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Top Considerations for Installing a Commercial Solar Shade Structure

September.20.2023

Top Considerations for Installing a Commercial Solar Shade Structure

September.20.2023

More and more businesses are looking to commercial solar shade structures to generate energy. As electricity prices rise, solar panels provide corporations with an internal energy source that helps them save money over time. Local and state tax incentives are another draw for businesses that want to go green. Even without sufficient roof space, companies can leverage the benefits of solar power by installing solar parking structures that cover their parking area.

Parking areas are one of the best locations for solar shade structures because they are vast and open. A shade’s durable frame also provides shade and protects vehicles from the elements. Businesses can choose a design that optimizes energy production while providing vehicle coverage. Most solar parking shades are grid-connected, but some off-grid solutions are available.

Before installing a solar shade, property owners need to research their options. Several factors will affect the investment, including the business location, budget, incentives, design, and that particular solar shade structure’s maintenance requirements. An experienced installer can help decision-makers choose correctly.

1. Location

The sustainability of a business location and where the company installs the solar shade structure on the property are important in maximizing solar energy production. Facility owners must consider the following before installation:

GEOGRAPHICAL LOCATION

The business location will determine how much sun the property gets. A thorough site assessment and shade analysis are essential to assess the feasibility of installing a solar shade structure on the property. When business owners understand their site and know how much sun their property receives during the day and year, they can choose a solution that optimizes energy production. It’s important to consider the local weather patterns and how much sunlight the area receives versus how many cloudy days there are in a year.

Before installing a solar shade structure, businesses also need to include governing agencies early on in the process. Following this process will ensure the installation meets the necessary permit requirements and reduce the likelihood of the company having to make costly, time-consuming adjustments later on.

Geographical location

BUSINESS LOCATION WITHIN THE CITY

Property owners also need to account for the facility’s surroundings. Properties surrounded by taller buildings and trees make solar installations a little trickier, as structures and trees can block sunlight and reduce the effectiveness of a solar panel shade structure.

When installing solar panels, the neighborly thing to do is conduct glare studies — the angle that gets the most sunlight may negatively affect neighboring buildings. People who work and live around a business will be displeased if a midday glare bounces straight through their windows. Doing a glare study will help uncover problems so the installer can tweak the design to mitigate negative impacts.

Moving panels by a light degree can make a big difference. When making adjustments, businesses need to ensure that the design is still efficient and can produce the desired energy levels.

SOLAR PANEL SHADE STRUCTURE LOCATION ON THE PROPERTY

When solar panels face true south, they gain the optimal sunlight they need to produce energy. True south is different from magnetic south, which is the direction a compass will point. A solar installer can help find the right direction on a property to ensure the highest energy yield. Sometimes, a business’s positioning doesn’t allow the solar shade structure to face this direction. In this case, east- and west-facing orientations can also be viable options.

Finding the optimal tilt for solar panels is another measure that will maximize sun exposure, as installing solar panels at the best possible angle will maximize the amount of energy they produce. The optimal tilt increases the further north a building is located. However, the angle doesn’t have to be static — instead of positioning solar panels at one angle, businesses can gain higher output year-round by adjusting the panels during different seasons.

Find the optimal tilt

During summer, the sun is at its highest, so the tilt angle can be lower. Winter is when the sun is at its lowest, so a higher angle is needed to maximize output. During spring and fall, an intermediate tilt angle will suffice.

For the best results, businesses need to place solar panels in a position that gains them the most sun exposure without causing overheating — while also accounting for glare prevention and mitigating the risk of damage due to environmental factors like snow and wind.

Solar shade structures can also elevate the aesthetic of a business. For example, parking lots are generally wide open concrete spaces. Adding a solar structure helps to enclose the area and create a protected feel while providing shade and protection from the elements.

2. Budget

Installing solar shade structures comes with benefits, but considering the budget and return on investment is important. The installation cost will depend on how many parking spaces a business wants to cover. The great thing about these structures is that they eventually pay for themselves. Calculating how much they will save over time will help companies decide if they are worth the investment.

NUMBER OF SPACES COVERED

The number of spaces that need covering will affect the budget. It’s important to consider the size and design of the area. Businesses need to balance the installation costs, parking space, and the amount of electricity they want to produce. Is the plan to cover handicapped spaces or VIP spaces only? A commercial solar panel structure can range from a small structure covering a few parking places to an extensive one spanning an entire parking lot.

Consider the pros and cons of providing shade for the whole parking lot — this will look different for each business. While larger solar panel shade structures are more expensive to install, the price per watt drops with the increase in size. This decrease happens because some costs remain fixed no matter the size of the structure. For some, it may be a worthy investment.

