Firms with solar panels enjoy three-year payback

Dublin businesses switching to solar power can expect their new energy system to pay for itself in three years – two years ahead of government predictions, an expert has said.

Funding packages of between €2,700 and €162,600 have been introduced to encourage more businesses to install a solar photovoltaics (PV) panel system, which generates electricity when exposed to light.

According to the Department of Environment, Climate and Communications, the grants, operated by the Sustainable Energy Authority of ireland, will “support 20-30% of the investment cost, reducing payback to as little as five years”.

but Adrian Casey, the cofounder of Swyft Energy, one of ireland’s leading solar PV firms, said some businesses could see payback in three years.

He said a medium-sized business consuming 42,000 units per year at a rate of 36 cent per kilowatt/hour (kWh) could reduce their energy bills by up to €8,000 per year by installing a 30 kilowatt (kWp) system.

Prices for a 30kWp system, he said, start from €32,000. but amendments to the grants unveiled by Environment

Minister Eamon Ryan on July 4, reduced the cost of install of such a system to €23,400 –meaning firms paying the 36c rate could expect payback in three years, Mr Casey said.

“On average, small-tomedium sized businesses are installing 30kWp Solar

PV systems, equivalent to 64 panels, covering 128 square metres,” Mr Casey explained.

“This type of system generates roughly 26,000 units of electricity per year, and –depending on the business’s electricity consumption pattern – 70 to 80% of this power would be used on site, with the excess electricity sold back to the grid.” larger premises –such as warehouses consuming 200,000 units per year at a 23 cent electricity rate – could generate around 135,000 units with a 150kWp, 320-panel system, he added.