Commercial solar costs
Reducing energy cost, carbon, and risk
Useful facts for solar:
- Solar costs - from 5 p/kWh for field solar at scale
- 1 kW of solar in the UK produces about 850 kWs per year
- 1 kW of solar produces 1 kW per day in winter
- 1 kW of solar produces 4 - 5 kWs per day in summer
- 1 MW of field scale solar needs about four acres of land
With no moving parts, solar is a low cost method of generating renewable energy over the long term. Commercial solar starts at about 6 p/kWh, and so can dramatically help to reduce energy costs, if done at scale.
Solar, by its very nature is cheap, however limited to a few hours of generation every day, especially in winter. As with all renewables, ideally it should be just one part of the overall mix of alternative renewable generation, possibly battery storage (if there are high value differentials), as well as the grid.
This is a comparison of the different types of solar:
Roofs are a valuable resource for solar. Rooftop solar for commercial building is about £700 per kW with a 20 year PPA working out at 7 p/kWh.
The downside is that the roof needs to be in condition, and if leased the landlord needs to provide permission.
Carport solar is the most expensive, however with EV charging, there is a premium for onsite renewable generation. The cost is approximately £1,400 per kW working out about 14 p/kWh on a 20 year PPA for a medium size install.
The downside is that carport solar can restrict future development of the carpark.
Field scale solar
Any field or brown field land near to any large electrical load / off-taker is ideal for a field scale solar park. The costs are about £450 per kW at the MW scale, producing a PPA for large installs of about 5 p/kWh.
The downside is that there needs to be suitable land relatively close, as the distance of cable run is expensive.
Rooftop solar delivering renewable generation reducing energy cost and carbon.
Carport solar with battery storage delivering renewable EV charging, resilience and grid services to the business.