The Future of Energy: Why Solar is a Business Imperative.
The changing Energy Landscape
The energy landscape is changing rapidly, and businesses that fail to adapt risk falling behind. The UK has committed to an ambitious emissions reduction target of 81% by 2035, up from 68% by 2030, underscoring the government’s focus on decarbonisation and energy security.
To meet these targets, the UK’s solar capacity must grow fivefold in the coming years, with the ambition to deploy at least 100GW by 2050. The UK’s solar capacity has already increased by 1GW annually, reaching 17.2GW from October last year, highlighting the rapid growth of solar adoption. For businesses, this presents both a challenge and an opportunity—those who embrace solar will gain a competitive advantage, while those who delay may face rising energy costs, stricter regulations, and increasing pressure from stakeholders to demonstrate sustainability commitments.
Hidden energy costs
While many businesses focus on the cost per kilowatt-hour, a substantial portion of their energy bills—up to 70%—is made up of non-commodity charges. These charges include network costs, policy fees, and other regulatory expenses that are often hidden within your energy rate. As these non-commodity costs continue to rise, businesses without alternative energy solutions will face increasing financial pressure. Investing in commercial solar panels helps mitigate these costs by reducing reliance on the grid.
The benefits of strong ESG performance
Sustainability is no longer just a corporate buzzword—it’s a strategic necessity. Investors, customers, and regulatory bodies are demanding environmental transparency, and businesses that fail to act could lose out on funding, contracts, and market share. This shift is driven by a growing emphasis on Environmental, Social, and Governance (ESG) criteria, which now play a critical role in procurement, supplier selection, investment decisions, corporate valuations, and stakeholder expectations. National & local government now apply a minimum 10% weighting to ESG performance when awarding new contracts which is expected to rise. Companies with strong ESG performance are not only more attractive to investors but are also better positioned to manage risks and seize new market opportunities.
By transitioning to solar, businesses can future-proof operations, cut long-term costs, and enhance brand credibility in a sustainability-driven, ESG-focused economy.
Act Now or Pay Later: Why You Can’t Afford to Ignore Solar in 2025
Rising Energy Costs Are Inevitable – Electricity prices have surged by over 50% in recent years, with further increases expected. Making the smart investment in solar today will protect your business from volatile energy costs.
Competitors Are Gaining an Advantage – Many businesses are already switching to solar to cut costs, boost sustainability credentials, and appeal to eco-conscious investors and clients. Notably, commercial installations grew by 25% in 2024 compared to 2023- An investment that helps maintain your competitive edge.
Energy Security Is Becoming a Business Risk – The UK’s energy crisis (2021/2022) highlighted how quickly electricity and gas prices can rise. Onsite solar reduces reliance on the grid, providing a secure, stable energy source that protects your business from supply chain disruptions and fluctuating market rates.
Sustainability Drives Business Growth – 80% of consumers and investors prefer to work with environmentally responsible companies. Solar energy enhances your ESG credentials, making your business more attractive in the marketplace and enabling you to score higher on tender and frameworks
How Businesses Are Already Benefiting
These benefits are widely recognised by our clients throughout the UK, driving the continued growth and success of the commercial solar sector.
Typically, our clients have reduced daylight power reliance on the grid by 40%, reducing Scope 2 emissions and lowering costs. As a result, many businesses have met value chain demands and secured new contracts from the shift in contract weighting and ESG targets.
As an example, Harlow Leisure Zone has embraced solar energy with a circa 700kWp system, anticipated to save approximately 2,909 tonnes of CO₂ over its lifespan. In the first year alone, the installation is projected to reduce emissions by 124 tonnes. The analysis demonstrated a sub-3-year payback and Internal rate of return (IRR) of 35%, demonstrating the long-term environmental and financial benefits of solar investment.
Take the Step Toward a Sustainable, Cost-Efficient Future
If your business is considering the shift to solar, a knowledgeable provider like Energy Gain UK can offer the guidance and expertise necessary for a successful transition. Embracing renewable energy isn’t just about enhancing energy efficiency; it’s about positioning your business as a sustainability leader in a rapidly changing market.
Get in touch today for a free consultation and power your business with solar.
