
- SAFE-BIDCO energy efficiency loans
SAFE-BIDCO is a California state sponsored loan program. They will give loans to small businesses for energy efficiency upgrades. Solar power qualifies for these loans. The standard term on a SAFE-BIDCO loan is 5 years, with a 4% APR.
- Equipment secured loans
Equipment secured loans have much shorter terms than property secured loans and usually have higher interest rates. This is a good option for businesses that do not own the property or are unable to make use of a property secured loan.
Rebates and Incentives
The State of California offers substantial rebates for both large and small commercial solar electric systems through the California Solar Initiative (CSI) . Depending on the size of your facility, you will qualify for either the Expected Performance Based Buydown (EPBB) or a Performance Based Incentive (PBI) program. These rebates can cover as much as 40% of the total system cost.
- Expected Performance Based Buydown (EPBB)
This program offers upfront rebates for systems less than 100kW in size. The program is part of the California Solar Initiative, which started accepting applications on January 1, 2007. Rebate amounts are determined by a number of factors, including system location, orientation, shading and size. Cash rebates of $2,500.00 per kilowatt of installed capacity are offered by this program. These rebates generally cover 20-35% of the total installed system cost.
- Performance Based Incentive Program (PBI)
This program offers rebates based on energy production over the course of 5 years. Rebates are paid to the system owner monthly, based on reported energy production. This program is designed to benefit entities installing larger commercial or public sector projects. Typically, the PBI will cover more than 30% of the installed system cost. For some businesses, this type of program may be more advantageous than the upfront rebate offered by the EPBB. Our Energy Consultant will be able to determine which program is best for you, based on the specifics of your business.
The level of both of these rebate programs will decline as the program reaches scheduled participation milestones. Therefore, the longer a business waits to install a solar electric system, the lower the rebate will be.
- Federal Tax Credits
In addition to State rebates and incentives, the Federal government offers a 30% Federal tax credit on solar power systems, and allows businesses an accelerated depreciation schedule over 6 years.
Your Electric Utility
A solar power system can reduce or eliminate your building's electric bill. Installing a solar power system is equivalent to prepaying for 40 years of power at a fraction of the cost you are currently paying. The cost/unit of energy you are currently paying is already higher than what you would be paying with solar. As rates increase this difference will only increase, which will result in further savings over the life of the system.
Some businesses may be able to take advantage of time-of-use metering . This allows you to feed power into the grid during peak times (when power is most expensive), and draw power from the grid during off peak times (when power is cheaper).
A solar power system on your business is a long term, low risk, high return way to invest your money. Solar offers an initial tax free annual return on investment of 5-11%. This is very competitive with other higher risk investments such as stocks and bonds. As utility rates increase, the annual return increases.
Wal Solar Corporation is a professional turn-key solar energy solution provider. Whether your needs are for a large or a small system, we can design, install, apply rebate and building permits, and walk through inspections with the municipality after the installation. We're committed to provide the most professional service and the best price to our customers. Wal Solar Corporation provides solar products of world top brands with UL listing, TUV certification and long time manufacturer warranty at wholesale prices. Wal Solar Corporation is the first name to think of when your business wants to go solar!
- Initial Call
All we need to get started is some simple information about your building, and your approximate electricity consumption (this can be as easy as telling us how big your last bill was). Other helpful details include approximate orientation of your roof (e.g., southwest), roof material, and major electrical loads in your facility. If you have historic electrical usage, you can provide this to us during the initial call, but this is not necessary in order to move forwards.
- Free Site Evaluation
From there we will schedule a time for a system designer to come to your business to perform a site evaluation and consultation. Site evaluations are free of charge and usually take 1 to 2 hours to perform. It is a good opportunity for you to ask any questions you may have about how solar works, the installation process, or any other technical or financial questions you may have. During this visit the system designer will collect information to generate a proposal.
- System Proposal
Wal Solar Corporation will prepare a proposal which will include the initial system design, total cost, and the amount of the rebate and tax credits. Proposals will also include the cost benefit analysis on your expected electrical usage, cash flow calculations, payback calculations, and projected billing with your new solar power system. Our proposals give you the information you need to determine if solar is a good investment for your business.
- Sign Contract
When you decide to do the project you will then sign a contract with Wal Solar Corporation. From here Wal Solar Corporation takes care of everything. This includes: design, permitting, construction, inspections, utility interconnection, and rebate collection.
Installation can commence once a contract has been signed, and materials have been procured. Commercial installation times vary from 1 to 8 weeks, depending on system size and complexity.
After installation is complete your system will be inspected by the governing municipality and your utility company. Wal Solar Corporation will schedule and attend all inspections, so you will not need to be in attendance. Following your utility inspection your system will be up and running. Wal Solar Corporation will provide you with electrical and structural drawings of your new system along with all owner's manuals, warranties, and instructions on how to monitor your system's performance.