The Benefits of Solar Energy for Small Businesses and Farmers in Puerto Rico

Solar energy has emerged as an effective solution for small businesses and farmers in Puerto Rico who want to reduce operational costs, increase resilience against power outages, and contribute to a more sustainable future. As the transition to renewable energy sources progresses, it is essential for businesses on the island to understand the benefits a solar energy system with battery storage can provide. Below, we explore the main advantages and how programs like Fundación Borincana’s PRECAP can help you take the first step.

Energy Cost Savings

One of the most evident benefits of solar energy is the significant reduction in electricity costs. In Puerto Rico, where electricity rates are higher than in other parts of the United States, many businesses are choosing to install solar energy systems to reduce their reliance on the grid and, consequently, their expenses.

Estimated savings calculation: If a business currently pays $0.22 per kWh and its solar system can supply 80% of its energy consumption, the reduction in electricity bills is substantial. In the long run, these savings can offset the initial investment in the solar system, especially if a battery storage system is included, allowing energy usage during nighttime hours or power outages.

Resilience Against Power Outages

Solar energy not only contributes to cost savings but also provides energy security. Puerto Rico is vulnerable to natural disasters, such as hurricanes, which can disrupt the electrical service for days, weeks, or even months. Having a battery storage system (BSS) alongside the photovoltaic system allows businesses to maintain operations even when the grid is down.

Benefits of a battery storage system: Batteries store the energy generated during the day and make it available when the electrical system fails, providing a reliable source of energy. This ensures businesses can keep critical operations running, such as refrigeration for perishable goods or the use of agricultural machinery.

Reduction of Carbon Footprint

Opting for solar energy is one of the most effective ways for businesses to contribute to environmental sustainability. Solar energy emits no greenhouse gases, helping reduce the carbon footprint of agricultural and commercial operations. This not only enhances the company’s reputation but also helps Puerto Rico achieve its sustainability goals.

Example of emissions reduction: An average solar system supplying 80% of a business’s energy needs can prevent the emission of over 5 tons of CO₂ annually—the equivalent of planting around 150 trees. This reduction is especially important in the agricultural sector, which relies on a healthy and resilient environment.

Access to Financial Incentives and Assistance Programs

The initial cost of installing a solar system can be a barrier for some businesses; however, there are financing and assistance programs designed to facilitate this transition. In Puerto Rico, programs like PRECAP from Fundación Borincana provide technical and financial support to small businesses and farmers interested in adopting renewable energy solutions.