- Aberdeen Paper is a importer of paper products, and a distributor of paper products to cafes and restaurants, and they have a large warehouse facility and we were tasked with reducing their electricity bills. We provided a 60 kilowatt system using high quality LG panels.
- It's costly. It's costly on a monthly basis. It's costly on a quarterly basis. It changes between the seasons because in the winter we're consuming more energy because we've got the lights on for longer, and we've got the heating on. In the summer, we've got the air conditioning on. So it's costly and energy prices are rising. They're not going down.
- He chose to go solar because he saw the obvious return on investment. So investing in a good quality system means that he's going to have a reliable system. If he has interruptions to his business, due to any risk of power supply or safety issues, then that is going to cost him a lot more than the small amount of savings that he's going to make from a cheap system. Plus the fact that it lasts for many, many years, means that he's actually getting a better value investment.
- I'll give you a very simple equation. So we moved into this premises two years ago and I got my first power bill and it was $5,000 for the quarter, which is significant. After we put the solar in, the next quarter was $1,500.
- The important elements for a commercial operation is to make sure that their system is trouble-free, ideally maintenance free, but ideally the biggest thing they're looking for is a return on investment. So they want to make sure that that return on investment is commercial and in line with some of the other investments that they're making within their business. They're looking to control their operating costs and give themselves an edge.
- For me, there were two elements to the transaction. One is the economics of it, how does it stack up? And that was very clinical. That was based on analysis, that was based on our actual bills and comparing that to our energy savings. It made it a very simple decision. And then the second one was the installation. Did it cause us any business interruption? Was it difficult? Was it challenging? And they're a great bunch of guys to work with.
- Businesses are looking at the dollars and cents. They're looking at a return on investment. They usually get it pretty quickly, even with high quality product, which has a premium price tag. But they get it pretty quickly because their operations are during the daytime primarily, and so they're getting that while the solar is producing its power. They're actually getting that offset quickly. But return on investment is one thing, they're also looking from a corporate responsibility and governance and sustainability, that they are good corporate citizens that are showing environmental responsibility and a response to climate change.
- Solar is a win economically for our business, and solar is a win for the environment as well. It ticks two boxes.
How did a high quality solar power system help lower the operational costs for Aberdeen Paper Merchants?
Video Transcript