How much will solar panels cost for my business?

Cost (and return on investment) are one of the main areas of interest for business owners looking at installing solar panels. 

The installation costs for a solar power system vary widely depending on the size and complexity of your system. The size of your system is dictated by the size and orientation of your roof, as well as the amount of energy you wish to generate. 

If size isn't an issue, then your budget will dictate the best system size for you. 

As a guideline, costs can start from:

• 4kW residential system: £7,000

• 50kW commercial or farm system: £45,000

• 100kW larger commercial system: £85,000

• 250 kW large-scale commercial system: £190,000

Based on the average cost of producing commercial solar electricity of 5p per kWh, businesses who transition from the national grid to solar power can expect around a 60-70% reduction in their energy costs.

A power purchase agreement (PPA) is a common finance option for larger businesses - if your energy consumption and roof space meet the criteria, a PPA allows you to benefit from free solar panel installation, financed by a PPA provider. The electricity generated by your system is then sold back to you at a much cheaper rate than you'd pay from the grid. This option saves you money on your electricity bills and removes your installation costs, by essentially renting out your roof space and buying the discounted solar electricity it generates.

You can find out more about the latest government grants and schemes here.