Even businesses are shifting their gears towards the use of commercial solar power as a major financial decision. Why is that so? With the generous incentives from the federal government and the state, the ever increasing and fluctuating electrical rates and the limitless energy of the sun are all their motivation to switch over to solar power.

Investing in commercial solar power can offer long-term savings and quick payback as it provides one's company protection against increasing electrical rates. Moreover, it allows the company to actually forecast its expenses far into the future.

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How does commercial solar power work?

The photovoltaic cells are installed on the ground or on the roof of the business facility. This converts the sun's energy into DC power. The power is then sent to a device, known as the inverter. Inverters convert the DC power to AC power which is similar to the AC power from utility grids.

The power then travels to the breaker box or the electrical service panel wherein it is allocated to electrical loads throughout the facility. The excess power generated on the other hand flows into the utility grid through the electric meter. This causes the meter to run backward thus producing credit with the utility company.

With the possibility of gaining credit, an agreement should be made between the business owner and the utility company. The agreement, known as net metering, should state that the utility will give credits to the business account for the excess electricity that it produced and feed into the utility grid.