Rooftop Solar for Small & Medium Size Businesses
The business case for rooftop solar for your business
In the current market where ever increasing electricity price is the norm and there is a significant gap between the price customers pay (i.e. around 28 cents per kWh) and how much the electricity retailers are willing to pay their customers for electricity exported to the grid (i.e. Feed In Tariff / FIT mostly between 9 and 11 cents per kWh although a couple of retailers currently run limited-time deal offering 16 to 20 cents per kWh), the key incentive of investing in rooftop solar comes from self-sufficiency. It is about meeting your need as much as possible from solar-generated electricity – as opposed to relying on exporting (selling) electricity you generate back to the grid.
Specifically, parking aside battery storage – which is yet a commercially viable option in most scenarios today, any businesses who use electricity when the sun shines and indeed those who operate close to 7 days a week during the day, these businesses are well positioned to benefit greatly from rooftop solar. Depending on how much a business currently pays for their electricity, investing in rooftop solar can help a “solar ideal business” slash electricity bills by 60%-80% (compared to without solar), generally translating to 33%-50% Return On Investment / ROI per year (~payback period of 2 to 3 years).
Every business is unique, so is rooftop
From the power generation point of view, the roof where the solar panels will sit on for good 25-30 years, or even longer, is key to how much electricity output can be generated. Surely the panels, inverter (i.e. arguably the most vital component in a solar system) and other components making up your solar system as well as the installation process itself – they all will influence the final electricity output, although the rooftop is often the single factor that can be controlled the least.
Below are the most important factors that make up a “solar friendly roof”:
- Shading. First indicator of a solar friendly roof is simply it is shading free throghout the day and year. Shading can be a result of multitude of things from building structure and/or tall vegetation surrounding your premise (including those that are presently not a threat but can grow taller than your roof in the future!) to something more trivial such as TV aerial antenna. Analysing any potential shadings that may hamper your solar electricity output is certainly a focus while designing your solar system.
- Orientation – the aspect or Azimuth (i.e. the degree measured in clock-wise direction relative to North) where your roof points to. North, North West, and North East are generally the best orientation to maximise the solar electricity output throughout the year i.e. the sun will always be positioned at the north of earth regardless of time of day in all seasons. That said, East and West can also be good options depending on when (morning or afternoon) your business uses the most electricity and thus needs to be generated. Last but not least, roof with southern orientation does not mean the end of your solar system aspiration as solar panels can always be mounted on south-facing roof but tilted to face other more desirable orientation.
- Pitch (i.e. the angle/degree of steepness relative to flat). The most ideal pitch (also the angle the solar panels will be tilted) corresponds to the latitude of your city (i.e. 27.5 degree for Brisbane) to maximise solar radiation absorbed by the panels. However, generally speaking 30-45 degree pitch is considered good in most scenarios. All things considered espcially from a cost point of view both the installation cost and potential ongoing maintenance cost, solar panels are usually mounted in accordance to your roof pitch.
- Space. Last but not least, the space (and shape) of your roof influences how many solar panels can be installed and accordingly how big of a solar system you can have although potential issue with limited space may now be resolved with some of the latest high-efficiency panels (i.e. more capacity per m2). Additionally, access to the space required can be a determining factor especially when you are leasing your business premise and your current lease does not include exclusive right to the roof (of a multi-storey building structure).
There are options available to maximise electricity output from your rooftop solar (i.e. adjustable panel mount, micro-inverter to name a couple) but the general rule is less is more… the less components we put on the roof will be the better as they will be exposed in the open for a prolonged period (i.e. 25-30 years, or more) often in harsh weather conditions i.e. Australian sun is among the most intense in the world, although this is also why we love solar! The other consideration is cost, both for the materials & workmaship during the initial installation as well as those needed to maintain the system throughout its lifespan.
Overall, a good design for your solar system balancing your electricity needs (current and potential) and available roof space is a critical starting point to optimise the value for money and your return on investment – both financially and for the environment.
Does your business operate or use most of the electricity during the day?
Do you believe you pay too much for your electricity?
Or do you simply want to explore how your business could benefit from rooftop solar?
(including if you are a commercial tenant)
Call us on 0410 839 860
Or send us your contact details below, we’ll get in touch within 24 hours to discuss about your business and unique needs (obligation free)
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