Businesses that incorporate renewable energy into their sustainability strategy aren’t necessarily doing so just to help tackle the climate crisis, they may just be the more financially savvy.
In this blog, we explore how, by installing renewable energy sources within your business, such as solar panels or wind generators, businesses can save money and the planet at the same time.
What are the benefits of installing renewable energy?
- Make money by selling energy back to the grid
Unlike some other sustainable investments, the decision to develop in-house renewables is an option that not only saves money in the long term but also creates it.
If a business installs an energy generation system that produces more energy than it uses, it can sell that energy back to the grid as part of the Smart Export Guarantee (SEG). Some energy suppliers are now offering a SEG rate as high as £0.15 per kWh.
Making renewable energy a source of extra revenue. Selling energy back to the grid can also help offset any initial installation costs.
- Reduced energy bills
One of the most obvious ways that renewable energy can save businesses money is by reducing their energy bills in the long run.
Installing an 8-panel solar system on a small office would cost approximately £5,500. Although this requires a considerable immediate payment, no further payments for energy are needed from then on.
In addition, advances in battery technology mean that businesses can now store electricity for a time when they really it.
Depending on what system a business choses and their energy usage, renewable energy can cover a significant portion, or even all energy needs.
- Protection from price fluctuations
As we have seen recently, energy prices change over time, and sometimes they fluctuate suddenly and severely.
Changes in the amount of available fuel, demand for electricity, and the costs of generating, distributing, and transmitting electricity all impact the price of energy.
When a business owns its own generation resources it doesn’t have to worry as much about potential price fluctuations. This enables them to forecast costs with more certainty.
- Improved stakeholder confidence
Customers increasingly want to purchase from environmentally responsible companies and some partners and investors may only be interested in firms that can showcase their sustainability credentials.
Switching to renewables can promote investor confidence, support company valuations and improve a company’s reputation among consumers.
Switching to renewables can help businesses significantly reduce their energy bills, but the ways in which renewables can help companies save money go way beyond that as well. The use of clean, renewable energy can help support businesses into the future by reducing costs and risk today and in the long term.
Ultimately, improved resource and energy efficiency means a healthier balance sheet and in times of economic uncertainty, this is particularly crucial for your business’s survival.
With advice from our business consultants your business can make sound investment choices which increase productivity, cut costs and reduce your impact on the environment.
Contact us today to learn more about how we can help you make the shift to renewables.