Commercial Solar in Fresno: How Local Businesses Are Reducing Costs and Going Green

Why Fresno Businesses Are Embracing Solar

Fresno is known for its sunny climate, and local companies are starting to realize that sunshine equals savings. From office parks and warehouses to farms and retail stores, businesses across the Central Valley are leveraging solar to reduce their monthly operating expenses.

But this shift isn’t just about lowering utility bills. It’s also about energy independence, long-term planning, and environmental responsibility. Commercial property owners understand that going solar:

• Provides predictable energy costs year after year
• Enhances building value and marketability
• Demonstrates a commitment to sustainability
• Protects against future rate hikes from PG&E
• Offers marketing and PR benefits tied to green business practices

The Financial Advantage of Commercial Solar

Let’s talk numbers because that’s what drives most commercial decisions. Commercial solar projects come with several key financial advantages that residential systems do not.

1. 30 Percent Federal Tax Credit

The federal government currently offers a 30 percent Investment Tax Credit on all qualifying commercial solar systems. This means that if your system costs $200,000, you could receive $60,000 in tax credit value to directly reduce your federal tax liability. This credit applies whether the system is paid for in cash or financed.

2. 100 Percent Bonus Depreciation

In addition to the tax credit, businesses can take advantage of something called bonus depreciation. Under the current tax law, commercial solar projects qualify for 100 percent bonus depreciation in the first year. This allows you to depreciate the full cost of the system immediately instead of spreading it over five years. The savings on taxes can be significant — in some cases covering another 20 to 30 percent of the system’s cost depending on your tax bracket and business structure.

Here’s a simple breakdown:

• System cost: $200,000
• Tax credit: $60,000
• First-year bonus depreciation: roughly $40,000 to $60,000 in tax savings depending on your effective rate
• Net cost after incentives: as low as $80,000 to $100,000

3. Faster ROI

With both the tax credit and depreciation, many commercial solar projects in Fresno see a return on investment within just three to four years. After that point, all the energy savings become profit — increasing your company’s cash flow for decades.

4. Fixed Energy Costs in a Volatile Market

PG&E’s rates have risen consistently over the past 10 years, and businesses in Fresno are feeling the pressure. One of the biggest advantages of going solar is being able to lock in your energy costs at a fixed rate. Whether you pay cash or finance, your solar payments stay the same, unlike your utility bill.

Solar Helps Reduce Demand Charges

One of the lesser-known benefits of commercial solar is its impact on demand charges. These are extra fees that utility companies charge based on the highest 15-minute period of electricity usage during a billing cycle. For businesses that use a lot of power at once — such as during manufacturing, refrigeration, or even high daytime cooling — demand charges can make up 30 to 50 percent of the total bill.

Solar can reduce demand charges by generating electricity during peak hours and limiting how much demand the business places on the grid. While batteries are sometimes needed to fully flatten demand spikes, even a well-sized solar-only system can make a noticeable impact.

If your business operates during daylight hours — like most offices, retail stores, and warehouses — solar directly offsets the energy you’re pulling from the grid during the time you use the most power. That’s a win-win.

Who Should Consider Commercial Solar in Fresno

Solar is a great fit for most types of businesses, especially those with:

• Large roof space or parking lots for solar carports
• High electricity bills (more than $1,000 per month)
• Daytime operating hours (9 to 5)
• Tax liability to take full advantage of credits and depreciation
• Long-term ownership of the building

Common industries that benefit from solar in the Central Valley include agriculture, manufacturing, food processing, distribution, cold storage, retail centers, and medical offices.

Commercial Solar Financing Options

You don’t need to pay cash to go solar. There are several financing options available to businesses in Fresno and the Coachella Valley.

Solar Loans

You can finance your commercial solar system through a business loan or through specialized solar lending programs. With loan terms typically between 7 and 20 years, you can structure the payments to match or beat your current utility bill — creating instant savings with no out-of-pocket costs.

Capital Leases

A capital lease allows you to finance the solar system over time while retaining ownership and qualifying for all tax benefits.

Power Purchase Agreements

In a PPA, a third party installs and owns the system, and you agree to purchase the electricity it generates at a fixed rate — usually lower than your utility rate. While you don’t receive the tax incentives, it requires no upfront investment and still saves money. PPAs are common for non-profits or businesses without a large tax liability.

Real Results from Fresno Businesses

We’ve helped several local businesses go solar and see incredible savings. Here’s one example.

Case Study: Local Fresno Manufacturing Facility

• Monthly PG&E bill: $4,800
• Installed: 150 kW system with Jinko panels
• Project cost: $375,000
• Federal tax credit: $112,500
• Bonus depreciation savings: $90,000
• Net system cost: around $172,500
• Annual energy savings: $48,000
• Payback period: 3.6 years
• 25-year projected savings: Over $900,000

This client was able to cut their energy costs by nearly 85 percent, and the solar system now produces almost all of the facility’s energy needs during peak hours. They also saw a major reduction in their demand charges after installation.

Environmental Impact and Brand Benefits

Going solar also sends a clear message to your customers and employees — that you care about sustainability and are taking action to reduce your carbon footprint. Many businesses in Fresno are using solar as part of their ESG strategies and sustainability reports.

It’s also a great story to share in your marketing. Whether you’re a winery, a manufacturer, or a local retailer, showcasing your solar installation helps build trust and brand loyalty with environmentally conscious customers.

How to Get Started

If you’re a business owner in Fresno or the surrounding Central Valley, now is the time to evaluate if solar is right for your building. The process is straightforward.

1. Get a custom energy analysis. We’ll look at your past utility usage, roof size, business type, and goals.
2. Review a proposal. We’ll show you exactly how much you can save, the available tax credits and depreciation, and what your payback timeline looks like.
3. Choose financing or payment option. Decide whether to pay cash, finance, or explore a lease or PPA.
4. Install and activate. Our team handles all permitting, engineering, and installation, and we work with local utilities like PG&E to get your system connected.

Final Thoughts

Commercial solar in Fresno is more than just an upgrade. It’s a strategic move that lowers costs, reduces risk, and positions your business for long-term success. With generous incentives like the 30 percent federal tax credit and 100 percent bonus depreciation still available, the ROI has never been better.

If you’re ready to reduce your overhead, lock in your energy costs, and go green in the process, we’d love to help you take the next step.

Contact Supreme Solar and Electric today for a free commercial solar analysis.