Commercial Solar Finance Options
Detailed analysis is provided from an early stage, with flexibility to change parameters or plan for specific scenarios to ensure that all bases are covered.
Our collaborative, transparent, and conservative calculations surrounding CAPEX, Financed, and PPA systems provide complete analytical breakdowns that allow any changes to seamlessly integrate and ensure the project maintains momentum.
Capital Expenditure (CAPEX)
CAPEX in the context of a renewable photovoltaic energy system can be critical for showcasing your companies foresight and ability to invest in the future of your companies energy. Amidst the rising prices of electricity, fluctuations in the energy market, and the capacity to make a profit from energy generated on weekends and holidays, CAPEX can be crucial for indicating your companies ability to grow.
The CAPEX required for renewable and low Carbon Technologies is variable on a project-by-project basis. Along with the carbon benefits, the efficiency of generating power at source provides significant savings to the end user. The CAPEX option allows your organisation to own an energy generating asset from day one; providing an instant reduction in operating expenses. As the system becomes an asset it also means that the expenditure hasn’t left the organisation but has moved from the Profit and Loss account to the Balance Sheet, thus allowing the retention of funds that would normally be lost via energy company invoices. The CAPEX option delivers a typical payback period between 3 and 5 years and provides the greatest level of savings
Asset Finance Agreements
Energy Gain continues to work with a growing number of renewable and carbon-reduction financiers to allow companies of any shape and size equal opportunity to cleaner energy. Our Commercial Solar Finance options regarding asset financing allow you to have a modern photovoltaic installation and pay for it in a way that best suits your company.
All asset finance agreements complete with your company owning the solar installation in its entirety, and can be reconfigured at any point during the course of your repayment period to dynamically adapt to your companies needs and objectives. Smart financing can ensure electricity savings match the cost of capital and interest payments, yielding a neutral or positive cashflow from day one.
Power Purchase Agreement (PPA)
A PPA enables a business to install a renewable energy source with no upfront, or ongoing maintenance costs, allowing businesses to save money and reduce their carbon footprint from day one. The PPA is a long-term procurement contract between EGUK and the end user, with contract lengths typically between 10 – 25 years. In simplistic terms, you grant rights to allow EGUK to install a renewable technology system on your site and the end user agrees to purchase energy at an agreed rate which is always lower than buying from the grid. PPA contracts tend to have a fixed inflation rate ensuring accurate budgeting/forecasting, whereas the grid commodity costs can be extremely volatile. The long-term savings are approximately 50% less than the savings you gain via CAPEX, but typically provide a 30% saving against grid supplied electricity.
Annual Investment Allowance (AIA)
The UK government has introduced a number of schemes and plans that allow your company to heavily reduce the cost of a renewable energy installation, providing a significant reduction in ROI and stimulating greater business growth. Every project is run through a rigorous pipeline that checks the eligibility of your installation for Annual Investment Allowance as well as any other capital allowance and tax relief measures available to give you confidence in knowing you are paying the lowest amount possible for the quickest return.
You can pre-emptively check your companies solar panel capital allowance and solar AIA using the government investment allowance page here
Quality
We are committed to leading the industry by reducing our client’s carbon footprint impact on the environment and on the community.
In all of our business activities we aim for environmental protection and sustainable development by using best practices and innovation to minimise damaging impacts on the environment.
Our commitment to the protection and enhancement of the environment is underlined by our ability to:
- Reduce waste by evaluating operations and ensuring efficiency and sustainability.
- Minimise toxic emissions through the selection and use of power requirements.
- Establish internal recycling policy and actively promoting it with our suppliers and sub contractors.
- Source environmentally friendly products that are approved and can be recycled.
- Meet all environmental legislations and standards.
Our Environmental Policy is upheld by our evolving internal procedures, training, and commitment to the ever-changing landscape of renewable energy and research into carbon-reduction technologies. A future ran entirely on solar power is not only inevitable but necessary, for our generation and the next.
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Our Accreditations
From Start to Finish
We apply a rigorous engineering approach to all of our projects, starting with energy profiling and leading methodically through the system design, supply, project management, commissioning, verification, maintenance and monitoring.