Solar Panel Funding For Manufacturing plants & Factories - UK

Solar funding for commercial companies man

Investing in solar panels for manufacturing plants and alike companies is a strategic move to slash energy expenses and boost profits in 2023.

Over the last decade, solar panel costs have seen a remarkable 70% reduction (2010-2020), attributed to advancements in solar engineering, manufacturing, and technology.

Today, the surge in solar panels for manufacturing plants is driven by substantial savings on energy costs. Embracing this trend not only aligns with sustainability goals but also positions companies to thrive financially in the evolving energy landscape of 2023.

 

 
 
 
solar panela for manufacturing

Apply Solar Funding

Apply today to see if your business or home qualifies for free solar panel funding or elidable for solar incentives via government schemes or solar funding companies

Find solar funding options today and reduce your energy costs with our comprehensive solar solutions. Explore flexible solar finance options, including grants, loans, and PPAs, and discover the path to sustainable savings. Contact us today to explore your solar eligibility and start saving.

PPA solar funding for manufacturing companies can be a good idea as these types of agreements come with no upfront costs meaning that your manufacturing company can save £10,000 – £100,000s on solar panel installation costs.

Solar panel funding allows your company to purchase electricity from the solar power pv system at a much cheaper rate than you would buy from the national grid.

The electricity generated from the solar PV system will be sold back to your company at a fixed rate ensuring that you pay less for electricity. 

On average we are able to save commercial companies around 20-30% on electricity bills via a power purchase agreement.

Solar panel funding options for manufacturers

solar options for manufacturing business company

Here at businesses solar panel funding we are here to supply businesses like manufacturing plants with multiple and up-to-date solar panel funding options as solar options may change from time to time.

For example, business solar government grants may only last a year or 2 before the government pulls the grant away.

Other than solar grants other solar options are available such as leasing and also Solar PPAs for manufacturing companies.

Depending on your manufacturing location your local government may have incentives for you to switch to a renewable energy source.

Here we will go over all the different types of solar panel funding for manufacturing businesses up and down the UK.

Solar Grants for manufacturers

solar power grants for Manufacturers and Manufacturing companies

Solar panel grants for manufacturing companies are available if you meet the criteria but are only applicable to certain types of businesses.

Solar panel grants can come in different shapes and sizes meaning you could receive a solar grant for a full solar power system and installation or you could receive a grant for just installation for your manufacturing company.

Grants are paid in full by the government or your local council so there should be no extra cost to you.

Solar grants are mainly offered by the government or your local government or they could be offered by an energy supplier, however, these types of grants do change from time to time.

To view up-to-date available solar panel grants for manufacturing companies in the UK please click the button below

Solar PPA (power purchase agreement) For Manufacturers

Solar power purchase agreement for solar power grants for Manufacturers and Manufacturing companies

A solar PPA for manufacturing companies may also be a good idea as Solar PPAs mean you don’t have to put down any money when it comes to solar panel installation.

Solar PPA works by Solar PV companies installing Solar panels on your manufacturing building roof and then you are able to buy the electricity generated from the Solar power pv system at a cheaper rate than the national grid.

Solar Power purchase agreements are always available for businesses, not like government grants.

Manufacturing companies can reap great rewards from solar funding, as there are no initial costs to set up the system.

Moreover, any potential damages or solar panel failures will be taken care of by the solar funder. 

This makes it a safe and hassle-free way for businesses to take advantage of this sustainable energy source!

 

Power purchase agreement savings 

A solar PPA is a great solar panel funding option for manufacturing companies as solar installation costs can be anywhere from £10,000 upto £500,000 depending on your manufacturing company size and electricity costs.

On average companies in the UK can save around 20-40% on electricity bills utilising a solar PPA, however, this will depend on the location of your manufacturing company, shading, climate and more.

Solar PPA’s contact length can be anywhere from 10-25 years, the length of the contract will depend on how much you want to pay per KWH.

for instance, if your manufacturing company wants to pay less for KWH usage then the contract length with be longer (around 25 years maximum) and if you want a shorter length of solar PPA you will pay more per KWH.

At the end of a solar Power purchase agreement, your manufacturing company will own the solar power system.

To learn more about what are solar power purchase agreements for businesses and to view solar PPA examples click the highlighted text.

Use our Free Solar PPA calculator today to get an estimated price on how much you can save via a solar power purchase agreement for manufacturing companies.

Solar panel funding for Manufacturing plants

Solar Panel Leasing For Manufacturing Companies

solar lease for solar PPA FOR Manufacturers and Manufacturing companies

Solar leasing for manufacturers is great if you want to take advantage of solar energy but don’t want to put down any money upfront. 

Solar panel leasing is similar to Solar PPAs but in this case, Solar companies would own the Solar PV system, not you.

