How’s business for BHC Distributors?
We’ve seen a huge increase in demand for solar PV across the board in Ireland – domestic, commercial and agricultural. No recognised source foresaw this level of demand. It’s the same north and south, though the Republic has the benefit of SEAI home energy grants (prices are roughly same due to the Integrated Single Electricity Market).
What’s driving demand for solar PV?
Rising energy prices are a big cause and with no end in sight, people want to act now. Domestic bills have doubled this year, and the trend remains upwards. Some commercial electricity bills have increased by more than 500%. Our own business as a solar supplier has probably trebled this year so I’d expect a roughly 30% increase in turnover next year, judging from inquiries we’re getting.
What’s driving choice in the market?
Feedback from installers, companies and owners is that given the right information, customers will choose quality and on factors such as warranties – Solarwatt does very well. Irish customers if they know what the differences are will choose a European manufacturer with a warranty so they know they’ll be dealing with a European company and can keep in touch with someone so they’re covered for labour, scaffolding etc if they need it. There shouldn’t be a problem but this adds value if you’re investing in panels that will stay on your roof for 30 years plus. Solarwatt glass-glass panels are doing well because of their quality and 30-year warranty on product and performance, added to free FullCover insurance for five years.
BHC Distributors
Commercial customers are getting payback on the systems they install in under five years and that can only come down, so it’s well worth the investment. They see solar as a commodity, not a luxury.
What’s the market like now?
The solar PV market is maturing – installers know more about sizing projects, e.g. factoring in a future preference for battery storage, which is easy to retrofit later, and a lot of our customers are installing EV chargers.
What about help for businesses?
We don’t feel the commercial market needs grants; rising energy costs means payback comes sooner so companies are happy to invest. That makes it easy for BHC to decide to scale up in order to meet demand.
What’s the situation with supply chains?
Many people were caught on the hop because not one forecast predicted demand would go this high, and I expect there will be shortages of solar components next year, so any installers who don’t understand the pressure on supply need to stock more products. But with our, long-standing, trusted relationships, such as with Solarwatt, which has invested heavily in expanding production, we can get the products we need.
What about next year?
We have been selling enough to our loyal installers to satisfy them and next year we plan to expand our offering to more installers in Ireland. There’s a great appetite for quality in this market and the main thing at present is having stock – then you’re halfway to selling it. We are expanding our premises to provide more space, building a new warehouse and offices in Dunamallaght.
What could be done to boost renewable energy take-up and widen access?
There has to be a push for upskilling in rooftop solar, to ensure quality work and to satisfy demand we believe will keep growing. Whether it’s through construction industry training or ‘reskilling’ people from other sectors, addressing skill shortages are a big priority if we’re to reach our goals in society and decarbonise the economy.
We must also address fuel poverty, by putting more solar and storage and water heating in social housing. Also in the current situation, what counts is helping people pay their bills. It’s no good the Government giving households £200-300 here and there – a holistic approach is required, whether it’s a one-off windfall tax on energy companies, I’m not sure. (hcn)
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