Two New Reasons Why C&I Solar EPCs and Developers Should be Considering Houses of Worship
- 24/08/13
- C&I,Innovation and Advance,Business of Solar
Houses of worship, like churches, synagogues, mosques, and temples, may not be the first places that come to mind when you think about solar power, but they're actually punching above their weight when it comes to renewable energy.
Despite representing only 0.6% of non-residential buildings, these sacred spaces account for 2% of the country’s total solar installations. That's impressive, but it only equates to 1.9% penetration into the market for solar on houses of worship. Additionally, from 2018 to 2021, new installations declined.
So what's holding them back? Traditionally, two significant obstacles have hindered solar installations on houses of worship:
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An inability to take advantage of the solar investment tax credit (ITC) and
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Difficulty in designing and sizing cost-effective systems for irregular and odd-shaped roofs.
But two new developments have changed the game:
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The Inflation Reduction Act (IRA) allows non-profits, like houses of worship, to utilize the ITC; and
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PV modules using n-type TOPCon advanced technology for more flexible module array layouts.
Let’s take a look at how these two developments have enabled EPCs and installers to help faith communities lead the charge toward a cleaner, more sustainable future.
IRA’s Direct Pay for Tax-Empty Houses of Worship
Since houses of worship don't pay taxes, they couldn’t obtain the same renewable energy tax benefits that businesses and homeowners received. Third-party investors can step in to claim the credits under a power purchase agreement (PPA), but these arrangements are often too complex and too small to attract investors.
Thankfully, the IRA opened new opportunities for solar at houses of worship with its direct pay provision. Now, tax-exempt entities can receive a tax credit worth up to 30% of the installation cost for renewable energy projects — a critical incentive in encouraging more congregations to go solar.
By owning their solar panels outright, houses of worship can benefit from lower utility bills. Depending on the project's location and the use of domestically sourced materials, tax incentives can range from 30% to 50% of the total cost. Projects in designated "energy communities" and low-income residential buildings may be eligible for up to 70% in tax credits.
With more than 350,000 houses of worship nationwide, representing a wide range of denominations, sizes, and geographic locations, the IRA’s direct pay puts into play a huge new market for C&I solar EPCs and installers.
A More Flexible, High-Powered PV Module Design for Rooftops on Houses of Worship
Although many of these institutions have large, unobstructed roofs ideal for solar, the features that make many houses of worship so memorable and majestic are also the ones that have hindered solar deployment: elaborate rooftop architecture.
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Many buildings have complex roof structures with multiple slopes, odd angles, and irregular shapes, making it difficult to evenly distribute the PV system’s weight and find the optimal layout for maximum energy production.
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Additional features like steeples, domes, skylights, and parapets can limit the contiguous roof area available for solar panels.
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Meanwhile, tall steeples, towers, neighboring buildings, or trees can cast shadows on parts of the roof, reducing solar energy production.
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Solar panels should ideally face south (in the northern hemisphere) at an optimal tilt angle. However, many houses of worship are oriented east-west or have roofs facing multiple directions, which can limit solar energy production potential.
These obstacles force installers to work around them, place panels on less ideal roof sections, or sometimes even abandon the project altogether if the numbers don’t work.
Now, Vertex N gives EPCs and installers more flexibility in designing PV systems that can overcome the unique challenges caused by these irregular shapes or limited spaces.
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The high power output and efficiency of Vertex N modules (up to 620W and 23%) means fewer panels are needed to achieve the desired system capacity, making the most of the limited suitable roof space.
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Vertex N modules' compact size and lightweight design make them easier to handle and install on complex roof structures with multiple slopes and angles.
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The modules' high power density and compact design allow for more flexible array layouts, maximizing energy production even on irregular roof surfaces.
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The modules' compatibility with various mounting systems allows creative installation solutions to work around architectural obstructions like steeples, domes, or skylights.
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Thanks to n-type TOPCon cell technology, Vertex N modules' excellent low-light performance and flexible array layouts help maintain consistent energy production even when partially shaded by architectural features.
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The high efficiency and excellent low-light performance of Vertex N modules help maximize energy production even on roofs with suboptimal orientations or multiple-facing directions.
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The modules' bifacial design can capture additional reflected light from surrounding surfaces, boosting overall energy yield in challenging roof orientations.
The confluence of the IRA's direct pay provision, the expanding house of worship solar market, and the availability of advanced PV technology like Trinasolar's Vertex N module empowers EPCs and installers to deliver the best PV solar system value for these non-profits that rely on their congregants’ donations and generosity.
Interested in learning more about using Vertex N to help houses of worship continue leading the way in clean energy deployments? Contact our local team today!
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