Key facts
| Council area | Scottish Borders |
| Population | 7,023 (Kelso (including Maxwellheugh) locality, Scotland's Census 2022 (NRS figure as published by City Population)) |
| Network operator | SP Energy Networks (SP Distribution, Central and Southern Scotland) |
| Main employment areas | Pinnaclehill Industrial Estate |
| Indicative yield | About 891 kWh per kWp a year (south facing, 30 degrees) |
| Nation support page | Grants and reliefs in Scotland |
Where businesses are in Kelso
- Pinnaclehill Industrial Estate: Kelso's industrial estate, home to the Plexus electronics factory and the Lloyd Land Rover Kelso dealership on Lee Forbes Way, which said in 2023 that it employed about 60 people there.
Large employers and sectors with sites here include:
- Electronics manufacturing (Plexus): Plexus's Kelso factory, founded as Pye Borders in 1965 and run by Plexus since 1999, marked its 60th anniversary in April 2025.
- Water treatment technology (Scotmas): Family owned Scotmas, which makes chlorine dioxide water treatment systems in Kelso, raised £2.2m in January 2025; it employed 50 staff and planned 40 new jobs over three years.
Large, simple roofs on distribution sheds and modern industrial units are usually the quickest and cheapest to fit. Older mill, factory and workshop buildings can work well too, but often need a structural survey first, and roofs from before 2000 may contain asbestos cement: see asbestos roofs.
Grid connection
Kelso is served by SP Energy Networks (SP Distribution, Central and Southern Scotland). Almost every commercial system needs G99 approval from the network operator before it is switched on, and the question is usually how much the local network can take back. Where export is limited, a G100 export limitation scheme can let a larger array connect. See G99 and DNO applications.
Planning in Kelso
Planning in Kelso is decided by Scottish Borders council under Scotland's own system. Non-domestic rooftop solar is often permitted development under the Scottish rules, but not on listed buildings, in National Scenic Areas or within 3 km of an aerodrome.
Points that come up locally:
- The Kelso Conservation Area covers about 68.4 hectares and 81 postcodes, so check whether a building is inside it before planning roof panels in the centre.
- Since 24 May 2024, Scotland's Class 6J lets solar PV go on non-domestic buildings without planning permission if it protrudes no more than 1 metre from the surface of the building, but not on a listed building or within its curtilage, within 3 km of an aerodrome or technical site, or, in a conservation area, on the principal elevation or a side elevation fronting a road.
Our guides on listed buildings and conservation areas, airports, glint and glare explain what these mean for a solar project.
What a business roof in Kelso could generate
Modelled with PVGIS for the town centre, a south-facing roof at 30 degrees produces about 891 kWh per kWp a year.
| Item | Illustrative figure |
|---|---|
| System | 100 kWp, south facing at 30 degrees |
| Installed cost | £900 per kWp, so £90,000 excluding VAT |
| Generation | About 89,100 kWh a year |
| Used on site | 70% at 24p = £14,969 saved |
| Exported | 30% at 5p = £1,337 earned |
| Total a year | About £16,305 |
| Simple payback | About 5.5 years before tax relief |
Illustrative, not a quote: the same sums as our commercial solar calculator. A company paying corporation tax can usually shorten the payback with capital allowances.
Funding and support
- Business Energy Scotland SME Loan: Interest-free loans of £1,000 to £130,000, repaid over 8 years (a shorter term can be requested). Cashback of 75% of eligible costs, up to £20,000 for energy efficiency measures and up to £10,000 for heat pumps, biomass boilers and solar thermal, with a maximum of £30,000 per business, allocated first come, first served. Applications are processed on a rolling basis all year round, subject to the overall availability of loan funds. The page says the scheme is not accepting new applications for solar PV projects. Check the scheme's own page for eligibility and closing dates.
National reliefs apply too: see grants and reliefs in Scotland.
Solar across Scottish Borders
At the end of 2025, Scottish Borders had 7,152 solar PV installations with 33.4 MW of capacity, up 100% since 2020, according to government figures. The Scottish Borders page has the full local figures and how they compare.
Nearby towns
- Galashiels, about 15 miles away
- Morpeth, about 42 miles away
- Ashington, about 45 miles away
- Hexham, about 45 miles away
Sources
- citypopulation.de: S52000341 kelso
- en.wikipedia.org: Kelso, Scottish Borders
- bordertelegraph.com: 19121239.plexus kelso up 60 jobs risk borders factory
- gov.uk: maps of forth green freeport tax sites
- gov.uk: maps of inverness and cromarty firth green freeport
- gov.uk: maps of glasgow city region investment zone tax
- gov.uk: maps of north east scotland investment zone tax
- bordertelegraph.com: 23504425.kelso lloyd motor group jobs boost amid expansion
- bordertelegraph.com: 25127394.kelso factory plexus unearths time capsule mark milestone
- businesscloud.co.uk
- heritagecheck.co.uk: kelso
- legislation.gov.uk: made
- businessenergyscotland.org: sme loan
- Yield: PVGIS 5.3 (European Commission Joint Research Centre), SARAH3 data, 14% system losses, for the town centre, modelled 4 November 2026.
- Council area figures: DESNZ, renewable electricity by local authority 2014 to 2025.
Frequently asked questions
Who is the electricity network operator in Kelso?
SP Energy Networks (SP Distribution, Central and Southern Scotland). Most commercial solar systems need its G99 approval before they are switched on. The operator follows the postcode, so confirm yours with the Energy Networks Association postcode tool.
How much would a 100 kWp solar system generate in Kelso?
About 89,100 kWh a year for a south-facing roof at 30 degrees, modelled with PVGIS for the town centre. At 70% used on site at 24p and the rest exported at 5p, that is worth about £16,305 a year. Your own roof, orientation and use will change this.
Can a business in Kelso get a free solar survey?
Yes. Answer six short questions and we match the site with one MCS certified installer, who surveys it on site or by video call. It is free, with no obligation. Get a free survey.
Related pages
- Scottish Borders7,152 installations, 33.4 MW of solar and about 882 kWh per kWp a year for a south-facing roof.
- ScotlandSP Energy Networks and SSEN connections, NPF4 and Scottish permitted development, the four city low emission zones, the Scottish rates exemption and realistic yields.
- Commercial solar calculatorEstimate commercial solar savings and payback, with the generation, price and cost assumptions shown and sourced, and the limits of a simple estimate explained.
- ScotlandCurrent solar support in Scotland for businesses, community groups, public bodies, schools and farms, with rates, planning and official contacts.
- Planning permissionPermitted development for commercial rooftop solar and car park canopies in England, prior approval, heritage limits, ground-mounted schemes and the other UK nations.