Savings and Renewable Energy

Some clients have asked us to review proposals they have received for solar installations within their businesses. From the experience gained as a part of the review process, we can now confidently state that all proposals ought to be specifically evaluated, taking into account the particular costing structure for that location. We make this statement because network charges vary from location to location and from customer to customer.

Because network charges constitute a majority proportion of most bills, it is essential to know the structure of the network charge before you can calculate the savings that are likely to be generated from any renewable source. These comments are particularly directed towards people in country areas where there is much greater variety of charging structures, but the particular load pattern of a client will also be relevant to the savings likely to be generated. As we have noted in our article “Where are electricity prices headed”, you cannot rely on future price increases to provide increased incentive for alternative investment decisions regarding your electricity supply.

So, what’s the bottom line? Take care when making decisions to install local generation, including solar!