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Top Reasons why producing solar energy is cheaper than coal-fired energy

As technology has evolved in the renewable energy sector, opting for solar energy has become increasingly common in industries where coal is the main source of power generation. Numerous studies have shown that electricity produced by coal-fired power plants is more expensive than electricity produced by solar energy.

Moreover, solar energy is green energy which brings sustainability. Hence, contributing to the betterment of the environment by cutting down the carbon emissions is another important factor for firms switching towards solar.

The benefits of using solar energy over coal

The majority of people are already aware of the drawbacks, such as the increase in greenhouse gases brought on by coal usage. It includes significant pollution and is an inadequate resource that will gradually disappear.

Solar energy systems use an abundant supply of sunlight and can be installed on roofs, ground, or even car parking. Solar is a non-polluting source of green energy, which is a significant advantage for any large-scale organization. In contrast, the production of fossil fuels like coal degrades the environment. Many users might not be aware that using fossil fuels, in addition to producing greenhouse gas emissions, also causes the water supply to deteriorate and erode.

Pakistan has also taken some initiatives to reduce emissions of greenhouse gases. Due to this, Pakistan also participated in the 26th Conference of the Parties (COP26) to address critical issues such as climate change and its financial consequences.

Solar Power Plants

Solar Power Plants: An affordable option for the C&I Sector.

The following important arguments demonstrate that solar power plants are less expensive than coal-fired power plants.

Solar energy is more environmentally friendly than non-renewable sources like coal and fossil fuels. As a result, electricity produced by a commercial rooftop solar system does not release greenhouse gasses and protects the environment from damaging carbon emissions.

No Capital cost in case of PPA

The PPA contract helps companies to avail solar energy supply without paying any capital cost for installing it on their land. So, the cost of installing on land gets erased. Shams Power’s expert team maintains a precise schedule for all operational maintenance. Throughout the PPA contract, our services will also include cleaning and maintaining the solar system.

Solar Power Plants

Low Costs of Labour

Pakistan has the lowest labour costs, allowing the solar sector to hire many people, resulting in project completion at the absolute lowest pricing and making solar power plants less expensive than coal-fired power plants.

Price Reduction

The price sensitivity has given solar power plants the advantage. The cost of solar energy is determined by the complete analysis of the commercial solar power plant. Crucial parts like solar panels, inverters, and junction boxes are available for significantly less money, even if bought from international suppliers, compared to a coal unit’s energy production. Moreover, if the organization is getting solar energy under a PPA contract, it will only have to pay discounted rates for each energy unit consumed. Therefore, price sensitivity is a major factor that explains why solar is preferable over coal.

Available for the future

Energy Providers like Shams Power are supplying solar power plants at half the cost of coal. Energy storage will be essential in the upcoming years, so coal is scarce, and solar is an abundant power source.

In this regard, the government is also helping the C&I sector realize its long-term goal of elevating the solar industry to the next level.

Hence, the State Bank of Pakistan (SBP) recently announced that it will extend the Financing Scheme for Renewable Energy for two years, which will last up to June 30, 2024.

Shams Power

We provide solar services, including designing, financing, installing, checking, and continuous maintenance for your solar energy plants. We facilitate clients with lucrative solar opportunities so that they can run their businesses and contribute to the environment simultaneously.

For more details, please feel free to contact us here.

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Solar Power Performance Under Different Environmental Conditions

[vc_row][vc_column][vc_column_text][/vc_column_text][vc_column_text]Solar Industry has experienced exponential innovation in technology over the past ten years. With every solar advancement, energy generation has become more efficient and the cost of solar systems has fallen making solar adoption more feasible.

If a firm intends to install a solar power plant on its premises, it is essential to check for the solar system’s energy efficiency. It is prudent for a user to enquire about the factors that affect solar energy efficiency in order to make an informed decision. Moreover, a solar system’s efficiency varies, and depends on several factors.

Factors Affecting Solar Energy Production

Variations in Degrees/Celsius around the country

Many people believe that intense heat results in more excellent power production. However, do you know that the solar system’s efficiency falls by around 0.25% for every degree over 25°C? The solar cells’ maximum generation capacity is dramatically reduced due to the dropping of voltage between the solar cells caused by contact with intense heat. Therefore, it is advisable to opt for locations that will not cause any damage due to extreme heated temperatures.

