In November 2024, during the COP29 summit in Azerbaijan, Prime Minister Keir Starmer reaffirmed the UK’s commitment to achieving net-zero emissions by 2035, targeting an 81% emission reduction compared to 1990 levels. Central to this goal is the expansion of solar energy, particularly through the increased adoption of rooftop solar installations by small and medium-sized enterprises (SMEs).
With the UK’s installed solar capacity reaching a record 16.7GW—nearly 3.5 times more than a decade ago—there remains significant untapped potential. Notably, less than 5% of industrial and commercial rooftops are currently equipped with solar panels. SMEs, which account for approximately 14% of the solar market with installations ranging from 4kW to under 50kW, are poised to be instrumental in achieving the government’s goal.
Benefits of solar PV for SMEs
This environmental impact can also attract sustainability conscious customers to your business.
Overcoming financial barriers
While the benefits are clear, the initial investment can be a hurdle for many SMEs. However, various funding options are available to support solar PV projects:
Government funding: Targeted loans and grants, such as the Industrial Energy Transformation Fund and DEFRA Farm Productivity Grants, can offset installation costs.
Regional schemes: Local authorities offer programs like Birmingham’s Net Zero Grant Programme and Lancashire’s Chamber Low Carbon Grant to assist businesses in their green initiatives.
Green loans: Financial institutions, including NatWest and Barclays, provide green loans specifically designed to fund renewable energy projects for SMEs.
Power Purchase Agreement (PPA): PPA enables organisations to make the switch to low-cost, clean energy, without any capital expenditure. This is typically an agreement between a business, renewable energy generator and sometimes the energy supplier. These long-term agreements involve renewable energy being purchased at a fixed price over a set period.
Taking the next step
As an SME, embracing solar energy not only contributes to the UK’s net-zero ambitions but also offers tangible financial and environmental benefits for your business. At Consultiv Utilities, we can guide you through the process of adopting solar PV systems, from assessing your energy needs to identifying suitable funding options.
Reach out to us today to learn more about our sustainable offerings: Contact Us – Consultiv Utilities
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