Solar on a building you rent: what you need from the landlord
- Written consent: Panels, fixings and cabling are alterations. Most commercial leases need the landlord's consent, often a formal licence to alter. Start with the alterations clause.
- Roof responsibility: Who repairs the roof, and who pays to take the panels off and put them back if it needs work.
- Lease length: If the lease ends before the system has paid back, the numbers don't work unless the panels can stay or be valued at the end. See commercial solar payback.
- What happens at the end: Remove and make good, or leave in place. Agree it now.
- Insurance: Both the building insurer and your own will want to know.
Bring the installer's layout and the roof findings from the survey to the landlord: it is much easier to agree a specific proposal. See commercial solar payback.
Solar on a building you let: the landlord's options
A landlord's options for solar on a let building
| Option | Who pays | Who gets the power | What to watch |
|---|---|---|---|
| Landlord installs and supplies the tenant | Landlord | Tenant | Supplying electricity needs a licence or an exemption |
| Landlord installs for common parts | Landlord (often via service charge) | Landlord's own supplies | Service charge terms |
| Tenant installs with consent | Tenant | Tenant | Licence to alter, removal at lease end |
| A PPA provider installs | Provider | Occupier buys it | PPA term against the lease term |
| Roof lease to a funder | Funder | Usually the occupier under a PPA | Registration, roof repairs, sale of the building |
Green lease clauses
The Better Buildings Partnership's Green Lease Toolkit describes a green lease as a standard form lease with extra clauses for managing and improving the building's environmental performance, binding on both sides for the term, while warning that it doesn't make a building greener by itself (BBP). Its clause list includes the tenant's ability to make alterations that improve environmental performance or the EPC rating, EPCs, and renewable energy (BBP).
Its "green lease essentials" set out levels for renewable energy. At the most ambitious level the parties use renewable energy from on-site generation, or if that isn't practical or is too costly, a PPA, or failing that a high quality green tariff, and show evidence of the source (BBP). Putting on-site solar first in a lease is a way to make it the expected route rather than a favour to ask.
Selling solar power to tenants
A landlord who owns the panels and wants to sell the power to tenants is supplying electricity. That generally needs a supply licence or an exemption under the Electricity (Class Exemptions from the Requirement for a Licence) Order 2001; GOV.UK advises taking legal advice if unsure (GOV.UK). Meters, billing and what happens when a tenant leaves need thought too. Get a solicitor involved before you promise tenants cheaper power.
Lease length, PPAs and roof leases
Solar Energy UK says PPAs usually run for 10 to 25 years (Solar Energy UK), so a tenant with a few years left is a poor fit unless the agreement can pass to the next occupier, and the landlord usually has to sign up too. See solar PPAs.
A landlord can also lease the roof space to a solar funder. In England and Wales, the grant of a lease of registered land for more than seven years has to be completed by registration at HM Land Registry (Land Registration Act 2002, s27). A roof lease should cover access, roof repairs and removal, insurance, and what happens when the building is sold or refinanced. Lenders on the building may need to consent.
MEES and EPC ratings
The minimum energy efficiency standard for non-domestic lettings in England and Wales (GOV.UK):
- The rule: Since 1 April 2023, landlords of privately rented non-domestic property covered by the Regulations need at least an EPC E rating, or a registered exemption, to keep letting it.
- Who it covers: Properties legally required to have an EPC, let on tenancies of more than 6 months and less than 99 years.
- Exemptions: Including the 7 year payback test, all improvements made, and third-party consent, for example where a tenant or superior landlord won't consent. Most last 5 years and don't pass to a buyer.
If solar is among the improvements recommended for your building, it is one way to lift the rating. Ask your EPC assessor what it would change before relying on it.
Note: General information, not legal advice. Have a solicitor review any licence to alter, roof lease or power supply arrangement.
Sources
Better Buildings Partnership, GOV.UK, legislation.gov.uk and Solar Energy UK pages read on 2 November 2026.
- Better Buildings Partnership: Green Lease Toolkit, About green leases
- Better Buildings Partnership: Green Lease Toolkit, Green lease essentials (renewable energy)
- Better Buildings Partnership: Green Lease Toolkit, Green lease clauses
- GOV.UK (DESNZ): Non-domestic private rented property, minimum energy efficiency standard, landlord guidance (updated 5 May 2026)
- Land Registration Act 2002, section 27: leases of more than seven years must be registered
- GOV.UK: Electricity licence exemptions (Class Exemptions Order 2001)
- Solar Energy UK: Power purchase agreements
Frequently asked questions
Can I put solar panels on a building I rent?
Usually only with your landlord's written consent, because panels are an alteration to the roof and the electrics. Check your lease's alterations clause, then ask the landlord early, with the installer's drawings. The lease also needs enough time left to make the system worth paying for.
What is a green lease?
The Better Buildings Partnership describes it as a standard form lease with extra clauses for managing and improving the building's environmental (and social) performance by both owner and occupier. It is legally binding for the term, but it doesn't make a building greener by itself: both sides have to act on it.
Can a landlord sell solar electricity to tenants?
It can be done, but supplying electricity to someone else generally needs a supply licence or an exemption under the Electricity (Class Exemptions from the Requirement for a Licence) Order 2001. GOV.UK says to take legal advice if unsure. Have a solicitor set up whatever arrangement you choose.
Does MEES mean a landlord has to install solar?
No. Since 1 April 2023 a non-domestic landlord in England and Wales generally can't continue to let a property below EPC E without a registered exemption. How the landlord gets there is up to them; solar is one possible measure if it is on the EPC's recommendations or improves the rating.
Can I rent my business roof to a solar company?
It can be done: a funder leases the roof space, installs the panels and usually sells the power to the occupier under a PPA. A lease of more than seven years of registered land has to be registered at HM Land Registry, and the lease should deal with roof repairs, access, insurance and what happens if the building is sold.
What happens to the panels when the lease ends?
Whatever the lease and any licence to alter say: the tenant may have to remove them and make good, or leave them for the landlord. Agree it before installation, because it changes whether the system pays back within the term.
Related pages
- Commercial landlordsSolar on let property means settling who pays, who benefits and who owns the system. This page covers the main ownership models, lease length, metering and MEES.
Power purchase agreementsHow on-site solar PPAs work, typical contract lengths, how prices rise over time, what happens if you sell or move, and the clauses to check before signing.- MEES and commercial EPCsLandlords of let commercial property must meet a minimum EPC rating; solar is one of the measures that can lift a rating.
- WarehousesLarge unshaded roofs and daytime shift work make many warehouses a strong fit for rooftop solar, provided the roof structure, rooflights and lease terms stack up.