Avoiding Common Pitfalls in Commercial Solar Installation: Lessons from a 660kW Project
Businesses across the globe are embracing commercial solar systems as a way to slash energy costs, reduce their environmental footprint, and achieve long-term energy independence. While the benefits of solar power are undeniable, installing a high-performing system isn’t without its challenges. It’s not uncommon for businesses to encounter obstacles during the planning, installation, or maintenance phases that can lead to underperforming systems, hidden expenses, or missed savings.
Fortunately, with the right approach and a knowledgeable provider, these pitfalls are entirely avoidable. Sancell, a packaging manufacturer in Melbourne, recently installed a 660kW solar PV system. Designed and installed by Quality Energy, this case study is a prime example of how taking the proper steps can lead to incredible outcomes. Their system now generates an estimated 778,523kWh annually, saving them over $127,000 and reducing 523 tonnes of carbon emissions every year.
In this post, we’ll highlight the most common pitfalls businesses face when considering commercial solar systems and share insights from Sancell’s successful project to help you avoid these mistakes and make the most out of your solar investment.
The Common Pitfalls in Commercial Solar InstallationInadequate Feasibility Assessments
One of the most frequent, yet easily avoidable, mistakes in commercial solar is failing to conduct a thorough feasibility assessment. A lack of detailed planning—such as not evaluating roof space, load capacity, or energy demand—can result in a system that underperforms or poses safety risks.
Quality Energy carefully assessed Sancell’s roof structure, available space, and energy requirements to recommend the most optimal solution. By implementing a well-designed 660kW system across their facility, the project successfully balanced Sancell’s energy demand and sustainability goals. Businesses should always ensure that a professional feasibility assessment is conducted to prevent overspending or inefficiencies.
Underestimating Energy Usage and Growth
Installing a solar system that only meets today’s energy needs without considering potential future growth is a common error. Energy demands often increase as businesses expand operations, adopt new technologies, or adjust production schedules. Planning only for the present can result in needing costly upgrades sooner than expected.
By analyzing both current and anticipated energy demands, Quality Energy ensured that Sancell’s system was sized appropriately to handle their future energy requirements. This strategic foresight helped Sancell avoid oversizing or undersizing their system, maximizing its cost-effectiveness.
Choosing Cheap or Low-Quality Equipment
Opting for cheaper equipment with shorter warranties or lower performance is another pitfall that can undermine the success of a solar installation. While upfront cost savings may be tempting, low-quality panels and inverters tend to degrade faster, require more maintenance, and lead to higher replacement costs.
Sancell’s system incorporated premium components, including 1,500 Risen Energy N-Type panels and six Sungrow 110kW inverters. These were backed by extensive warranties, including a 25-year product warranty and 30-year performance guarantee for the panels, as well as a 25-year extended inverter warranty. Choosing high-quality equipment ensured long-term reliability and performance, reducing the risk of unforeseen issues down the track.
Ignoring Rebates and Incentives
Many businesses miss out on significant cost savings because they’re unaware of local rebates, tax incentives, or government programs aimed at promoting renewable energy adoption. This oversight can substantially increase the payback period or reduce the system’s financial benefits.
Overlooking Maintenance Plans
Solar systems are designed for longevity, but like any technology, regular monitoring and maintenance are required to ensure peak performance. Failing to establish a maintenance routine can lead to lower energy output and a reduced return on investment over time.
A Focused Eye on Financial Return
Sancell’s commercial solar installation wasn’t just about sustainability—it was a financial decision as well. Through the system’s efficiency and design, Sancell achieved:
- $127,000 in estimated annual savings: A significant reduction in electricity costs, providing immediate financial relief.
- A 23.8% internal rate of return (IRR): This metric shows just how effective the investment has been, beating traditional financial returns in other asset classes.
- A faster payback period: Thanks to the exceptional performance of the system and lower energy costs, Sancell is on track to recover their costs well within the projected time frame.
Sancell’s ability to plan proactively and measure the system’s financial return over time makes their project a prime example for other businesses looking to evaluate the value of solar.
Achieving Sustainability Goals with Impact
Beyond the financial savings, Sancell’s commitment to sustainability drove their decision to go solar. By installing a system capable of generating 778,523 kWh annually, they have drastically cut down on their reliance on non-renewable energy sources. Additionally, the system reduces 523 tonnes of CO2 emissions each year, making a substantial contribution to their corporate sustainability goals and environmental targets.
This dual focus—on financial and environmental payoffs—allowed Sancell to create a model of how businesses can successfully blend profitability and green energy.
Choosing the Right Partner
Sancell’s success ultimately came down to one major factor: their choice of provider. By partnering with Quality Energy, a trusted expert in renewable energy solutions, they avoided common pitfalls and received tailored advice for their unique needs. Quality Energy handled every aspect of the project, from feasibility studies to high-quality installations and warranty guarantees, ensuring a smooth and well-executed process from beginning to end.
By taking these steps, Sancell set themselves up for long-term success, showing that with the right partner, careful planning, and a commitment to quality, businesses of all sizes can reap the rewards of commercial solar.