A solar thermal system may be one of the smartest investments you can make for your business. Commercial solar thermal systems offer significant benefits like:
• Utility savings
• Tax Credits and State Incentives
• Increased property value
• Green corporate image
• Accelerated depreciation
For most businesses, several solar panels and water tanks are all that’s needed to generate hot water for preheat for processes, showering, laundry, pool heating, space heating, cleaning or any other hot water use. As the sun’s energy warms heating fluid in the solar panels, heat is transferred to water in special holding tanks, providing ample hot water for faucets, appliances and industrial systems. Your current water heating system can continue to serve as a backup for extended snowy and rainy periods.
Solar hot water systems can reduce your monthly hot water expense by up to 80%. Rising energy prices have prompted many businesses to seek relief in solar energy. With a range of options and a one-time investment, solar hot water provides remarkable savings and ROI. For many businesses a solar thermal system’s payback can be as short as 2 years for a system that will last over 30.
Business owners and facility managers are continually under pressure to reduce operating costs and boost the bottom line. According to the US Department of Energy , more than 20% of business energy costs could be cut by investing in renewable solar thermal technology.
The commercial cost of a therm of natural gas has risen from $0.72 in 1980 to $1.60 in 2011. As energy rates continue to rise, companies are looking to solar thermal systems as the solution to hedge against rising energy costs.
By tapping into the renewable power of the sun to heat water, businesses can significantly reduce operating costs and add to the bottom line.
Tax Credits and State Incentives
Federal and state government incentives are available to encourage clean energy in a green business economy. Businesses investing in solar technologies can receive a 30% federal tax credit on installed solar thermal systems through the Business Energy Investment Tax Credit (ITC).
Under the federal Modified Accelerated Cost-Recovery System (MACRS), businesses may recover investments in solar thermal systems through depreciation deductions over a five year period. The American Recovery and Reinvestment Act of 2009 extended a 50% bonus depreciation provision for qualifying systems.
Additionally, NY State has a special commercial solar thermal program that offers up to $25,000 for certain businesses that install solar thermal systems.
Increased Property Value
When a company installs solar thermal technology on its property, the value of the property will increase without affecting the property tax assessment for 15 years.
Greener Corporate Image
The increasing complexity of the global business environment, rising energy costs, and swelling compliance challenges are driving a major focus on green initiatives for many companies. Green organizations cite corporate social responsibility and a competitive advantage as the main drivers for their green initiatives.
Learn more about solar hot water systems for your business. Call for a free consultation.