Solar Power

Shade on the Solar Panels 

There could be a significant power loss if the solar panels are covered in the shade. Solar cells are interconnected in a series (inside or across panels). As a result, the shaded cells stop the current from passing through the complete chain of linked cells. Therefore, solar energy firms in Pakistan advise businesses to avoid putting solar panels in locations where there will be significant shade most of the day.

Angle Alignment

Solar panels must be positioned and slanted to receive abundant direct sunlight throughout the day. Since this cannot be done manually, it is ideal to take the help of experts who can position these solar panels under the direction of the sun from morning to evening. Engineers, therefore, install a solar system under the sun’s direction using yield and shadow analyses.

Solar Power

Solar System Maintenance 

The solar system’s effectiveness is also affected by pollution, precipitation, dust, and sandstorms. Regular cleaning ensures that the solar panel surface is free of debris and produces electricity efficiently.

Hence, monthly cleaning and maintenance are required to generate a high volume of energy units. In the PPA agreement, the energy provider is in charge of cleaning and maintaining the solar system, while the buyer is not liable for any maintenance expenses.

Geographical Positioning

The local climate and amount of daylight vary from location to location in Pakistan. It significantly impacts solar insolation (the frequency of solar power coming every cm2/min). Hence, it is essential to consider the level of solar irradiance on the land if a company intends to buy a solar system for running its business operations.

Effects Of Bad Weather 

Energy suppliers in Pakistan have offered high-quality solar systems to ensure safety from heavy rains, storms, and other weather conditions for more than 25 years. The outer layer of glass prevents solar panel surface heating while allowing raindrops and storm dust to slide off the panels easily.

Are you looking for an experienced and reliable solar energy provider in Pakistan?

Shams Power has installed customized solar power projects over the years, supporting commercial and industrial businesses to install solar systems on their rooftops, grounds, and parking area. We assist companies in achieving a quick and successful transition to clean energy.

Contact us now and get the best solar recommendations from the industry’s experts.[/vc_column_text][/vc_column][/vc_row]

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How to Convince your CEO to Switch to Solar Power

[vc_row][vc_column][vc_column_text][/vc_column_text][vc_column_text]Today, a myriad of big and small enterprises in Pakistan are using commercial solar power systems. This helps them full fill sustainability goals and lowers their electricity costs. As a result, corporates can save their electricity bills and increase their energy independence.

However, if the CEO of your business is still unsure about switching to solar power, don’t worry;

We have several strategies and guidelines to convince your CEO to opt for a solar solution.

Speak Figures

The continuously rising cost of electricity is one of the major concerns all types of companies are facing these days. The worst aspect is that the standard grid energy given by your state’s Disco is insufficient and expensive.

The commercial and Industrial sectors in Pakistan pay highly taxed tariffs and still experience energy shortages that eventually lead to either productivity loss or high investment costs to enable grid energy alternatives. Hence, converting to solar energy can help them save on their electricity bills and future hikes.

The upfront costs required for buying and installing solar plants are now substantially cheaper than they were a few years ago. This is a result of the tremendous advancements in technology. However, if you don’t want to invest a single rupee, Solar PPA is a very feasible model for your organization.

C&I sector in Pakistan is now able to get solar energy without incurring any installation investment or maintenance expenditures, thanks to the introduction of solar PPA. Connect with solar specialists like Shams Power to calculate the energy savings that your company could receive by shifting to solar without any investment. Have these figures on hand because most CEOs are prepared to switch once they understand the financial benefits of solar power systems.

Solar System In Pakistan

Decrease your carbon emissions to increase sustainability

According to a Nielsen survey, globally customers are prepared to spend more for products from firms that are sustainable. The research discovered that 73% of youth and 66% of customers from older generations are willing to pay more for sustainable brands.

Utilizing solar not only has a significant environmental impact but also has a positive impact on your financial line. Solar energy is environmentally friendly and provides electricity that significantly lowers your company’s carbon impact. Since no chemicals or greenhouse gases are discharged into the atmosphere, it has no adverse environmental effects.

You can publicize it on your social media accounts and bring it to your customers’ attention. Your consumers will be informed that your business uses solar plants and that you are contributing to a better future for the environment. Your brand will gain more respect from the general public and customers.

The desire of every CEO for their company is to have a good reputation with clients, and for this reason, you should persuade them to switch.

Solar Energy System-shams power

Become a Leader in Climate Change

Today many large corporations have become climate leaders for a sustainable tomorrow. According to the SEIA (Solar Energy Industries Association). Analysis, some of the largest companies, like Walmart, IKEA, Apple, and Costco, are the most significant solar energy users.

