Are you curious about how commercial solar can save your business money in Singapore? The drop in commercial solar costs and the financial benefits make it worth considering. With an 89% fall in solar electricity prices over the last decade, now is the perfect time for businesses to switch.
Installation commercial solar costs start at $50,000 – $120,000 for upfront options, and you could see savings in 5 to 8 years. Alternatively, you can also opt for power purchase agreements, where you are sold electricity per kWh from your system but are not granted ownership of the system, or Rent-to-own solar, where you can choose to pay off for your solar system in instalments and eventually own the system. This makes commercial solar a smart and sustainable choice for your business. Let’s look at what affects the cost, the detailed breakdowns, and how it compares to traditional energy costs.
Figuring out how much does commercial solar cost in Singapore involves several important factors. First, the size of the installation is a definite factor. Although, smaller systems, like those for shophouses, cost lesser overall, but are actually more expensive per kilowatt, as the bulk of costs is attributed to manpower costs.
Larger systems for bigger buildings, such as factories can be cheaper per watt. But they cost a lot more upfront. On average, your system can range from $50,000 to $120,000.
The type of solar panels used also affects prices. High-efficiency panels save space and money. It’s best to choose tier 1 panels for their quality and value.
The complexity of the installation site is another factor. The height, type, and ease of access of the building can increase costs. Systems in hard-to-reach places cost more to install.
Maintenance costs are also important. They usually range from 1 to 1.45% of the initial cost. Bigger systems have lower maintenance costs. Cleaning the panels once a year helps keep them working well.
On top of that, government incentives available in Singapore to help lower the cost of commercial solar systems. The well-known example is the Green Mark Incentive Scheme, which was introduced to help accelerate the adoption of energy-friendly solutions.
The cost can change based on roof material, panel direction, and system complexity. In fact, most of the cost of installing solar panels does not come from the component itself, but from the manpower, which attributes roughly 65-70% of your total cost. For example, installing rail mounting systems can almost double the cost, due to extra equipment and labour needs.
Installation involves several key steps:
While these costs may seem daunting, there have been many case studies in Singapore which evidently show that investing in commercial solar is good for not just the planet, but your wallet. By being able to break even in just 4-7 years, your commercial property will be able to enjoy free electricity for at least 15 to 20 years after.
Looking at solar versus traditional energy costs, solar shines with its financial and environmental perks. In Singapore, solar energy’s cost per kWh is between $0.11 and $0.15. This is much lower than the $0.31 per kWh for traditional energy as of 2024’s fourth quarter. This shows solar energy is a smart choice for saving money over time.
Choosing commercial solar means lower monthly bills and protection from price volatility. Unlike traditional energy, which can have unpredictable costs, solar energy is steady and reliable.
Thanks to new tech and bigger production, solar costs have dropped by over 20% in five years. Government help, such as financial scheme and net metering, also lowers the initial cost. This makes solar even more attractive for businesses.
In conclusion, switching to solar brings economic and environmental gains. It cuts down on costs, saves money over time, and is better for the planet. With these benefits, solar is a wise choice for businesses in Singapore.
There are a lot of factors affecting the commercial solar cost. Investing in commercial solar energy is a big chance for businesses in Singapore. It helps cut down costs and protects the environment. This investment can give businesses steady, high returns over 30 years. Commercial solar systems also cut down CO2 emissions, which helps companies reach their green goals better.
When thinking about solar, businesses should look at their energy needs, roof, and money goals. Checking these things helps get the most from solar energy. With traditional energy costs going up, solar is a smart, green way to meet energy needs in Singapore.
