enewable energy sources including solar are producing an increasing percentage of electricity generation in the United States. Solar energy generated 3.4 percent of the total utility-scale electricity production in the United States in 2022, according to the U.S. Energy Information Administration (eia.gov/energyexplained/electricity/electricity-in-the-us.ph). All renewable sources combined produced about 22 percent of the total electricity generation. This compares with about 12 percent in 1990.

Fossil fuels generated the largest percentage of U.S. electricity in 2022, with natural gas at roughly 40 percent, coal at nearly 20 percent, and petroleum at less than 1 percent. Nuclear energy produced nearly 20 percent.

Some major self-storage companies have been making significant investments in solar power.

For example, Public Storage and commercial and industrial rooftop solar developer Solar Landscape said in a news release Aug. 1 that they would add solar infrastructure to 133 of Public Storage facilities’ rooftops in Maryland, New Jersey, and Illinois “to provide historically overlooked communities with affordable renewable energy.”

Public Storage, based in Glendale, Calif., and Solar Landscape, based in Asbury Park, N.J., said the “community solar installations” would provide renewable energy to more than 10,000 homes to residents with low or moderate incomes and save subscribers millions of dollars a year on electricity costs. Public Storage has committed to install solar on more than 1,000 of its self-storage facilities by 2025.

“Community solar furthers Public Storage’s strong commitments to sustainability and our communities,” John Sambuco, Public Storage’s president of asset management, said in the release. “We are providing affordable renewable energy for low- and moderate-income residents, reducing our collective carbon impact on the environment, and converting non-used rooftop area into socioeconomically productive space for our company.”

Another big industry player, Extra Space Storage, based in the Salt Lake City area, said in a July 17 press release that in the past five years it had completed solar installations at more than 400 of its facilities. These solar installations have saved enough energy to power more than 10,000 homes for a year. The company also plans to install hundreds of additional solar systems on its facilities.

Extra Space says the Global Real Estate Sustainability Benchmark ranks it as the top U.S. self-storage company for sustainability.

McKall Morris, Extra Space’s communications and sustainability manager, said in an interview that 11 percent of Extra Space’s energy consumption in its wholly owned, joint venture, or managed properties is offset by solar-generated electricity. The company says in its 2022 sustainability report that it aims to double that percentage by 2025.

At the end of 2022, the company was using solar power at 55 percent of its 1,133 wholly owned facilities, Morris says. Extra Space uses most of its solar-generated electricity to power its facilities. It also sells a small percentage of the electricity to area utility companies and leases its roof space for some community solar projects.

“A lot of the sustainability efforts we have done to date have been easy decisions for us because they are at the intersection of what’s good for the environment, what’s good for the community, and what’s good for our shareholders,” Extra Space CEO Joe Margolis said in the release. “Solar has been a great thing to reduce our electricity use while producing a great return for our shareholders.”

Baja Carports, based in Martinez, Calif., has installed solar support systems, solar-ready carports, standard carports, and covered RV canopies for 38 years, according to its website (bajacarports.com). Baja was one of the first companies in the United States to use solar panels as actual carport rooftops. The company describes its trademarked brand of solar support systems as being recognized nationally in the solar industry as a leading solar racking mounting system.

“We see the future of Baja Carports solar support systems (solar carports and solar-ready carports) as no longer being an amenity or, for that matter, an afterthought for down the road installments, but a standard in building and property development,” according to Baja’s website. “The Baja carport team is inspired by what we see, read, and hear each day about the solar industry. Our customers are harnessing renewable energy. They fully understand what Baja’s solar support systems can do. … Each is self-sufficient and in control of their electricity production. Knowing Baja Carports is a part of our customers’ carbon footprint success is the reason why we continue to design and engineer new innovative pre-engineered framing support systems.”

Baja Carports CEO Robert Hayworth says the majority of solar systems used in self-storage are part of new construction, though some facility owners install them on existing facilities, whether to sell the power to utilities, use it to power the facilities themselves, or both, which Baja does. Solar systems on rooftops add about 3 pounds to 5 pounds of deadweight per square foot, which most self-storage buildings and RV and boat storage structures can’t support without further strengthening.

“I’ve seen a lot of guys just put it up anyway,” Hayworth says. “It voids the warranty because it could damage the building. Any city with half a brain won’t give a building permit.”