Locally, hundreds of large and small businesses have emerged as leaders in the fight against climate change with the help of solar power purchase agreements. Shams Power has empowered industry-leading corporates to opt for solar energy some of our clients include METRO Cash & Carry Pakistan, Packages Mall, Maxim Agri Pvt Ltd, Nishat Hyundai, Emporium Mall, AkzoNobel Pakistan, and many more

Observe Regulations

Businesses must abide by several environmental laws, including renewable energy and greener solutions. Your company’s decision to go solar demonstrates your dedication to society which will also aid in improving your company’s standing with regulatory bodies.

The Paris Climate Agreement’s goal is to keep global warming below 2 degrees Celsius. Pakistan must also become a leader in the use of renewable energy. Going solar is a priority for the government more than ever.

Initiatives by Government

The state bank of Pakistan recently declared that it would extend the financing scheme for alternative energy for two or more years, ending on June 30, 2024. 

As a result, many businesses are now encouraged to look into solar financing without fear of financial difficulties.

Check if it applies to your business and pitch this to your CEO.

Learn about solar installations that can be done without any investment. Check if it relates to your company, then present it to your CEO.

A Brief Summary

There are several advantages to switching to clean solar energy for businesses. Large businesses throughout all sectors can benefit from solar by lowering operational costs, building their brand’s reputation, and gaining a competitive edge.

Don’t forget to add that by installing solar power, your company is contributing to creating a planet that will benefit future generations. With this, you will demonstrate your dedication to the environment and society by leaving a legacy.

Acquire support from your CEO by emphasizing these factors, and when he/she gets ready set up a meeting with us to get an ideal solution without any hassle.[/vc_column_text][/vc_column][/vc_row]

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Is Solar an efficient renewable energy source?

[vc_row][vc_column][vc_column_text]Solar power is one of the most prominent and widely used renewable energy sources. With robust initiatives and sufficient investment, solar energy has the potential to drastically reduce the world’s reliance on fossil fuels.

Making Pakistan an environment-friendly and carbon-clean country

Solar power is a clean energy source with zero to minimal carbon footprint, it reduces harmful elements in the environment and helps in environmental sustainability. A Solar Energy System is a reliable secondary energy source that can satisfy an organization’s energy needs while also fulling its sustainability goals. As sunlight is free and abundant, solar energy systems can energize even the most remote parts of the world at relatively low operating costs.

Making Pakistan an environment-friendly and carbon-clean country

Solar Energy for Commercial and Industrial Sector

The manufacturing and commercial organizations want to use solar energy but might feel perplexed about how to best use the available space. However, solar plants can be installed as rooftops, carports, and ground-mounted solar structures.

Thus, they are space-efficient and mechanically inert. In addition to that, the solar power plant is generally referred to as the most reliable alternative for users due to its 25-year warranty policy.

You can now enjoy the following benefits of adding solar power to your organization.

Alternative energy source

The fact that solar energy is a Carbon-free solution is the most significant advantage among its many other advantages. It is accessible every day and useable everywhere in the world. Unlike other sources that are being exploited excessively, solar energy can never run out. As long as the sun exists, solar energy will be easily accessible to everyone.

Offers the security of energy supply on the premises

Adoption of solar energy also increases the energy independence of the organizations. For this reason, governments are encouraging organizations to implement renewable sources like solar energy for their operational use. Regarding this, the state bank of Pakistan recently declared that it would extend the financing scheme for alternative energy for two or more years, ending on June 30, 2024. Thus, many companies are now encouraged to opt for solar financing without worrying about financial problems.

Reduce carbon emission

It is well known that carbon dioxide contributes to global warming, which is melting glaciers, threatening the survival of species, and worsening habitats. However, with solar energy, we can reduce reliance on non-renewable energy sources.

Reduce carbon emission

Cost Efficient Maintenance 

Solar Power plants require regular maintenance and the whole process is very delicate so must be handled by experts. However; the solar system’s maintenance is still less complex when compared to the maintenance needs of other energy sources.

 Multiple uses 

Solar Power Systems operate independently and can be set up even in the most remote areas. It may be used to extract water in areas with low water supplies, produce electricity in remote areas, and run manufacturing factories, commercial buildings, and even spaceships.

Reduce electricity cost and boost savings

Ever-increasing fossil fuel prices have led to rising in electricity bills while rapid development in solar technology has reduced costs and increased energy yield efficiency. Thus, energy bills will surely go down as the solar energy system will fulfill several energy requirements.