An installer can also help owners choose an optimal configuration for their energy requirements and parking lot size. For example, three solar panels placed together can cover one row of parking, whereas seven solar panels can cover two rows of parking on one carport structure.

CONSIDER ROI

When businesses install solar panels, they generate their own electricity and become less reliant on utility providers, making them less susceptible to rising energy costs. While the initial investment in solar panels may seem high, property owners can usually recoup what they pay over time in incentives and energy savings. Additionally, if the operation has a company fleet, it can realize extensive savings by keeping vehicles out of the elements and minimizing the risk of damage due to hail.

Many states also have net metering laws, allowing businesses that generate solar power to sell what they’re not using back to the grid. Net metering can help companies recoup their investment quicker because of the credits they earn. In states without net metering, these operations receive credit at a lower rate for the excess electricity they generate — this is known as the avoided cost rate.

Calculate ROI

Before installation, it’s essential for businesses to calculate the return on investment. The ROI will vary depending on the location and the specifics of the operation. To calculate ROI, take the net installation cost less the one-off incentives and compare it to the ongoing incentives and savings on electricity over time.

It’s important to note that the ROI differs from the payback time. Knowing how long it will take the solar system to pay for itself is only the first step, as business owners also need to understand what savings they can expect over the life span of the system.

Before deciding on an installer, owners should gather multiple quotes and look at the estimates for solar panel costs, future energy costs, and savings. Experienced installers can detail the estimated payback period and anticipated return of a solar investment.

3. Maintenance

A solar panel structure will require maintenance over its lifetime. The maintenance demands will depend on the type of system, its location, and various environmental factors.

Shade structure maintenance

OBSERVE SOLAR SHADE STRUCTURE MAINTENANCE REQUIREMENTS

After installation, solar panel structures require regular maintenance to ensure they continue to work correctly and safely. Generally, maintenance needs include cleaning off dirt and grime to ensure that your panels yield optimal performance. This cleaning is mainly for structures in areas that see little rain, which would otherwise help clean off the panels. Depending on the area, facility managers may also need to remove snow from the top of the solar panels regularly.

Overgrown trees and other vegetation can sometimes block sunlight from reaching the solar panels or cause damage. To prevent this, facility owners must regularly trim the surrounding vegetation to ensure that panels get the sunlight they need. Solar panel shade structures are durable, so their maintenance needs are relatively low — a yearly check on the wiring, connection points, and inverters is usually enough to ensure that panels operate as they should. A visual inspection and a paint touchup may also be necessary in some cases.

CONSIDER DESIGN ELEMENTS TO CUT DOWN ON MAINTENANCE

The design of a solar panel shade structure also plays a role in how frequently it needs maintenance. It’s best to install the shade in an area that is naturally clear of trees — this will prevent potential damage from falling branches. The physical structure determines the level of maintenance required as well. Businesses can choose from two basic designs — architectural design or a fixed tilt design.

Solar panel design

Architectural and tracking solar panel canopies tend to blend in with the surrounding buildings. Often, they have two purposes, which are to provide energy and help with rain runoff. Many of these structures have a motor that changes the position of the panels as the sun moves across the sky. By moving, the panel array allows for maximum sun exposure throughout the day. Because of the motorized component, this design generally needs more maintenance than a fixed-tilt structure.

Fixed-tilt panels are positioned in the way that absorbs the most sunlight. The design of these panels also makes the installation more manageable and less costly because installers need fewer tools and time to install them than other designs. These panels only need an annual inspection and maintenance to ensure optimal power output. They are also more durable, so they can easily withstand harsh weather such as heavy wind, snow, and rain. Because the sections are tilted, rainwater and dirt can easily slide off the panels.

A solar tracking system is more complex and requires more care because it contains motorized moving parts, which costs business owners more in the long run. However, these systems are positioned to capture more sunlight and will often generate more electricity.

4. INCENTIVES

Besides saving on energy costs and providing shade, solar panel structures also give businesses access to various incentives that can reduce installation costs and accelerate the payback period and return on investment. Consider the following:

TAX BREAKS

The federal solar tax credit or Investment Tax Credit is an incentive that reduces a company’s federal tax liability by a percentage of its installation costs. In 2022, the Inflation Reduction Act increased the federal solar tax credit to 30% for commercial solar projects.

Solar tax credit

The production tax credit also allows businesses to receive tax credits based on the amount of solar energy they produce for 10 years. Commercial solar projects receive a base credit that changes annually based on inflation. However, business owners must choose between the production tax credit and the federal solar tax credit — they cannot use both incentives.

