How Solar Helps Industries Reduce Power Bills by 70%
Commercial Solar
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15 November, 2025
Increasing power prices are becoming one of the main issues facing Indian industry. Every business, whether it is manufacturing, cold storage, warehousing, textiles, automotive, or food processing, relies significantly on reliable and reasonably priced electricity. Industries are desperately looking for a dependable and affordable energy alternative as grid prices rise annually and diesel generators becoming more and more costly. The most effective and long-term option in this regard is solar energy, which helps businesses save up to 70% on electricity bills while guaranteeing a steady supply of power, simple maintenance, and long-term financial stability. In this article, we'll explain how solar can cut electricity costs by 70% for factories, why solar is a smart business decision, and how Indian firms are already reaping the benefits of using industrial solar systems.
1. Why Industrial Power Bills Are So High
Large volumes of power are used by industries for: Large pieces of equipment , Cooling and HVAC systems, Drives and motors, Lighting Compressors, Lines of production, 24-hour operations Depending on size and activities, this leads to high monthly power expenditures that may sometimes range from 5 to 50 lakhs. Due to fuel, maintenance, and environmental issues, traditional energy sources like diesel generators also raise operating expenses. However, solar energy transforms everything
2. How Solar Helps Industries Reduce Power Bills by 70%
Solar energy greatly reduces reliance on grid electricity by supplying clean, plentiful, and free energy straight from the sun. The power produced by solar panels is almost free after installation, which helps businesses significantly lower their energy costs. This is how solar energy works in industrial settings: 1. Solar panels provide power when the sun is shining. 2. Production lines, motors, and machinery are all directly powered by this energy. 3. The amount of power used by industries is far lower. 4. Electricity costs decrease by 60–70% every month. ** 5. Depending on state policy, excess generation may be exported.** Most enterprises use more than 70% of their monthly power during the day, which is also when solar generation is at its highest. Because of this, solar energy is ideal for industrial energy use.
3. Key Reasons Industries Save Up to 70% with Solar
1. Solar Reduces Dependency on the Grid A typical industrial solar system covers a major portion of daytime electricity needs. For example: If a factory consumes 1,00,000 units per month, A solar system can supply 60,000–70,000 units, Cutting the electricity bill by 60–70%. 2. Solar Power Cost Is Far Lower Traditional power cost: ₹8–₹12 per unit Solar power cost (after installation): ₹1–₹2 per unit Over 25 years, this difference leads to massive financial savings. 3. Fast ROI (Return on Investment) Industrial solar offers one of the fastest returns: Payback period: 3–4 years System lifespan: 25+ years 20+ years of free electricity after breakeven No other investment offers such guaranteed & long-term returns. 4. Solar Works Perfectly for Large Roofs Industries generally have: Big rooftop areas Metal sheds Open spaces This makes solar installation easier and highly efficient. 5. Net Metering Helps Offset Remaining Bills Industries can export excess solar electricity to the grid using net-metering or gross metering, depending on state regulations. This further reduces electricity expenses and enhances savings.
4. Types of Solar Systems Used by Industries
Depending on operations and energy requirements, industries choose one of the following solar systems: 1. On-Grid Solar System (Most Common) Connected to the electricity grid No batteries needed Extremely cost-efficient Best for daytime heavy load usage Savings: 60–70% on power bills 2. Hybrid Solar System Solar + Grid + Battery backup Ideal for industries with frequent power cuts Savings: 40–50% + backup stability 3. Off-Grid Solar System Complete independence from the grid Used in remote factory locations Savings: Up to 100% in off-grid areas
5. Real Savings Example: Industrial Solar Case Study
Factory Type: Manufacturing Unit Monthly Bill: ₹12,00,000 Solar System Installed: 500 kW on-grid Monthly Savings: 7,20,000 Annual Savings: 86,40,000 **Payback: **3.2 years 25-Year Benefit: 15 crore+
This example clearly shows that industrial solar is not a cost— it is a profit-making investment.
6. Additional Financial Benefits for Industries
1. Accelerated Depreciation Benefit (40%) Industries can claim up to 40% depreciation in the first year, reducing taxable income and increasing profitability.
2. Reduced Demand Charges Industries pay demand charges to the electricity board. Solar helps keep demand lower, reducing these charges significantly.
3. Protection from Future Tariff Hikes Electricity costs rise every year, but after installing solar, energy cost remains almost constant for 25 years.
4. Low Maintenance Costs Solar systems require minimal maintenance: Cleaning panels Occasional inspection No moving parts Result: almost zero recurring expenses.
7. Environmental & Brand Reputation Benefits
Today, industries are shifting to solar not just for savings but also for: Carbon footprint reduction Green manufacturing certification Improved ESG scores Enhanced brand value Better investor attraction Many large corporations now must adopt renewable energy to meet global sustainability requirements.
8. Why Solar Is a Long-Term Strategic Asset for Industries
Solar is more than a bill-saving tool—it is a strategic decision transforming the future of industry: Better control over operational costs Long-term financial stability Energy independence Compliance with green policies Improved competitiveness in the market As energy costs rise, industries that shift early to solar will gain a major advantage over competitors.
9. Why Choose Mittal Solar for Industrial Solar Projects?
Mittal Solar delivers: Industrial projects from 3 kW to 20 MW High-efficiency panels & advanced inverters Expert engineering, design & installation Guaranteed reduction in electricity bills Complete after-sales support Assistance with net-metering & approvals With a track record of successful industrial installations, Mittal Solar ensures maximum energy generation and long-term performance.
Conclusion
Today's industries cannot afford the escalating cost of power. By lowering power costs by up to 70%, boosting profitability, and enhancing operational stability, solar energy provides a tried-and-true, dependable, and lucrative alternative. Industries can ensure their energy future for the next 25 years and save expenses by using solar. Solar isn't only a choice if your industrial company wants to reduce its electricity costs; it's the best investment you can make right now.
Table of Content
- Introduction
- Why Industrial Power Bills Are So High
- How Solar Helps Industries Reduce Power Bills by 70%
- Key Reasons Industries Save Up to 70% with Solar
- Types of Solar Systems Used by Industries
- Real Savings Example: Industrial Solar Case Study
- Additional Financial Benefits for Industries
- Environmental & Brand Reputation Benefits
- Why Solar Is a Long-Term Strategic Asset for Industries
- Why Choose Mittal Solar for Industrial Solar Projects?
- Conclusion


