
Calculating ROI for Commercial Solar Installations
Commercial Solar ROI: What Columbus Businesses Need to Know
If you're running a business in Columbus or anywhere across Central Ohio, you've probably looked at rising energy costs and wondered: Is solar worth it?
The answer is yes, especially when you understand how to measure the return on investment (ROI) for commercial solar panel systems.
What Drives ROI for Commercial Solar?
ROI measures how long it takes your solar investment to pay for itself—and how much money it saves you over time.
Here’s what shapes that ROI:
Upfront cost (equipment, installation, grid connection)
Federal and state incentives
Your current electricity rate and usage
System size and production
Battery storage benefits
Long-term maintenance and warranty
For most businesses in Columbus, solar ROI falls between 5 to 9 years, with systems delivering 20+ years of energy savings after that.
Why Columbus Is Prime for Commercial Solar
Ohio businesses benefit from:
The 30% federal Investment Tax Credit (ITC)
Accelerated depreciation (MACRS), which lets you write off most of the system’s value in Year 1
High grid energy costs, making savings more valuable
A strong local solar market and reliable installers like BC Solar
Bonus: Battery Storage Reduces Peak Demand Charges
One unique advantage in commercial solar is demand charge reduction.
Ohio utilities charge commercial customers not just for energy used (kWh), but for peak usage (kW). That means a quick power spike can cost you hundreds—or thousands—each month.
Our battery systems detect those peaks and cover them instantly with stored solar energy. That lowers your grid draw, flattens demand, and saves you big—even if you don’t use solar panels.
How to Calculate ROI on Your Commercial Solar System
Here’s a simplified breakdown:
Add up total installed cost (minus tax credit and rebates)
Estimate annual energy savings (in $)
Factor in demand charge reduction if using batteries
Divide net cost by annual savings
Example:
System cost: $250,000
After 30% ITC: $175,000
Annual savings: $25,000
ROI = $175,000 / $25,000 = 7 years
After 7 years, every dollar saved is profit.
And with warranties stretching 25+ years, that’s a lot of profit.
Why Work with BC Solar?
We’re not just a solar installer. We’re energy problem-solvers.
Battery-first designs to optimize savings
Peak shaving strategies for demand charge reduction
Transparent projections—you’ll know your numbers before signing
Real results—we’ve helped local banks save hundreds of thousands
You’ll never get a one-size-fits-all system from us. Every project is tailored to your building, your usage, and your goals.
FAQ
How long does it take to install a commercial solar system in Columbus?
Most installations are completed in 2–4 months from approval, depending on project size and utility coordination.
Can I install solar without batteries?
Yes—but without batteries, you miss out on demand charge savings and backup power. We always price both options for you.
What incentives are available for commercial solar in Ohio?
The 30% federal tax credit, accelerated depreciation, and potential local grants or utility programs.
Want to see if solar makes sense for your facility?
Call BC Solar at (614) 442-9700 or visit bc.solar to schedule a free consultation.