Solar system for factory: What are the benefits you should know?

For factories, some of the highest expenses are associated with the electricity consumed by their operations. Also, relying on commercial power suppliers means factories are subjected to power fluctuations. Any sudden increase in the electricity price creates uncertainty and disrupts the cash flow management of factories. 

For these reasons and more, we ask you to consider moving towards green energy options such as investing in solar panels and solar energy. Solar power panels have already become the norm and a reliable energy source in many developed areas. 

To make an informed decision to install a solar system for factory, you should pay careful attention to the information provided in this article. Dive in and explore the benefits of installing a solar power system for factory like never before. 

Advantages of a solar powered factory

  1. Saving energy

Electricity expenditure is a source of major concern for every commercial establishment. 

Power costs depend on the factory’s size and usage of grid electricity. However, by installing a solar system for factory, you not only bring down your energy costs but become an energy producer as well. 

Solar modules reduce electricity bills substantially. By exporting surplus energy generated by your solar plant factory, you bring a great benefit to the grid through net metering facilitation. This is particularly beneficial to industrial premises and factories where electricity usage may not be continuous or uniform. 

  1. Reduction of carbon footprint

The normal electricity used by us all, factories included, is generated from non-renewable resources such as fossil fuels and coal. This has an enormous impact on the carbon footprint and contributes vastly to all kinds of pollution and global warming. 

Thus, a solar system for factory would not only help with reducing electricity bills but also gives you a chance to positively contribute to the environment. Your solar powered factory ensures a smart alternative to carbon emissions; thus, encouraging the usage and production of cleaner and greener energy.

Did you know that the iceberg A-76A that’s one piece of what used to be the largest glacier in Antarctica is on the verge of melting as well? 

Global warming due to carbon emissions is a serious demon that the world needs to fight without a delay. And installing a solar power system for factory is a great step towards the cause. 

  1. Tax benefits:

By moving towards a solar system for factory, you open your business up for the various tax benefits the government provides. It is a significant yet unfamiliar advantage of using solar systems for commercial purposes.

For instance, in normal circumstances, you receive only a 5% depreciation against the cost of your asset. However, by installing a solar system for factory on the roof of your commercial establishment, you increase this accelerated depreciation to 40% against the cost of your asset.

The Indian government actively promotes solar systems for factory and other industrial infrastructure through tax reliefs. Needless to say, your business could save a tonne of money through these tax cuts.

  1. Energy independence

By the installation of a solar system for factory, your business establishment becomes energy-independent. It means, your dependency on the grid reduces sharply. 

Instead, your factory will be its own energy supplier. In fact, the tables can be turned, and you may be able to supply the power company with surplus energy. You are now an electricity generator as opposed to your earlier position of being an electricity consumer.

Through this one-time investment, your factory can shrug off all dependency on power companies that can sometimes be unreliable and erratic in their services. 

Moreover, power interruptions due to natural and other causes are all too common and can wreak havoc in a large business establishment such as a factory.

The cost of installing a solar system for factory can be more than compensated by the enormous reduction in overhead costs by way of eliminating commercial power dependency. 

The salient fact here is that a solar power plant for factory guarantees an uninterrupted power supply characterised by low maintenance and zero carbon emission.


This article has touched on the most common benefits of utilising a solar system for factory. You can further exploit these benefits by making the right choice of a solar system for factory. 

It can be done by choosing a system based on your particular requirements that would yield maximum efficiency and power generation to your solar powered factory. 

Additionally, a solar system can ensure that your business flourishes due to a significantly greater return on investment.

In conclusion, we urge you to channel the generous power of the sun to enjoy consistent electricity generation, uninterrupted work operations, tax cuts, selling of your surplus power, and the satisfaction of making Mother Earth cleaner and greener.


1. Does the Indian government provide tax relief for installing solar systems on your business infrastructure?

Yes, the Indian government provides tax cuts to solar-powered assets.

2. What percentage of depreciation do you get for installing solar system for factory?

You would receive a 40% accelerated depreciation against the cost of installing a solar system, as opposed to the 5% depreciation under normal circumstances.

3. How long does a solar power plant last? 

Generally, solar panels can withstand snow, hail, and wind and are extremely durable. The different components of a solar power system for factories could require some replacement after a certain period of time. 

Still, solar panels are entirely sufficient in providing electricity for approximately 25.  Even after 25 years, their working efficiency remains at about 70%. 

4. Why is solar energy important for industries?

Industrial establishments such as factories are great consumers of electricity. When this energy is of the conventional, non-renewable kind, the factories are also huge carbon emitters. 

Thus, switching to highly sustainable greener energy choices such as solar systems can create an enormous positive impact on the environment. 

Furthermore, solar systems allow industries to have higher returns on investments.