Companies that install solar power systems can get tax credits for as much as 60 percent of their costs through the Inflation Reduction Act of 2022 and other tax credits, Hayworth says. RV and boat storage qualifies for the credits because RV canopies are considered solar support systems. On self-storage, tax credits apply to the cost of the solar systems themselves but not the buildings.

Installation of solar systems on existing structures require penetration of the roof, “so you have to be real careful on mini-storage,” Hayworth says.

“Leaks could damage contents,” he says. “You can’t have a leak with storage. But if you put it on RV canopies, nobody cares. It’s better on RV canopies or carports instead of mini-storage. [The Los Angeles Department of Water and Power] will pay you 14 cents a watt for power. If you have an existing rooftop that’ll take the weight in LA, then you can make quite a bit of money on it.”

Solar systems for new construction vary from $1.15 to $2 per generated watt depending on the region, Hayworth says. This would probably equate to $30 a square foot of roof area on RV canopies and on self-storage facilities. Solar systems can save more money on energy costs for climate-controlled facilities.

Regarding costs to incorporate a solar system in a storage facility, he uses as an example a 15-acre RV and boat storage facility with canopies on it. It probably would use a 40-kilowatt system, which costs between $80,000 to $100,000. Depending on the state, the system can offset energy costs by possibly $1,500 a month. Tax credits can reduce costs by 40 percent to 50 percent.

Maintenance of solar systems is minimal, Hayworth says. It involves replacing the inverters every 10 years (inverters convert DC current to AC current) and washing the system at least once a year.

ESA, a solar energy systems provider based in Maitland, Fla., says on its website (esa-solar.com/sharing-the-sun-exploring-self-storage-community-solar-initiatives) that self-storage businesses have evolved in recent years beyond their core function of providing convenient storage space for personal belongings. Because some self-storage companies are expanding their facilities into community solar providers, they are helping the environment and businesses that don’t have room to install solar systems on their sites.

“By harnessing solar energy, these businesses not only offset their own costs but also generate revenue for themselves,” ESA says. “This approach facilitates a sustainable future while promoting economic growth. These solar projects show that businesses are changing how they view their impact on the environment and their communities. They’re not just storage places anymore; they’re examples of clean energy, lighting the way to a greener future.”

By installing big solar systems, self-storage owners “are transforming themselves into powerhouses of clean energy production, effectively becoming energy providers for their communities,” ESA says. “This transformation isn’t limited to the self-storage industry alone; it sets an inspiring precedent for businesses across various sectors. By investing in renewable energy infrastructure, a single business can act as a catalyst for a wider shift towards sustainability.”

ESA describes the integration of self-storage businesses with community farms, which it calls “a brilliant solution that can transform how we think about energy production and distribution.” ESA breaks down how it works as follows:

• Energy generation
• Energy distribution
• Shared benefits
• Environmental benefits
• Advantages of self-storage and community solar:
• Sustainability
• Community engagement
• Energy resilience
• Environmental stewardship
• Collaborative system
• Financial incentives
• Offsetting costs

“The integration of community solar within self-storage businesses marks a shift in sustainable practices and a revolution of democratized energy generation,” says ESA. “By sharing the generated energy among multiple businesses and individuals, these enterprises contribute to the local economy while reducing their carbon footprint. Through collaboration and a commitment to sustainability, self-storage businesses are redefining their roles in society and becoming key players in the transition toward a greener future. As the potential for renewable energy continues to expand, the utilization of community farms represents a win-win solution for both environmental stewardship and financial success.”

Solar investors generally are benefitting from solar power’s decreasing cost and increasing efficiency, according to the Environment America Research & Policy Center (EARPC) in its report on solar on warehouses (environmentamerica.org/center/resources/solar-on-warehouses).

The organization calls solar power the fastest-growing sector of energy production in the United States. It says the U.S. has the capacity to produce nearly 80 times as much electricity using solar photovoltaic energy as it used in 2020.

American warehouses’ rooftops built before 2019 can generate 185.6 terawatt-hours (TWh) of solar electricity a year, enough to power more than 19 million average homes, the EARPC said. California, Florida, Illinois, Texas, and Georgia have the most potential for warehouse solar power generation.

The EARPC calculated its estimate of warehouse solar generation potential by state and region compared to other energy sources using the U.S. Energy Information Administration’s 2018 Commercial Building Energy Consumption Survey data.