Why businesses should switch to solar power before the end of the year for maximum energy savings

overview

Rising energy costs make year-end solar adoption critical for Filipino businesses.
Installing before December maximizes tax incentives, accelerates ROI, and ensures reliable, continuous power.
Solaric offers expert audits, high-quality panels and integrated systems, helping companies ensure predictable energy costs, operational resilience and sustainability while achieving tax and ESG goals.

Rising electricity costs and growing operational demands are forcing companies to find cost-effective solutions. Solar energy offers a strategic approach to sustainable cost management.

Understanding why businesses should switch to solar energy before the end of the year to achieve maximum energy savings can help you secure benefits that aren’t available all year round. With incentives about to expire and installation plans filling up quickly, the months leading up to December offer the greatest opportunity to realize savings and achieve long-term energy stability.

At Solaric, we supply high-quality solar panels and provide expert support to ensure businesses make the transition to solar with confidence and clarity.

Why the end-of-year deadline is important for companies

Year-end urgency is tied to regulations such as the Renewable Energy Act (RA 9513) and calendar year budgets. The last few weeks are the last chance to take advantage of tax incentives and start saving energy.

A delay means the loss of a year of benefits. Investing in solar energy now will help you control future operating costs before the end of the fiscal year.

Financial incentives and tax benefits that companies can maximize

Solar energy adoption in the Philippines is supported by financial incentives that reward early, strategic investments. The timing is critical as many of these benefits have strict end-of-year restrictions for companies looking to maximize their transition to solar energy.

Eligibility for year-end tax deductions and credits

Solar systems are considered capital assets, allowing companies to claim depreciation under existing BIR rules. If you complete your installation before December 31, your solar investment is in the current tax year, so depreciation can begin immediately in the next cycle.

This results in lower taxable income and improved financial reporting – a significant benefit, especially for companies with high operating costs.

Faster ROI by activating savings earlier

The most direct way to accelerate your ROI is to start generating free electricity. Every kilowatt hour (kWh) your solar panels produce means one less kWh you have to buy from your utility at expensive, fluctuating retail prices.

By putting the system into operation before the end of the year, you immediately reduce operating costs and shorten the payback period. In addition, this time is crucial to quickly start the application process for net metering, which allows you to receive credits on your bill for excess electricity that is sent back to the grid.

Improved cash flow planning for the coming year

Companies prepare their annual cash flow forecasts at the end of the year. Solar energy provides a predictable energy cost base, which is critical given fluctuating grid prices and rising generation fees.

Knowing your electricity costs in advance increases budget accuracy and supports long-term financial stability. It also frees up funds that can be redirected to business expansion, equipment modernization or workforce development.

Operational benefits of switching to solar energy before the New Year

Beyond cost savings, solar energy increases operational resilience and prepares your business for a stronger start in the next fiscal year. Installation before the end of the year ensures early stability, sustainability and energy independence gains.

Stronger energy security for the next fiscal cycle

The use of solar energy in combination with advanced battery storage systems reduces the risk of power interruptions and grid instability. This setup protects sensitive equipment, maintains productivity during power outages or outages, and ensures operational resiliency, providing reliable power and security against unexpected disruptions in the new year.

Better alignment with sustainability and ESG planning

Global investment trends, particularly in the Philippines, strongly favor companies that demonstrate strong environmental, social and governance (ESG) compliance. Having a solar system up and running before the end of the year is concrete, measurable evidence of your company’s commitment to sustainability.

This allows you to immediately incorporate significant carbon footprint reduction metrics into your upcoming annual reports, improve your brand reputation, attract new talent, and meet the needs of demanding investors and partners.

Use the months with the highest sunlight for maximum performance

The Philippines is blessed with intense sunshine. While solar energy works year-round, installing your system now will ensure your business is fully prepared to harvest maximum energy when the next peak solar season begins.

Crucially, the lengthy approval and connection process required for net metering takes time. Starting now will ensure your system isn’t left idle during next year’s best generation months, ensuring optimal power production right when you need it most.

Prepare your business for solar energy: What to consider before the end of the year

Going solar requires planning, especially if you want your system installed and ready to go before December. These considerations will help ensure a smooth and efficient rollout.

Assessment of energy consumption and facility needs

A professional and precise energy audit is the fundamental step. This process includes analyzing your historical energy consumption and assessing the structural and electrical readiness of your facility.

This ensures the solar system is perfectly sized to maximize your savings without wastage. At Solaric, we start every project with a detailed energy profile to ensure an optimized and efficient installation.

Choosing the right solar provider

The success of your long-term investment depends entirely on the expertise and quality of your installer. Look for a provider with a proven track record in the Philippine commercial sector, one that is knowledgeable about compliance with local regulations and uses high-quality Tier 1 equipment.

At Solaric, we are proud to be the leading provider of rooftop solar systems in the Philippines, bringing decades of experience and commitment to customer service and long-term warranty support.

Schedule to meet year-end incentive deadlines

Permits, net metering applications and installation plans can take weeks to complete – even longer during the holiday season. Starting early ensures your system is installed, up and running, and ready to generate savings before the fiscal year ends.

Key to take away

Knowing before the end of the year why they should go solar to maximize their energy savings will help businesses take action at the right time. By making the switch, your business is now positioned for a more stable, efficient and cost-effective year.

With Solaric’s expertise in commercial solar systems, we ensure every step is seamless and optimized for maximum savings. Access it now and take control of your energy future.