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How Businesses Unlock Property Potential with Distributed Energy Resources (DER) like C&I Solar

How Businesses Unlock Property Potential with Distributed Energy Resources (DER) like C&I Solar

In California, commercial and industrial (C&I) businesses face steadily climbing electricity costs, compelling many to seek sustainable solutions, one increasingly popular solution is leveraging distributed energy resources (DER), including solar photovoltaic modules (PV) and energy storage systems. As businesses invest in these technologies, they not only reduce energy costs but also enhance their property values by making them more sustainable and energy-efficient.

The Economic Case for DER in California

The market for DER is expected to grow substantially, with global revenues for DER projected to rise from $146.4 billion in 2024 to $321.2 billion by 2033. This growth is partly driven by significant government investment and a robust average return on investment (ROI) for these technologies. Particularly in the C&I sector, DER installations, including commercial solar and storage systems, are anticipated to surge due to their compelling economic and environmental returns​.

Rising Electricity Costs and the Shift Towards Solar in California

California businesses are increasingly burdened by high electricity rates, which can impede growth and competitiveness. Implementing solar energy solutions not only mitigates these costs but also aligns with broader sustainability goals. Companies using solar and storage systems can significantly cut down their reliance on grid power, especially during peak pricing periods, thus shielding themselves from rate hikes. Click here to learn more about California’s rising electricity costs in 2024.

What is a Distributed Energy Resource (DER)?
A Distributed Energy Resource (DER) is any small-scale unit that generates or stores electricity on-site or close to where it is used, often connected to a local distribution system.
DERs can include solar panels, wind turbines, energy storage systems, and other technologies that help manage energy demand and supply locally.

Case Studies of Proven Success

Many California businesses have already seen substantial benefits from adopting DER systems. For example, the integration of large-scale solar plus storage systems has been successfully implemented by various sectors, including healthcare and manufacturing, demonstrating not only cost savings but also increased energy resilience and independence​. 

See our recent case study here about a metal manufacturer who created significant savings through solar plus storage by shaving costly peak demand charges with self-generation.

Government Incentives and Support for Overcoming Barriers

The expansion of DER technology in California is further supported by government policies aimed at encouraging renewable energy adoption. This governmental backing helps reduce the initial financial hurdle associated with transitioning to solar power, making it a more feasible option for a wider range of businesses. 

Despite the advantages, some barriers remain, such as capacity limits of current DER technologies and the need for greater awareness among business operators about the benefits and applicability of these systems. However, with ongoing advancements in technology and increasing governmental and market support, these obstacles are becoming less significant​.

C&I Solar & Energy Storage Distributed Energy Resources for California Businesses

As California continues to experience rising electricity costs, C&I solar and energy storage present practical solutions that not only promise substantial economic benefits but also contribute to the state’s environmental goals. By investing in these systems, businesses can enhance their operational efficiency, reduce energy costs, and promote a more sustainable future.

Businesses looking to unlock the potential of their properties should consider the robust growth forecasts and supportive policies surrounding DER technologies as a clear indicator of the strategic value of investing in solar energy solutions. Contact our expert team today to determine what solutions are available and are the most effective for your business.

Frequently Asked Questions

1How do solar power systems benefit commercial properties and industrial facilities?

Solar power systems help commercial properties and industrial facilities significantly lower operational costs by reducing dependence on grid-supplied power. Businesses can leverage solar installations and battery storage systems to optimize energy consumption, improve energy efficiency, and increase their sustainability profile while securing financial benefits from solar tax credits and incentives.

2What are the advantages of utility-scale solar projects for commercial and industrial applications?

A utility-scale solar project generates large amounts of clean energy, benefiting Commercial & Industrial businesses by lowering their cost of electricity and providing reliable electricity during peak hours. These projects leverage economies of scale, making solar energy more affordable for commercial projects, shopping centers, and industrial buildings looking to reduce operating costs.

3How can businesses use battery storage systems to maximize solar energy production?

Battery energy storage systems allow businesses to store excess solar energy production for later use, ensuring backup power during outages and reducing reliance on grid-supplied power during peak hours. By pairing C&I energy storage systems with solar arrays, businesses can achieve maximum energy output, improve energy independence, and enhance their commitment to sustainability.

4What role does community solar play in the commercial and industrial solar sector?

Community solar programs enable multiple solar customers, including commercial property owners, government buildings, and shopping malls, to share the benefits of solar power installations without requiring on-site solar energy installations. These programs promote equitable energy development, expand access to renewable energy sources, and contribute to a sustainable energy future.

5What financial incentives are available for businesses investing in solar energy systems?

Businesses investing in solar energy systems can take advantage of several financial incentives, including solar tax credits, rebates, and power purchase agreements (PPA). These incentives reduce the upfront cost of solar power installations, helping commercial buildings and industrial sector businesses achieve additional cost savings while advancing their sustainability efforts.

6How do solar developers help businesses implement industrial solar solutions?

Experienced solar developers provide professional advice on designing and installing solar power systems tailored to specific energy requirements. They assist businesses in navigating efficient application processing, selecting the right solar energy sector technologies, and ensuring compliance with renewable energy goals.

7Can solar energy benefit office buildings and government buildings?

Yes! Office buildings and government buildings can benefit from solar energy installations by reducing operating costs, enhancing energy efficiency, and improving their sustainability profile. Integrating solar power systems with battery systems ensures reliable electricity and a positive impact on the environment.

8How does solar energy contribute to a greener future and reduce environmental impact?

By adopting solar energy production, businesses reduce their carbon footprint, support renewable energy projects, and minimize reliance on fossil fuels. This shift promotes a greener future, reduces the environmental impact, and aligns with sustainability strategies to meet renewable energy goals.

9What are the key considerations for industrial projects implementing solar energy?

Industrial projects require large-scale solar energy solutions that account for energy density, technological innovations, and long-term energy consumption needs. Factors such as battery storage systems, solar arrays, and electric facilities integration play a crucial role in ensuring efficient application processing and long-term profitability.

10How do businesses determine the best solar energy solution for their needs?

Selecting the right solar energy systems depends on a company’s energy requirements, available space, and financial objectives. Consulting an industry professional or renewable energy enthusiast ensures businesses receive tailored recommendations on solar programs, industrial applications, and commercial projects designed for maximum efficiency and cost savings.

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Commercial grade rooftop solar is ideal for: manufacturing, warehousing, logistics, industrial, retail, hospitality buildings and more with over 10,000 sq. ft. rooftops.

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CARPORT SOLAR

Free standing carport solar generates added solar power for properties with limited rooftop space. Added benefits include shading and protection for employees vehicles.

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Crucial for reducing peak demand charges. Automated to supply electricity when your panels won’t. Energy storage is ideal for businesses that incur significant peak charges.

As the popularity of electric vehicles increase, so does the demand for on-site charging. This sustainable amenity has become a parking lot fixture for competitive employers.

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Client Testimonial: Kelemen Company

Corporate Business Park in Irvine, CA has created significant electricity cost savings through commercial solar installed across the 5-building business park.

Client Testimonial: Tice Gardner & Fujimoto LLP

See how this CPA firm saved on electricity and gained valuable tax credits through commercial solar that they used to keep cash in the businesses.

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