The Modified Accelerated Cost Recovery System (MACRS) uses a depreciation method that allows businesses to recover their investment in qualifying solar equipment over five years through annual tax deductions. If property owners choose to use this incentive, their installation’s depreciable basis reduces by half the value of the 30% investment tax credit.

The USDA Rural Energy for America Program (REAP) is available to rural small business owners and agricultural producers. This program assists these property owners with up to 50% of grant funding for the total program costs. What’s more, these operations can add the 30% federal solar tax credit to make up a deduction of 80% off of their initial installation costs. It also offers businesses loan options for additional project costs.

IMPROVED BRAND REPUTATION

For many people, environmental responsibility is now more important than ever, which means they are taking a closer look at the companies they purchase from and do business with. Consumers have a positive association with firms that go green and do their part to protect the environment, and many of them express it with their wallets — instead of choosing companies that are the least expensive or the closest to them, people choose to spend with those who have environmentally friendly practices.

This environmental awareness extends to how owners choose to power their businesses. When companies have solar panel structures in their parking lots, it sends a visible message to people that they care about the environment.

Installing a solar structure is one step companies can take to become environmentally conscious and improve their reputation.

SAVINGS ON UTILITIES

Solar panel shade structures also have the potential to help businesses save on utilities. Depending on the system’s size and the structure’s location, solar power can reduce electricity bills by thousands of dollars. Additionally, most businesses pay off their systems within five to seven years, meaning they get to enjoy savings for the remaining life span of their solar shade.

Solar power for utility bills

As mentioned above, businesses may be able to take advantage of net metering if they produce more solar energy than they need. This solar incentive system allows companies to trade with the electric grid in exchange for credit to their account, thereby helping reduce the cost of electricity they buy from the grid and increase the solar system’s value.

Net metering policies differ between states and utility companies, so it’s wise to check the availability of this incentive before installing a solar shade structure.

5. Solar Panel Parking Structure

The type of structure and the installer chosen will affect the longevity of the shade. An experienced, professional installer can advise organizations on the system best suited to the facility’s location. There are a few things that business owners need to consider:

Solar panel parking structure

DURABILITY OF MATERIAL

The quality of the materials in the structure is essential for durability. A durable design will need relatively little maintenance over its life span, making it a worthy investment for business owners. The structure and panel materials should be robust and resistant to medium- and long-term environmental exposure. VPS is certified by the International Accreditation Service as meeting and exceeding the highest standards in the steel fabrication industry so businesses can reap the benefits of high-quality installations.

EXPERIENCE IN DESIGN AND INSTALLATION

When choosing an installer, businesses need to consider their experience and credentials. The installer must have experience in the particular structure and be knowledgeable about the entire process. Business owners should ask how many solar panel parking structures they have installed and how long they have been in the industry. Asking many questions about the materials they use, maintenance needs, and potential incentives will help companies gain insight into the installer’s expertise. VPS has a knowledgeable team with extensive experience designing and installing hail protection and solar parking structures.

SAFETY AND QUALITY

Before making this significant investment, businesses need to enquire about the safety and quality of the structure. Different states and municipalities have specific rules for solar installation. For example, the installer may have to follow certain rules for the electrical wiring, fire safety, permits, and inspections. National codes such as the National Electrical Code (NEC), the International Building Code (IBC), and the International Fire Code (IFC) also apply to solar structures. They govern the standards for designing, installing, and maintaining solar panels.

The safety and quality of the panels themselves are important considerations. Businesses need to choose panels that reputable organizations such as the Solar Rating and Certification Corporation (SRCC), the International Electrotechnical Commission (IEC), or the Underwriters Laboratories (UL) have tested and certified. This measure will ensure that the panels meet the minimum quality, durability, and efficiency requirements.

VPS is an ISNetworld Member Contractor. This designation is unique to VPS in the industry and confirms a commitment to safety, quality, and regulatory compliance.

Contact VPS to Design a Solar Shade Structure

Solar shade structures are a worthwhile investment for businesses wanting to go green and save on electricity bills. These multipurpose structures provide electrical energy as well as shelter and shade for vehicles, though companies do need to consider some important factors to maximize their investment.

The building’s geographical location and surroundings will determine the placement of the solar shade. Creating a comprehensive budget is key to maximizing the return on investment. The type of structure will also determine how much maintenance businesses need to carry out during the system’s lifetime.

VPS offers solar-covered parking solutions that harness energy from the sun to power commercial facilities. These solar panels incorporate a hail protection design to protect company vehicles from the elements. The long-term, durable solar solutions withstand severe weather conditions so business owners can enjoy even more benefits over the lifetime of their shade structure. Made with high-quality materials, our designs deliver a long-term return on investment. Go green and start saving on utilities — contact us today!

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