A 20kW solar system has now become a standard-sized solar system for small to medium-sized businesses looking to reduce their operating costs by powering their daytime electricity consumption from solar power. Uptake of commercial solar installations in Australia has grown rapidly over the last two years thanks to a significant government rebate of approximately $12,000 on a 20kW system, and because the cost of solar power is now significantly cheaper than buying power from the grid for the vast majority of Australian businesses.
This article will provide a brief overview of the price of a 20kW solar system, potential power yields (in kWh), and financial returns that a business may expect.
The Price of a 20kW Solar System
The price of a fully installed 20kW system has fallen dramatically in recent years. The wholesale price of photovoltaic panels continues to be driven down by market conditions, in particular by the growth of solar in developing markets such as India and China. A 20kW solar system is now almost 1/4 of the price it was in 2008. This significant drop in initial outlay allows many businesses to see a return on their investment in under 5 years, making it an attractive option even if you are leasing your premises.
As a rough guide, the price of a fully installed 20kW commercial solar system starts at around $20,000 – $25,000 and can save you up to around $8,000 a year on your power bills depending on the price you pay for your electricity and how much solar power you are able to use at the time it is generated.
Most businesses will then choose to upgrade their system to high-efficiency panels and to include the latest inverter and monitoring technology. This can increase both the price and the performance of the system. Finding the right system for your needs will typically involve a consultation with one of our representatives, who can run through the pros and cons of the different options.
There are a number of factors that need to be considered when installing a commercial solar system, hence installation costs can vary considerably. Solaray offers a full installation service, which means we will typically take care of council approval and an engineering certificate. Not all solar installers offer this level of service, however, it is a critical part of the process that ensures a safe installation, and it can also absolve board members of liability in the event of an issue with the roof over the life of the system.
Installation costs can also vary, for example, a shed or barn roof will have very few if any additional installation costs, whereas an apartment building or a ground mounted array may have additional costs such as long cable runs, crane hire, and site preparation such as clearing trees and laying foundations.
Please contact the Solaray Commercial Team for more information. We can provide a full quotation with independent analyses and reports that are accepted and trusted by banks. We can also provide figures for commercial leasing arrangements with $0 money down, and immediate savings from your power bill. A commercial solar power system will often be cash flow positive from day one.
20kW Solar System Details
Panels: 64 x 330W panels, for example.
Inverter: The choice of the inverter will depend on a number of different factors. Often we will install 2 x 10kW inverters to maximise reliability and flexibility with panel design. We only provide the leading models from the largest manufacturers including Enphase, SolarEdge, SMA and Fronius.
Mounting Kit: Solaray can design a mounting solution for almost all roof types. The two main exclusions are asbestos and slate roofs. For a flat concrete roof please contact us as this will typically require additional work such as waterproofing.
There are a number of situations where we need to maximise output using a restricted roof area. In this case, we can use high-efficiency panels such as the LG NeON2 panels. Using high-efficiency modules will increase initial outlay but it will maximise returns over the life of the system. Using high-efficiency panels, (rather than standard 270W panels), a 20kW system only needs 64 panels rather than 76, allowing our design team to either increase the size of the system or fit a 20kW system in a much smaller area.
20kW Solar System Output in Sydney
As a general rule, a 20kW solar power system will output around 80 kWh a day averaged out across the year as illustrated in the image here, however, the system will output more than average during the summer half of the year and less in winter. There are a number of factors that influence this figure and these include:
– The location of the system and the expected daily and annual solar irradiation and cloud cover
– The orientation of the roof and the tilt angle of the solar panel array
– Operating temperature of the panels – it is important to use good quality panels that perform well on hot summer days.
– Whether the solar panel capacity is professionally matched to the inverter’s capacity. This is an important design consideration and our commercial team can discuss this with you in more detail.
– The quality of the individual components. For example, a panel from LG Solar may outperform a cheaper Chinese Made panel by 5% or more. This can result in further savings off your power bill, especially when extrapolated out over a year… or a decade.
A 20kW system installed in Sydney with no shade orientated north can generate up to and over 100 kWh on a sunny day in summer. In winter, when the days are shorter and the sun is lower in the sky, a 20kW system may only produce 60 kWh a day.
When you make an enquiry, our commercial solar team will ask you for a number of power bills to analyse when your business uses its power (both across the day and across the year) to accurately size up a solar power solution.
Financial Benefit of a 20kW Solar System in Sydney
A commercial solar power system in Sydney directly reduces your power bills by feeding solar power directly into the main phase of your power supply. Because of this, the potential savings of a solar system depend on how much you pay for your electricity, when you use your power and how much power you use at any one time.
As a rough guide, a 20kW solar system can save you up to approximately $8,000 (this figure will change depending on the price you pay for electricity). For more information please contact our commercial solar team.
With a possible return on investment now well under 5 years, a 20kW solar power solution is an attractive investment option for your business to reduce short to medium term operating costs, and to improve the environmental profile of your business.
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