Solar-Powered Sustainability: How The Hospitality Industry Can Slash Energy Costs with Solar Power

Published on:
25 April 2025

In an era where economic savvy and sustainability collide, the hospitality industry is discovering a powerful ally in solar energy. Hotels, hostels and the hospitality industry, who are traditionally high consumers of electricity, are starting to turn to solar solutions to address both environmental concerns and rising operational costs.

The transformation isn’t just about going green. It’s all about securing a competitive edge in a market where knowledge in both sustainability credentials and operational efficiency matter is crucial, an area which North East Solar excels in.

The Energy Challenge in Hospitality

The hospitality sector faces unique energy challenges. With 24/7 operations, climate control requirements, and the need to provide uninterrupted service to guests, energy consumption is one of the largest operational expenses globally.

Traditional energy sources not only burden the bottom line but also contribute significantly to carbon footprints, which is a growing concern for environmentally conscious travellers and regulatory bodies alike.

The Ramside Hall Transformation

A compelling example of solar energy’s potential in the hospitality sector comes from the North East of England, where Ramside Hall Hotel, Durham, underwent a remarkable £177,000 solar transformation. This inspiring project involved installing 400 solar panels across the hotel’s grounds, projected to generate approximately 107,000 kWh of electricity annually.

The installation is expected to meet about 11% of the hotel’s considerable energy needs, representing a significant reduction in grid dependency. Most impressively, the project is estimated to deliver around £27,000 in annual energy savings while preventing 27.5 tonnes of carbon emissions each year, which is the equivalent of planting 1,266 trees.

Immediate and Long-Term Financial Benefits

Ramside Hall highlights several key benefits that hospitality businesses can reap from solar investments:

  • Reduced Operational Costs: With energy often accounting for 3-6% of hotel operating costs, solar installations can significantly reduce monthly utility bills.
  • Protection Against Energy Price Volatility: By generating on-site power, hotels gain insulation from market fluctuations and rising energy costs.
  • Impressive Return on Investment: Many hotel solar projects achieve ROI within 3-7 years, with systems typically lasting 25+ years, which can provide decades of essentially free energy.
  • Enhanced Property Value: Buildings with renewable energy installations typically command higher property valuations and more favourable insurance terms.

Beyond the Financial Equation

The benefits extend well beyond direct cost savings:

  • Guest Appeal: Today’s travellers increasingly prefer eco-friendly accommodations, with 73% of global travellers intending to stay at sustainable properties according to recent industry surveys.
  • Regulatory Compliance: As governments worldwide tighten emissions regulations, solar investments help hospitality businesses stay ahead of compliance requirements.
  • Energy Independence: Solar storage systems can provide critical backup power during outages, ensuring guest comfort and operational continuity.
  • Corporate Social Responsibility: Solar adoption demonstrates tangible commitment to sustainability goals, enhancing brand reputation.

Implementation Strategies

For hospitality businesses considering solar adoption, several approaches can maximise benefits:

  • Start with energy efficiency audits to optimise consumption before sizing solar systems
  • Consider phased implementation to spread investment costs
  • Explore available tax incentives, grants, and financing options
  • Evaluate roof space, parking canopies, and ground-mounted options based on property characteristics
  • Implement smart energy management systems to maximise solar utilisation

Final Thoughts

As demonstrated by Ramside Hall’s successful implementation, solar energy represents not just an environmental choice but a strategic business decision for forward-thinking hospitality venues. With decreasing installation costs and increasing energy prices, the business case for solar in hotels and hostels has never been stronger, offering a rare opportunity to simultaneously reduce costs and enhance guest experiences.


Whether you own a commercial property in the hospitality sector or if you are happy to use solar energy in your own home, North East Solar has your solar needs covered no matter what, come to us for a free quote today and contribute to a more sustainable future !