Leasing solar panels also comes with no installation costs as Solar Companies will cover all Solar installation costs. Solar panel leasing presents a great Solar funding solution for manufacturing companies.

The  lease length is usually from 5-25 years, similar to Solar PPA. A solar lease typically works by Solar companies setting up Solar Power systems in your manufacturing building and they will charge you a fixed rate per KWH.

At the end of the Solar lease, Solar Companies take away Solar PV systems and you are free to sign another Solar leasing agreement with a different Solar panel provider.

Buying solar panels outright for my company

Buying solar panels for Manufacturers and Manufacturing companies

Paying the full bill for a solar power system for your manufacturing company may come at a large cost,

It is always essential for manufacturing businesses to seek solar grants and solar funding opportunities as these opportunities may save you more than you think.

Here we have compiled a financial breakdown of small, medium and large manufacturing companies that have bought outright a solar power system for their business.

Small manufacturing company (10-20 employees):

System size: 20 kW

Installation cost: £24,000 – £32,000 (based on an average cost of £1,200 – £1,600 per kW)

Annual electricity production: 19,600 kWh

Average monthly energy cost savings: £245 – £327 (based on an average electricity cost of £0.125/kWh)

Annual energy cost savings: £2,940 – £3,920

Annual CO2 emissions reduction: 10.2 tonnes

Simple payback period: 8-11 years

Medium manufacturing company (50-100 employees):

System size: 100 kW

Installation cost: £120,000 – £160,000 (based on an average cost of £1,200 – £1,600 per kW)

Annual electricity production: 98,000 kWh

Average monthly energy cost savings: £1,225 – £1,633 (based on an average electricity cost of £0.125/kWh)

Annual energy cost savings: £14,700 – £19,600

Annual CO2 emissions reduction: 51 tonnes

Simple payback period: 8-11 years

Large manufacturing company (200-500 employees):

  • System size: 500 kW
  • Installation cost: £600,000 – £800,000 (based on an average cost of £1,200 – £1,600 per kW)
  • Annual electricity production: 490,000 kWh
  • Average monthly energy cost savings: £6,125 – £8,166 (based on an average electricity cost of £0.125/kWh)
  • Annual energy cost savings: £73,500 – £98,000
  • Annual CO2 emissions reduction: 255 tonnes
  • Simple payback period: 8-11 years

It is critical to conduct a thorough feasibility study and seek advice from experienced solar professionals in order to determine the most suitable financing option and project size for your manufacturing company.

Keep in mind that these estimates vary based on several assumptions, such as specific project characteristics, electricity rates, and system performance.

The Benefits of Solar Panels for Manufacturing Companies

The Benefits of Solar Panels for Manufacturing Companies

Manufacturing companies come in all shapes and sizes up and down the UK, also manufacturing companies tend to have large amounts of space on their rooftops.

This makes it more beneficial for manufacturing companies to choose solar panels to lower electricity costs and also help the environment as manufacturing companies use a large amount of energy to conduct business operations.

Here are more benefits:

1. Solar Panels lower energy costs: Solar panels can reduce electricity bills by up to 40%, depending on Solar PV system size and Solar panel efficiency.

2 Solar Panels generate free energy: Solar panels produce free electricity that you can use in your manufacturing business, Solar panel energy is free, Solar Panels don’t rely on external energy sources like Solar batteries or Solar generators.

3 Solar panels are a breeze to maintain: they need minimal upkeep, their efficiency and lifespan can diminish over time but you’ll be covered by warranties if your Solar PV system needs replacing.

4 Clean source of energy: Not only do Solar Panels create renewable energy from the sun, but they also mitigate harm to our environment.

This is because solar PV systems don’t emit any toxic by-products, while simultaneously reducing the number of greenhouse gases released into the atmosphere.

Furthermore, solar panel energy is completely recyclable and can be used over and again in a sustainable manner!

If you’re a manufacturing business in the UK looking to take advantage of Solar panel systems, Solar panel funding and Solar financing is available now.

Solar for Manufacturers How Solar Energy is Revolutionizing Manufacturing Industries

Solar power systems for Manufacturers are becoming more popular all over the industry and are starting to come to think of the idea of solar to power their energy needs.

