Climate change and global warming are caused by the emission of greenhouse gases, which are largely caused by business-driven economic activities such as manufacturing and distribution. These result in rising global temperatures and more frequent extreme weather events. However, businesses can also become the greatest solution to preventing and mitigating climate change effects on the environment and the people.
Businesses that are also building owners can contribute to Singapore’s net zero emissions goal by choosing to power their buildings with green energy such as solar energy. Aside from playing their part in reducing greenhouse gas emissions and lowering their carbon footprint, adopting solar energy also provides numerous benefits. Some of them include reduced electricity bills, improved energy security and independence, as well as enhanced green credentials and corporate social responsibility (CSR). Additionally, businesses may be able to monetise the electricity generated by their solar panels. Read on to learn more about the solar energy schemes that companies can take advantage of and how they will benefit the business.
1. Power Purchase Agreement
The Power Purchase Agreement answers Singapore’s increasing demand for renewable energy and allows businesses to easily adopt solar energy. Under this agreement, the solar company—Union Solar—will fully finance the solar PV systems that will be installed, design a suitable solar panel structure suitable for the building’s roof shape and size, manage and oversee the installation of the solar panels, and provide maintenance for the system.
Building owners will not have to fork out any upfront investment costs, and will only be charged the solar energy consumed by the building at a competitive electricity tariff rate over a period of 20 to 25 years, which is approximately 20% below the current retailer tariff. The solar PV system will be integrated properly into the building’s system such that the electricity generated can be consumed directly on-site by the building and tenants.
2. Solar Roof Rental Scheme
The Solar Roof Rental Scheme is a programme that uses a solar leasing model to allow businesses to monetise the unused rooftop space on their buildings. Under this scheme, businesses will be paid a rental fee in exchange for the space on their roof, which will be used to install more solar PV systems to facilitate large-scale renewable electricity generation. This solar leasing method enables businesses to contribute to providing the country with affordable renewable energy solutions. Participating building owners may also opt to purchase the solar energy generated for their building’s own use, reducing their environmental impact and lowering their monthly energy bills.
Both of the solar schemes work differently but they provide similar benefits to building owners in Singapore, which is the easy adoption for solar power. Under the Power Purchase Agreement, solar companies bear the investment costs and handle all installation and maintenance work. Similarly, the Solar Roof Rental Scheme lets businesses adopt solar energy by giving them the option to rent out their roof space for green energy generation, which will also be managed entirely by the solar company, as well as the option to purchase the generated electricity for their building.
Union Solar is a solar developer, owner and operator in Singapore that is dedicated to achieve sustainable success by providing businesses and households in Singapore with renewable energy solutions. Get in touch with us to find out more about the available solar schemes.