The Quick Answer: Auto dealerships are ideal candidates for solar energy due to their high energy intensity (averaging over $64,000 in annual utility costs) and massive available roof or lot space. By installing solar, dealerships can offset 60–80% of monthly energy bills, hedge against skyrocketing "demand charges" from new EV charging infrastructure, and utilize the 30% Federal Investment Tax Credit (ITC) for a rapid ROI.
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While a sprawling, glass-walled showroom is perfect for showcasing the latest models, it is notoriously inefficient from an energy standpoint. According to industry data, the average dealership consumes more than 110 kBtu per square foot—placing them among the most energy-intensive commercial buildings in the country.
Between 24/7 high-intensity lot lighting for security and the massive HVAC load required to climate-control large open spaces, energy isn't just a utility bill; it’s a significant hit to your per-vehicle profit margin. Transitioning to solar allows a dealership to transform a "fixed" operational expense into a controlled, depreciable asset.
The transition to Electric Vehicles (EVs) is no longer optional for dealerships. As OEMs mandate the installation of Level 3 DC Fast Chargers, many General Managers are being blindsided by a new cost: Demand Charges.
When a high-speed charger pulls massive amounts of power from the grid simultaneously, it triggers peak pricing that can double a monthly utility bill.
Solar is a rare investment that pays for itself through multiple tax and cash-flow channels. For a Harvest Solar client, the math usually breaks down into three major wins:
Under current law, dealerships can claim a federal tax credit equal to 30% of the total cost of the solar installation. This is a dollar-for-dollar reduction in your federal tax liability.
100% first-year bonus depreciation is back for qualified solar property acquired and placed in service after January 19, 2025. That means instead of spreading a system’s cost across many years under traditional depreciation schedules, an auto dealership can deduct the entire cost of eligible solar equipment in the first year it’s placed in service. This immediate expensing can provide significant tax relief and improve early‑year cash flow, especially when paired with the 30% Investment Tax Credit, making commercial solar investments even more financially attractive.
Many dealerships located in rural or semi-rural areas qualify for the USDA Rural Energy for America Program (REAP). These grants can cover up to 25% of the total project cost, making the switch to solar almost a "no-brainer" for eligible locations.
If your showroom roof is occupied or oddly shaped, Solar Carports are the gold standard for the auto industry. Harvest Solar specializes in these structures because they provide a double ROI:
Most U.S. dealerships see their solar investments pay off in about 4–7 years. Thanks to the 30% Federal Investment Tax Credit (ITC) and accelerated depreciation, these projects often start generating profits in under a decade.
Yes. Flat roofs are ideal for ballasted solar mounts, which require no penetrations to the roof membrane, maintaining your roof's warranty while providing maximum energy exposure.
Lowering your "cost per stall" starts with controlling your energy. At Harvest Solar, we understand the specific infrastructure needs of the automotive industry—from EV charging integration to custom carport design.