Here are some specific examples of how solar energy is being used by manufacturers today:

  • Food and beverage manufacturers: Solar panels can be used to power refrigeration units, water pumps, ovens, mixers, and blenders.
  • Pharmaceutical and biotech factories: Solar panels can be used to power clean rooms, air handling units, refrigerators, freezers, and centrifuges.
  • Paper and pulp mills: Solar panels can be used to power digesters, boilers, pumps, and paper machines.
  • Plastics and polymers manufacturers: Solar panels can be used to power extruders, injection molding machines, ovens, and dryers.
  • Metal fabricators: Solar panels can be used to power CNC machines, welding equipment, furnaces, and compressors.
  • Textile and clothing manufacturers: Solar panels can be used to power sewing machines, looms, dyeing machines, and washing machines.
  • Chemical manufacturers: Solar panels can be used to power distillation towers, reactors, centrifuges, and pumps.
  • Glass and ceramics manufacturers: Solar panels can be used to power furnaces, kilns, melting pots, and grinders.
  • Wood product manufacturing: Solar panels can be used to power sawmills, kilns, sanders, and finishers.
  • Automotive and aerospace: Solar panels can be used to power assembly lines, paint shops, testing equipment, and wind tunnels.
  • Electronics and computer manufacturers: Solar panels can be used to power clean rooms, soldering ovens, assembly lines, and testing equipment.
  • Furniture manufacturers: Solar panels can be used to power sanding machines, saws, drills, and finishing equipment.
  • Building materials: Solar panels can be used to power cement mixers, kilns, presses, and furnaces.
  • Packaging and labeling manufacturers: Solar panels can be used to power printing presses, die cutters, laminators, and gluers.
  • Printing and publishing manufacturers: Solar panels can be used to power printing presses, collating machines, binding equipment, and finishing equipment.

Solar energy is a powerful tool that can help manufacturers to achieve their sustainability and financial goals. If you are a manufacturer, you should strongly consider investing in solar energy.

Case studies of UK manufacturing companies that took advantage of solar panels

Here are some examples and case studies of UK manufacturing businesses that acquired solar panels for their company.

  1. JLR (Jaguar Land Rover)
    JLR installed a 5.8 MW solar panel array at its manufacturing plant in Solihull, England, in 2018. The solar panels provide enough energy to power 1,600 homes and will reduce carbon dioxide emissions by 2,400 tonnes annually. The project is expected to save the company over £1 million in energy costs per year.

    William Jackson Food Group
    William Jackson Food Group installed a 1.33 MW solar panel array at its bakery in Hull, England, in 2016. The solar panels provide 15% of the bakery’s electricity needs and reduce carbon dioxide emissions by 500 tonnes per year. The project is expected to save the company £100,000 per year in energy costs.

    Diageo
    Diageo installed a 0.5 MW solar panel array at its Cameronbridge Distillery in Scotland in 2012. The solar panels provide 10% of the distillery’s electricity needs and reduce carbon dioxide emissions by 300 tonnes per year. The project is expected to save the company £50,000 per year in energy costs.

    Kingspan Insulated Panels
    Kingspan Insulated Panels installed a 1 MW solar panel array at its manufacturing plant in Holywell, Wales in 2011. The solar panels provide 20% of the plant’s electricity needs and reduce carbon dioxide emissions by 300 tonnes per year. The project is expected to save the company £100,000 per year in energy costs.

All of these case studies highlight just how immensely beneficial solar panel installation can be for UK manufacturing companies.

Not only do they help to drastically reduce energy costs and carbon dioxide emissions, but they are also vital in helping the country meet its climate change goals.

It is clear that investing in solar panels pays off both financially and environmentally!

Conclusion

Solar panel financing and Solar Panel Funding For Manufacturing Companies in the UK are great ways to lower energy costs and increase company profits.

Companies can take advantage of Solar PV systems to generate free energy and benefit from renewable energy sources.

Solar panels also have a positive environmental impact, helping to reduce carbon dioxide emissions.

With Solar Panel financing and Solar panel funding, UK manufacturing companies can take full advantage of Solar PV systems and benefit from the long-term savings they offer.

Resources

UK Government Grants schemes for businesses.

https://www.gov.uk/guidance/find-funding-to-help-your-business-become-greener

Ofgems information about business solar funding options.

https://www.ofgem.gov.uk/information-consumers/energy-advice-businesses/find-business-energy-efficiency-grants-and-schemes

Information on tax incentives and schemes for manufacturing companies.

https://www.gov.uk/green-taxes-and-reliefs

https://www.taxinsider.co.uk/green-tax-breaks-for-uk-smes#:~:text=If%20your%20business%20is%20energy,to%20meeting%20set%20energy%20efficiency

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Investing in solar panel funding and financing for UK manufacturing companies is a strategic move to slash energy expenses and boost profits in 2023. Over the last decade, solar panel costs have seen a remarkable 70% reduction (2010-2020), attributed to advancements in solar engineering, manufacturing, and technology.

Today, the surge in solar panels for manufacturing plants is driven by substantial savings on energy costs. Embracing this trend not only aligns with sustainability goals but also positions companies to thrive financially in the evolving energy landscape of 2023.