“It’s All About the Long Run”: How Solar Power Investment Can Lead to Big Savings in the Future

Humans are a species that struggle to look beyond the horizon, and this is part of the reason that solar power investments are often tough to justify on the various city hall and state hall floors around the country. Solar power is an investment in the long run, but for politicians and business that are looking for benefits now, the industry needs to learn how to showcase the savings over the lifespan of a specific project. In this article, we are going to look at how solar power investment can lead to significant savings in the future for solar companies and the cities in which they power.

Pay Now, Save Later

Costing energy projects can be a bit of a challenge, but with solar, costing is quite simple. A typical energy project such as coal or nuclear will cost out building, maintenance and the fuel costs that will need to be used to generate the power to the grid. The issue with these energy projects is that prices for fuel and maintenance are not predictable ten to twenty years down the line, and although there are experts and standards, it is hard to predict something that goes critically wrong with a power generation site.

This is not the issue with solar. Solar energy projects consist of an upfront building cost, maintenance and replacement over the expected lifespan of the project. The benefits of solar projects are that replacement and maintenance costs are easily predictable, and if something goes wrong with a cell, it is a simple replacement. Plus, with the continual dropping price of PV cells, replacement costs could come under budget, and that is something you never see with a non-renewable energy project.

Storage is the Key

When it comes to green energy, many skeptics point out the classic misconception that a solar project cannot power home on a cloudy day. When it comes to showcasing how solar power investment can lead to significant savings, it all comes down to storage. The ability for a solar project to store the energy that it produces is an essential part of any successful project. Whether the project uses larger batteries or a microgrid, the ability for a project to store excess energy will allow for big savings in the future.

Environmental Benefits

Simply put, there is a reason that so many are looking at renewable energy options to power the next generation. Whether you are a developer who takes advantage of the various tax breaks and cost subsidies that exist within the solar industry or someone who is looking for a cleaner energy option, solar energy pays both short-term and long-term. With dropping production costs, substantial subsidiaries and appetizing borrowing rates, the icing on the cake is the fact that solar power will benefit the environment.

When it comes to figuring out how solar projects can lead to significant savings in the future, it all comes down to the money. Whether it is the easily calculated costing, the ability to the store the energy, or the simple environmental benefits, solar projects have quickly become all about the long run.