# Commercial solar for Warehousing & logistics

Warehouses and distribution centres are among the best-suited buildings in the UK for commercial solar. Their vast, flat, unshaded roofs can host large solar PV systems, and their long operating hours mean most of that clean power is used on site — cutting energy bills with zero upfront cost through a PPA.

Few buildings match a distribution centre for solar potential: acres of roof, minimal shading and a steady daytime load from lighting, conveyors, chargers and chillers. That combination means a high proportion of the electricity you generate is used on site, where it displaces expensive grid power.

Add battery storage and you can shift solar into early mornings, evenings and shift changeovers — and support the growing electricity demand from electric HGVs, vans and forklift charging.

## Why it fits Warehousing & logistics

- **Large roofs, large systems** — Big, uninterrupted roof spans allow sizeable arrays that meaningfully offset your grid demand — without using an inch of operational floor space.
- **Long hours = high self-use** — Distribution runs early and late, so you consume most of the solar you generate rather than exporting it cheaply. That is where the savings come from.
- **Ready for electric fleets** — Solar plus battery is a natural fit for charging electric vans, HGVs and forklifts, reducing the cost and grid impact of fleet electrification.
- **ESG and customer requirements** — Major retailers and 3PL clients increasingly require carbon reporting. On-site generation is a visible, measurable step towards their Scope 3 targets and yours.

## Frequently asked questions

**Will solar panels affect warehouse roof warranties or insurance?**

A proper design accounts for roof condition, loading and manufacturer warranties, and we handle DNO approval. We can also fold roof works into the funding where needed so the roof and system are covered together.

**Can we power forklift and EV charging from solar?**

Yes. Pairing solar with battery storage lets you charge forklifts, vans and HGVs from self-generated power, smoothing demand and cutting the cost of electrifying your fleet.

## Funding routes

| Route | Upfront | Payment | Ownership | Maintenance | Accounting | Best for |
| --- | --- | --- | --- | --- | --- | --- |
| Power Purchase Agreement (PPA) | £0 | Fixed rate per kWh | Yours for £1 at end of term | Fully included | Off-balance-sheet (operating cost) | Businesses that want no capital outlay, no risk and no maintenance — just lower bills from day one. |
| Outright Purchase (CapEx) | Full system cost | One-off capital cost | Yours from day one | Optional O&M package | Capital asset | Businesses with capital available that want the strongest long-term return and full ownership. |
| Hire Purchase (HP) | Deposit | Fixed monthly instalments | Yours at end of agreement | Optional O&M package | Asset on balance sheet | Businesses that want to own the system but spread the cost and protect their cash flow. |
| Leasing (Operating / Finance Lease) | Low / none | Fixed rentals (opex) | Return, extend or buy at end | Optional O&M package | Rentals as operating expense | Businesses that want minimal upfront cost and predictable, tax-efficient operating payments. |

**Power Purchase Agreement (PPA)** — Zero upfront. Pay only for the clean power you use.

Pros: No upfront cost or capital outlay; Rate guaranteed at least 30% below the grid; Fully funded, installed and maintained for you; System becomes yours for a nominal £1 at the end.

Consider: A long-term agreement (typically 15–25 years); You don't own the system during the term.

**Outright Purchase (CapEx)** — Own it from day one and keep 100% of the savings.

Pros: Best long-term return on investment; Own the asset and keep every kWh of savings; May qualify for capital allowances / full expensing; No financing or interest cost.

Consider: Ties up capital that could be used elsewhere; You're responsible for maintenance (we can arrange it).

**Hire Purchase (HP)** — Spread the cost, own the system at the end.

Pros: Preserve working capital — pay over an agreed term; Own the system outright at the end; Tax-efficient: claim capital allowances and offset interest; Fixed, predictable monthly payments.

Consider: Interest applies over the term; Subject to finance approval.

**Leasing (Operating / Finance Lease)** — Low upfront, predictable rentals as an operating cost.

Pros: Little or no upfront cost; Rentals are typically 100% tax-deductible; Predictable, fixed payments; Flexible end-of-term options.

Consider: You may not own the system at the end (depends on lease type); Subject to finance approval.

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Source: [Commercial solar for Warehousing & logistics](https://ppafunding.com/commercial-solar-for/warehousing-and-logistics) · Contact: 01743 649 888 · info@ppafunding.com · https://ppafunding.com

PPA Funding is an independent introducer operated by DVC Group Ltd (Companies House 10462808), Shrewsbury — not the funder, the installer or the maintenance provider. The service is free to use; a commission may be earned from a partner at no extra cost. Content is educational and is not financial or tax advice.
