Clear answer, explained.
When a facility has meaningful lighting, HVAC, or controls inefficiencies, addressing those first reduces the consumption baseline. A solar system sized to that lower baseline covers the same share of consumption at a smaller system size — lower capital cost, comparable offset, stronger overall return on the combined investment.
This approach makes the most sense on projects where full or near-full electricity offset is achievable. For a facility consuming 2,000,000 kWh per year with 200,000 kWh of addressable efficiency savings, sizing solar to 1,800,000 kWh rather than 2,000,000 kWh changes the system size meaningfully while keeping capital allocated across both efficiency and generation at the highest-returning mix.
Not every project warrants the combined approach. Facilities with limited addressable efficiency opportunities benefit from solar on its own. Having both under one roof — one partner managing efficiency and solar together — simplifies the process significantly when the combined approach does apply.
What this means in practice.
- Addressing efficiency before sizing solar reduces the consumption baseline the system needs to cover
- A solar system sized to a lower, post-efficiency baseline delivers comparable offset at lower capital cost
- The combined approach makes most sense where full or near-full annual electricity offset is achievable
- Efficiency measures — HVAC recommissioning, LED retrofits, controls optimisation — are the most common pre-solar actions
- Not every project warrants the combined approach — scoping identifies where it changes the economics materially
- One partner managing efficiency and solar simplifies delivery when the combined approach applies
Best-fit environments.
- Your facility has aging HVAC or lighting systems consuming more energy than operations require
- You are targeting close to 100% annual electricity offset and want the solar system sized accurately
- You want to understand whether addressing efficiency first would meaningfully change solar system size and cost
- You are preparing a multi-phase energy capital plan and need to understand the right investment sequence