Solar Energy better for the Climate 

As the effect of climate change worsens, the developing nation will face different energy challenges due to their needs.

Hence, a convention called Paris Agreement was held that permitted countries to establish their objectives for lower carbon emissions. 196 nations committed to boosting their clean energy usage in 2015. Under this agreement, they are dealing the environmental and economic trade-offs with renewable energy sources.

In this regard, Pakistan has taken action to lower greenhouse gas emissions. Pakistan also participated in COP26, the 26th conference of the parties, to debate important issues like climate change and its economic effects.[/vc_column_text][/vc_column][/vc_row]

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Solar Development with, build, operate and own your energy production

Pakistan has recently seen a rising trend in the Solar PPA contract for its commercial and industrial sectors.  PPA, is an energy-efficient solar solution contract, has reduced the commercial and industrial sector’s burden in managing and maintaining solar systems.

With such solar financing options, corporates are free from enduring renewable energy maintenance costs. Moreover, they can take advantage of building an entirely customizable panel installation under the BOOT Model (Built, Own, Operate, and Transfer).

Hence, PPA with BOOT Model is coming out as a feasible option for solar energy-seeking enterprises where capital investment was a barrier. It allows companies to obtain solar grid solutions using the Solar PPA Model with no CAPEX or OPEX.

Large Commercial and Industrial (C&Is) sectors may now develop, acquire, and receive comprehensive assistance ranging from design, procurement, construction, installation, and operations & maintenance with the help of emerging solar energy companies in Pakistan.

Without any upfront operational cost, the firms get to pay a fixed, affordable price of electricity on discounted tariff rates for long- and short-term tenure.

The Rise Of Third-Party Ownership With PPA Model

In the Solar industry, the rise of third-party ownership is the dominant model for solar installation. Adopting a PV system has become more popular with the access of feasible models such as BOOT. In the Power Purchase Agreement Model, the solar energy provider develops the solar system on the client’s property. As a result, the client gets to have a customized solar solution as per their requirements.

BOOT Model

  • Built
  • Own
  • Operate
  • Transfer

The BOOT Model comes under a power purchase agreement where the solar expert builds, operates, and maintains on the client’s behalf. As per the Power Purchase Agreement contract, produced electricity is sold to the client through this BOOT Model.

The PPA is a long-term contract, and throughout its duration, the solar energy provider is responsible for maintaining the solar system installed at the client’s property.

Advantages of Power Purchase Agreement using BOOT Model

Solar renewable energy in Pakistan is gaining great popularity in the Commercial & Industrial sectors due to its reliability and sustainability. Following are some benefits of the Solar Power Purchase Agreement, which are enabling corporates to adopt a greener option:

  • Easy Transfer of ownership

Now prolong your energy saving with the option to own the system at the end of the agreement.

  • No Maintenance and operations

During the tenure of the agreement, the solar energy provider holds the responsibility of maintaining and leading the operations with its – expert team.

The live online monitoring by the team controls and maintains plant’s efficiency. It reports all problems and sends the specialized teams for on-spot maintenance. The team is always in constant communication with the client and takes swift actions to prevent any issues.

  • No Upfront Cost

With a Power Purchase Agreement, you pay zero financial investment and incur no operating and maintenance costs. Through this opportunity, you can utilize your energy mix at its optimum level.

  • No-Risk

The solar PPA model removes any CAPEX responsibility, so it reduces cost with zero risk.

solar energy companies in Pakistan

Solar Project Financing With Shams Power

Shams Power, Pakistan’s largest growing solar energy PPA provider, offers rooftop, carport, and solar structure systems without requiring any upfront costs from the client. Our solar PV system helps the clients offset the electricity bill by providing them the power at discounted tariff rates.

When it comes to Solar Financing, we continuously adopt the best proactive approach towards operating and maintaining the solar system. We always practice advanced technology in our projects and use data analytics tools and digital dashboards for control and monitoring.

Our robust support regime equips all essential SOPs and QHSE requirements. Furthermore, we ensure the execution of all safety precautions and handle all the procedures with excellence.

Companies using BOOT Model with Solar PPA 

AkzoNobel Pakistan 

Shams Power has supplied AkzoNobel with a customized solar system using the Build Own Operate and Transfer (BOOT) model facility under its Solar PPA Agreement. As per the agreement, AkzoNobel will produce 460 KW of DC power every year. Moreover, in terms of capital, operations, and maintenance, AkzoNobel will bear no cost.

