What You Need to Know About Commercial Solar

Commercial solar — also known as Commercial and Industrial solar (C&I) — is sandwiched somewhere between utility-scale solar and residential solar. There are, however, some crucial characteristics that differentiate C&I from residential. 

Let’s dive into commercial solar and find out what you need to know about getting solar for your business.

What is Commercial Solar?

Typically much larger installations than residential solar panel systems, commercial solar covers a wide range of customers including: 

  • Small businesses 
  • Large corporations 
  • Nonprofits
  • Universities and schools
  • Governments
Top view Solar Cell on Warehouse Factory. Solor photo voltaic panels system power or Solar Cell

How is Commercial Solar Measured?

Solar is measured in kilowatt hours (kWh). Between 1,000 kWh and 2,000 kWh are generated by a 1 kW system. One megawatt (MW) is equal to 1000 kilowatts. An average residential solar panel system needs about 5 kW to 8.5 kW per day while a commercial system may require several MW. 

You can calculate your hourly panel energy production requirements by dividing the necessary average hourly wattage by your area’s daily peak sunlight hours. On average a medium-sized business requires a 70-panel solar system.

How Much Does Commercial Solar Cost?

There are many factors to consider when figuring the costs of commercial solar with prices ranging from $50,000 to $600,000. The size of the panel system needed will depend on the requisite kilowatts to cover daily energy consumption. Before applying federal solar tax incentives, the price per watt for commercial panels is between $2.50 and $3.22.

Let’s break down some of the average commercial prices with the 30% federal tax credit: 

 

Kilowatt Hours (kWh) Average Price

25 kWh system

$50,000
50 kWh system
$100,000
100 kWh system
$300,000
250 kWh system
$600,000
Solar panel station

What Are the Benefits of Commercial Solar?

With the average business owner’s monthly power bill coming in at just under $2,000 per month, commercial solar panels have been shown to reduce that by 75 percent. It is important to remember that solar is a long-term investment. It may take a little time to offset initial costs, but the pros of converting your business to solar are worth it. Some of the immediate benefits include, but are not limited to:  

  • Tax Credits: You can get some money back at the end of the tax year thanks to the extension of the Solar Investment Tax Credit (ITC).  
  • Energy Independence: You are no longer at the mercy of the power company, and with billing mechanisms like net metering, they may end up owing you energy! 
  • Reduces Overhead: Installing commercial solar panels can substantially reduce regular maintenance and operating costs.

Increases Value: Commercial buildings that are already equipped with solar panels are in high demand.

Consider Commercial Solar Today!

The times they are a-changin’, and commercial solar is an excellent consideration as your business moves into the green energy future. Contact Gurr Brothers Energy today for a free, discounted solar quote and commercial solar consultation!

Author: Hunter S.

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