Market Report: Spotlight on Solar Car Parks within Education Estates

Market Report: Spotlight on Solar Car Parkswithin Education Estates

This new market insight report is published by Energy Positive Assets (10^th March) – it shines a light on thepotential for solar canopies over car parks in UK colleges and schools.

This report provides a comprehensiveanalysis of the UK solar car park market, exploring key trends, commercialopportunities, regulatory frameworks, and financial considerations.

With an estimated 2+ million parkingspaces across the country’s education estates and rising demand for on-siterenewable, this study examines the potential for deployment across schools andcolleges (as well as other sectors), assesses investment viability, andhighlights case studies of successful implementations.

Evidence from across Europe isincreasing policy support for solar car ports; data which should drive policywhen the government publishes its full Clean Power 2030 plans. The preview of these plans, in the Decemberstatement, already indicates support for solar car ports; the exact form ofthis support will become clear when the plan is published later this year.

The potency of solar in redundantspaces such as car parks, combined with advancements in solar/batterytechnology, means solar car ports are poised to play a role in the UK’srenewable energy landscape.  They canalso create valuable revenue streams for the benefit of Education Estates. By equipping stakeholders with actionableinsights, this report aims to support informed decision-making and help unlockthe full potential of solar car park deployment in the UK.

The transition to a low-carbon economy isdriving significant interest in this area. With increasing energy costs andgrowing electric vehicle (EV) adoption, solar carports offer a uniqueopportunity to generate renewable energy, reduce carbon footprints, and createfinancial returns for businesses and public sector institutions.

This report provides a detailed analysis ofthe UK solar car park market, with a particular focus on Education Estatesin England & Wales. The UK has an estimated 8 million car parkingspaces, of which 2 million are within schools and colleges; with approximately 1.7mparking spaces in England & Wales. Improving technological solutions andemerging financial models like Power Purchase Agreements (PPAs), mean solarcarports are a viable solution for all educational institutions looking toenhance sustainability and reduce energy costs.

Growth Drivers

• Energy Cost Savings – A solar carport covering 100 parking     spaces can generate £90,000+ worth of energy per year, with savings of £30,000+ under a PPA.
• Net-Zero Commitments – The UK’s legally binding 2050 net-zero     target and the Climate Action 2030 policies are driving investment in renewable infrastructure.
• EV Charging Demand – With over 1.3 million EVs     on UK roads, the need for integrated charging infrastructure is rising.
• Financial Incentives – such as the Workplace Charging Grant,     Smart Export Guarantee (SEG), government incentives and PPAs make solar carports financially attractive.

Based on 1.76 million parking spacesin England & Wales, and conservatively cutting this to 1 million (to allowfor unsuitable sites) this translates into a potential market size of:

·        £10 billion of capital expenditure(1 million spaces x £10,000)

·        Value of annual power generation inexcess of £1 billion per annum (1m parking spaces x kWh x 25 penceper kWh)

Additional revenues can be generatedfrom EV charging, battery storage and grid services.   Battery applications can be valuable forschools and colleges, allowing for greater solar capacity and lowering the costof EV charging, including electric buses.

The report highlights a number ofrecommendations, including:

1. Adopt Flexible Financing Models: Utilising Power Purchase Agreements (PPAs) and leasing options to reduce capital barriers.
2. Enhance  ROI with Battery Storage Solutions: Integrate EV charging, battery storage, and dynamic pricing to maximise revenue streams.
3. Leverage Government Incentives: Capitalise on available grants, tax breaks, and future policy shifts, with particularly attention given to Clean Power 2030.

The reported benefits shine aspotlight on the nature and scope of the opportunity, i.e. cost savings, carbonreductions and improved asset management.

The main challenge is cost,specifically the capital expenditure required to install solar over car parks,which is estimated at £10,000 per parking bay.  To counter this, Power Purchase Agreementsallow education organisations to adopt solar car parks without any capitaloutlay.  Solar car parks will typicallyreturn an IRR of around 10%, subject to the revenue and savings generated bythe PV panels.  Under a PPA the netsavings for a school should start at £300 per parking space per annum.

Solar car parks represent a transformationalopportunity for the UK’s energy transition. By utilising existing parking infrastructure,schools, businesses, and local authorities can drive carbon reduction, energysavings, and long-term financial returns. With innovative financing models likePPAs, adoption is set to accelerate, making solar carports a key component ofthe UK’s strategy towards energy self-sufficiency.

See the full report here:  https://www.solevenergygroup.co.uk/reports/uk-solar-car-parks-education-estates-report-2025

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