How Energy Storage Increases Commercial Solar System Savings
2023-05-16How Energy Storage Increases Commercial Solar System Savings
The most straightforward way in which a solar energy storage system can benefit your business is by making you energy-independent. Traditional energy sources are susceptible to fluctuating prices, and with the increased strain on the grid, powercuts have increased by 64% since 2000. There’s also been a noticeable uptick in weather-related power outages, most likely linked to climate change. Unfortunately, frequent power outages have significant capacity to hurt businesses. For example, the Texas 2021 power crisis resulted in $195 billion worth of losses.
When employing solar batteries to store energy, your business will have a dependable backup when you need it the most. The investment in solar batteries can be reduced with tax rebates and incentives, much like solar panels. While the Federal Tax Credit of 30% is the most popular way to reduce the ROI period on solar batteries, California’s Net Metering 3.0 also seems to be encouraging businesses to invest in solar batteries.
Maintaining Payback period under NEM 3.0
NEM 3.0 recently came into effect in California, introducing fluctuating time-of-use rates for solar energy that vary based on calculations made with an avoided cost calculator (ACC). Whilst day time rates have fallen as far as $0.08 per kWh, releasing solar energy into the grid at night provides businesses with better rates and therefore better long-term savings. Of course, in order to release solar energy back into the grid at night, you’ll need to invest in battery storage to save your excess solar energy.
Another way to avoid the consequences of NEM 3.0’s frustrating rates is to draw less energy from the grid altogether. Instead of releasing stored solar energy back into the grid at night, businesses can use their excess energy to power their business at night, on cloudy days and during blackouts.
Using either one or a combination of these methods can help maintain the 5-8 year payback period businesses enjoyed under NEM 2.0.
Improving Payback Period Under NEM 3.0
There is little doubt that NEM 3.0 has made it trickier for your commercial solar system earn you money. However, even the electricity bill savings you can get with solar still make installation profitable in the long-term, especially when you take energy inflation into account.
On top of electricity bill savings, businesses can also reduce their payback period with rebates and incentives. As well as the generous 30% federal solar tax credit (ITC), individual states offer a variety of EV charging station rebates.
Instead of earning under the net billing program, businesses can embrace the big picture, offering EV charging to employees and the public. As electric vehicles become more widespread, the convenience of EV charging will attract more customers and improve your cash flow. In addition, battery storage can power your EV charging stations overnight, reducing the amount of energy you’ll need to pull from the grid. If you want to find out what rebates and incentives you qualify for, feel free to reach out to IE Construction and speak to an expert energy advisor.
Get Solar Battery Backup With IE Construction
The kind of solar installation your business needs depends on the amount of space you have available, as well as the structural integrity of your roof. Solar systems of all types can be easily paired with battery storage.
For many businesses, solar energy storage is the next logical step after installing solar panels. Now that net metering doesn’t produce as much savings as previously, solar batteries are the best way to utilize excess energy and maintain a 5-8 year payback period. If you aren’t sure how many solar batteries you’ll need or seek advice regarding solar installation, feel free to speak to one of our expert energy advisors.
Here at IE Construction, businesses can purchase roof-mounted and ground-mounted solar installations, as well as solar canopies and carports. Each installation is tailored to fit your needs and budget, with the most energy-efficient design and best quality materials. We ensure that your solar transformation is handled by experts, right from day one! Using our experience, we develop customized turnkey solutions for commercial properties and are willing to go the extra mile for our clients.
Why wait for more unexpected power outages, hidden costs, and higher electricity bills? Contact us today to find out how we can help your business make the switch to solar energy.
