LOAN | $500,000 | 122kW
This new Silicon Valley hotel wanted solar for marketing purposes and to manage its large electricity bill. The company could use the solar tax benefits so we structured a 7-year solar loan.
The 122kW roof mount system reduced their electricity bill by 90%—that’s about $42,000 in first year savings—and the system will generate over $700,000 in cash flow over the life of the system.
Hotels have an electricity usage profile that is ideal for solar. Guests are usually out during the day so air conditioning use is low when solar is output is highest. Most of the electricity produced by the solar system during the day is fed to the grid at relatively high daytime rates. When guests are in their rooms at night, the hotel is able to buy electricity from the utility at lower off-peak rates. And utilities are a major expense for hotels, so the high savings solar generates can have a big impact on profitability.