Solar for business
Solar PV is an increasingly attractive investment for businesses of all sizes. With large roof areas often found on warehouses, offices, and factories, commercial properties are perfectly suited to generating significant amounts of clean electricity.
Benefits for your business
- Reduce operating costs: Electricity generated from solar is significantly cheaper than buying it from the grid, providing immediate and long-term savings on your energy bills.
- Energy security: Protect your business against future energy price volatility and reduce your reliance on the national grid.
- Sustainability credentials: Demonstrate your commitment to Net Zero and improve your ESG (Environmental, Social, and Governance) scores for clients, investors, and employees.
- Utilise unused assets: Turn your empty roof space or unused land into a revenue-generating asset.
- Sell excess power: For large installations, you can negotiate Power Purchase Agreements (PPAs) or use the Smart Export Guarantee (SEG) to earn money from the power you don’t use.
Key considerations for commercial solar
1. System sizing
Commercial systems are typically much larger than domestic ones, often ranging from 10kWp to several megawatts. A detailed half-hourly load analysis is required to ensure the system is sized correctly to match your business’s daytime energy usage.
2. Structural survey
Before installation, a structural engineer must verify that your building’s roof can support the weight of a large-scale solar array and any associated mounting hardware.
3. Grid connection (G99)
For systems over 3.68kW per phase (the majority of commercial systems), you must apply for permission from the Distribution Network Operator (DNO) via a G99 application before connecting to the grid.
4. Financing options
- Capital Purchase: Buying the system outright offers the best long-term return on investment.
- Power Purchase Agreement (PPA): A third party installs and maintains the system on your roof, and you buy the electricity from them at a reduced rate.
- Asset Finance/Leasing: Spread the cost of the system over several years.
Tax Incentives: Businesses can often take advantage of Full Expensing or Annual Investment Allowance (AIA) to deduct the full cost of solar PV installations from their taxable profits in the year of purchase.
Our methodology
For more information on how we calculate commercial potential and ROI, see our methodology page.