Metro Cash and Carry Pakistan

Metro Cash and Carry Pakistan has decided to adopt sustainable solar techniques by collaborating with Shams Power. It will not only save money but also help the environment in the long run. Therefore, Metro Cash & Carry Pakistan has selected a solar-powered system for its headquarters in Thokar Niaz Beg and branches throughout Pakistan.

By using the BOOT model, this carbon-free initiative will help them save 239 tons of CO2 each year. In addition, they will get the electricity at a discounted rate and will not have to pay any O&M costs.

Packages Mall Pakistan

Packages Mall has also shifted its operations towards this low-cost renewable energy source by teaming up with Shams Power Limited. With the BOOT Model under PPA basis, they have opted to transform their business operations using more environment-friendly energy installations.

They have installed 2 MW Rooftop Solar at their premises and are benefiting from free operations and maintenance through complete energy optimization.

Shams Power: Pakistan’s leading Solar PPA Provider using BOOT Model

We aim to take Pakistan one step closer towards a sustainable green energy future. With our advanced technology and market insight, we encourage solar installations on an industrial scale.

If you are also looking for a solar energy company in Pakistan, we can help you out. Call us at (+92) 301 4246111 or email us at sales@shams-power.com for any query or information.

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Pakistan capitalizes on its solar power potential with global collaboration.

Pakistan’s predominant landmass receives an overwhelming quantity of sun irradiation every year.

With an increasing focus of government regulations on sustainable practices and a 60 percent reduction in Photovoltaic cell prices over the past decade Solar Renewable energy in Pakistan experiences a surge in demand, reaching up to 19000 megawatts.

Renewable energy in Pakistan

Fig. 1: Pakistan’s direct normal irradiation map

Figure 1 demonstrates that Pakistan has a potential in the category of solar renewable energy.

In addition, many small and medium-sized enterprises are now obtaining electricity through the solar energy distribution system. Companies are becoming more self-sufficient with the help of solar renewable energy, thanks to flexible PV plants such as rooftop solar. Moreover, with lucrative solar financing facilities, organizations are now switching towards solar power for energy needs.

solar financing

Fig. 2: Shows the overall demand, supply of Solar Energy in Pakistan from 2017-2021

Pakistan’s global collaboration for solar initiatives

China Pakistan Economic Corridor (CPEC) has already planned to invest and promote the initiation of clean energy sources via its multiple renewable energy projects. One of them is covering a 1,000MW solar project.

Quaid-e-Azam solar park is a major project initiated by the government with foreign collaboration. With the help of China, Pakistan was able to build 100MW solar capacity at Bahawalpur City.

In addition, the Japan International Cooperation Agency (JICA) assisted the country in constructing a 365W solar facility, bringing in more attention towards the solar investments. As a result, the Alternative Energy Development Board (AEDB) has issued letters of intent to twenty-eight enterprises with a total capacity of 956.52 MW.

These initiatives have encouraged many solar energy companies in Pakistan to continuously bridge the energy and demand gaps in the commercial and industrial sectors (C&I). The solar structures like rooftops, carports, and ground-mount are also facilitating the installation options for all types of enterprises.

UNIDO extends supports to commercial organizations (Featuring Shams Power)

To combat the energy crises in Pakistan, the United Nations Industrial Development Organization (UNIDO) started clean initiatives for business entities.

They initiated a substantial energy program to boost the adoption of RE technology in Pakistan’s industrial sectors. They are also encouraging the trend of Solar Project Finance among businesses to go green.

With UNIDO’s assistance, Shams Power has also managed to secure 12 commercial and industrial sites’ power purchase agreements (PPA) Projects. That said, METRO Pakistan (Pvt) Limited, Packages Mall, and AkzoNobel in Lahore, among many, have managed to sign Solar PPA Agreement under this initiative with Shams Power.

 

Commending the industrial sector’s shift towards renewable energy resources, Omar Malik, Director Business Development of Shams Power Limited, said: “UNIDO and GEF’s Sustainable Energy Initiative has been instrumental in creating market-based adoption of RE technologies and measures in the industrial sectors of Pakistan. Our goal is to scale and replicate this concept throughout Pakistan’s commercial and industrial sites. We believe that we have developed the right expertise and experience with the support of UNIDO that will lead to substantial clean and green industrialization.”

Hence, with UNIDO’s support, knowledge, and experience, Pakistan is now moving one step closer towards a sustained, clean and environment-friendly industrialization.