Choosing the right commercial solar system has many great perks.
Solar Power has become an attractive investment option for Perth and Western Australian businesses.
How much energy will commercial solar panels in Perth generate?
Generally, a solar PV system in Perth will generate an average of 5.3kWh (kilowatt-hours) of energy per kilowatt of capacity per day on average throughout the year. This is based on 30 years of sunlight data from the Bureau of Meteorology.
Therefore, on average, a 10kW solar system will generate around 53kWh of energy per day, whilst a 100kW solar system will generate around 530kWh per day (with less in winter and more in summer months. Actual energy yields will vary depending on location, orientation/tilt angle and the components used. The below table shows the expected output from typical commercial solar system sizes.
Westsun Energy’s engineers will review your power bills with you whilst providing a detailed summary of the optimal size system and expected savings through the life of your commercial strategy.
Connecting your Commercial Solar System with Western Power
Systems under 30kW
For smaller commercial systems that are less than 10kW per phase, there is a streamlined and no-cost application process with Western Power. Westsun Energy can complete this process for you.
Solar Power Systems between 30kW and 150kW
The cost to install systems with an inverter capacity over 30kW in Perth significantly increases due to the mandatory connection requirements from Western Power. Western Power owns and operates the electrical network coverings in Perth and surrounding areas. For systems between 30kW and 150kW, there is an enquiry and application cost of $5,250, plus the costs of an engineering study and a requirement to install a Grid Protection Unit (GPU). This usually adds around $12,000 to $18,000 to install a Solar PV system. As a result, systems with a 39kW DC (solar panel rating) with a 30kVa inverter are pervasive to streamline the application process and avoid additional costs that don’t benefit the business.
Solar Power Systems over 150kW
Solar Panel Systems over 150kW in inverter capacity are subject to the exact requirements as systems between 30kW and 150kW, although they have a slightly higher upfront application and enquiry cost of $8,500. After the engineering review by Western Power, larger systems are often subject to specific design requirements of export limitation or the need to install SCADA network protection which can affect the ROI of a project. Westsun Energy has over ten years of experience with and navigating these requirements.
Commercial solar system pricing in Western Australia and Perth
Below you can see the costs of solar systems over 30kW in Perth.
Financing for Commercial Solar Systems in WA
You can finance your solar system in Australia in several different ways, which can provide you with a positive cash flow from day one with zero upfront costs. Below are the three most common options:
Rent to own (operating lease)
- The solar system is rented to businesses for specific term, meaning repayments are deductible
- Current tax rules deem that the asset is on the balance sheet
- The company makes an offer to buy at the end of the term (usually two months or repayments) to acquire an asset
General Terms
- 3% to 6%
- 2 to 10 years
Chattel Mortgage
- The solar system becomes collateral for the loan
- Full ownership (and depreciation benefits) from day one
General Terms
- 3% to 6%
- 2 to 10 years
Power Purchase Agreement
- Business only pays for the energy produced by solar at a lower rate than what they are paying their retailer
- Only financing method where the asset is off the balance sheet
- Responsibility to maintain asset remains with ppa provider through terms of the agreement
General Terms
- 8c per kWh to 15c per kWh
- 7 to 30 years
Two things to get right on your commercial solar project
Commercial solar projects follow rigorous procurement processes, ensuring you have a solid approach that will lead to a great solar investment.
1. Independent financial model to confirm feasibility and ROI
The environmental benefits of solar projects are clear. However, most commercial projects come down to an evaluation of the economic attractiveness of the overall project. Westsun Energy will help develop the financial model with our experienced photovoltaic engineers, who have over ten years of experience within the solar industry.
2. Understanding federal solar rebates
Commercial solar prices are at all-time lows in Australia, partially due to the federal government solar subsidies available through Australia’s Renewable Energy Target (RET). For solar systems up to 100kW of solar PV, the RET provides an up-front incentive in the form of STCs (small-scale technology certificates. Whilst systems larger than 100kW, the RET provides an ongoing incentive (until 2030) in the form of Large-scale Technology Certificates (LGCs).
At Westsun Energy, we have over ten years of industry experience, and we understand choosing the right commercial solar system can be difficult. We strive to provide our customers with as much information as possible, ensuring their smooth solar journey. We are Perth’s leading commercial solar specialists and are always here to help. Contact us today to learn everything you need about commercial solar.
