Warehouses

1.2MWp PPA for a Midlands 3PL Warehouse

A 1,200 kWp solar PPA at 11.5 p/kWh over 20 years delivers a year-1 saving of £164,000 for this warehouses client.

Deal summary
Sector	Warehouses
System size	1,200 kWp
PPA tariff (year 1)	11.5 p/kWh
Contract term	20 years
Year-1 saving	£164,000

The site

Midlands 3PL operator running a 22,000 m² ambient distribution warehouse near the M1/M6 junction.

The challenge

Annual electricity import of 4.6 GWh against a 26 p/kWh contract — and major customer (Tier-1 retailer) demanding Scope 3 emissions disclosure by end-2025. Limited capex available.

The PPA solution

1.2 MWp rooftop PPA over 20 years with a specialist solar fund; 11.5 p/kWh year-1 tariff with 2% RPI-capped escalator. EPC contractor pre-vetted; full O&M including inverter replacement bundled.

Outcome

Year-1 saving £164,000 (≈3.6% margin improvement). REGO transfer secures Scope 2 'green' claim. Retailer contract retained — worth £18m/year.

Watch-outs we learned

Site survey identified roof panel-bolt corrosion requiring patch repair before install — added 4 weeks. G99 connection took 11 weeks (longer than quoted).