Solar panels: opportunities and risks for you as a roofer

In the ambition of many building owners to make buildings energy neutral - and thus save costs - roofs are being fitted with solar panels on a large scale. Here lies an opportunity for you as a roofer, namely new 'business', whether or not in cooperation with specialized PV suppliers. Whether it is a task in the context of energy saving, renovation or asbestos remediation, there may be an opportunity to combine a (new) roof package with solar panels. However, it also means a risk if the installation of solar panels is done outside the roofer, because then solar panels are attached to the virgin roof after completion, with the risk of damage. I discuss opportunities and risks in more detail.

The opportunity: business

As a roofer, you are pre-eminently specialized in work on or about roofs, not only because of your technical skills, but also because of your health and safety knowledge (fall protection, etc.). Moreover, you are on site anyway and then it is easy for a client to contract everything with one party. Two points are important here.

The first point of interest is that where cooperation is sought with a specialized PV supplier, good agreements are needed about the cooperation. For example, you can choose to contract the PV supplier as a subcontractor, where it is particularly important that matters such as energy performance, guarantees and delivery time are properly 'back-to-back' (by) contracting. As a roofer, you can also opt for an intensive cooperation with a PV supplier by setting up a BV or VOF together, or simply entering into a joint agreement with the client. In all cases it is important to delineate the mutual responsibility and liability and in particular to think carefully about the obligations that you as a roofer (together) enter into towards the client (together for the whole or each for a part) and what your responsibility is towards the client if the PV-supplier does not respond or even goes bankrupt.

A second, more commercial, point is that not all clients are able to cough up the cost of installing a roof with solar panels directly. However, parties with such investment needs normally have a regular (monthly) budget to spend. An obvious - and frequently used - construction is that a roofer and/or PV supplier enters into an agreement with a third party that pre-finances the costs (e.g. an SPV (a special purpose company) of an energy company), after which the client 'repays' this third party by paying the - adjusted - regular charges. Here it is important to give careful consideration to the chain of contracts that includes calculating the investment picture, separating the ownership of solar panels by, for example, establishing a right of superficies, defining mutual responsibilities and guarantees (for energy performance, among other things).

Risk: damages and consequential damages

If the client contracts you as a roofer on the one hand and the PV supplier on the other hand separately, this means that solar panels are subsequently mounted on the roof you have delivered by the PV supplier. This creates a number of risks for you as a roofer.

The first risk is that damage may occur to the roof due to the installation of solar panels, for example, because special provisions are necessary to fix the panels. In that context, it is important for you as roofing contractor to make proper agreements with the client about responsibilities, to draw up (and sign) a report of completion together with attached photos of the roof on the day of completion and to clearly formulate in the agreement/guarantee statement that in case of adjustments to the roof (or use of the roof in deviation of the agreements) by or on behalf of the client any liability lapses.

A second risk is that the client may ask you for advice on the roof package to be applied without the client "painting the whole picture. If, as a roofer, you then recommend a roof package that is not suitable to be filled with solar panels (or, for example, does not comply with an unreported RC value), this can lead to unnecessary and annoying discussions. With this type of request for advice, it is important for you as a roofer to - at least - (1) indicate on the basis of which documents/assumptions the advice has been drawn up and (2) that the client himself bears full responsibility for the implementation if it deviates from the documents/assumptions on which your advice is based. In any case, it is wise to include in the contract with your client that any consultancy work (also) falls under the scope of your general conditions (in which you exclude or limit liability for consequential damage).

A third consequence of the installation of solar panels by a client (after completion of the roof) is that maintenance and any necessary repairs are more difficult to carry out and therefore more costly. For example, should there be a structural problem in the roof package resulting in leakage, not only does the roof package have to be repaired or replaced, but solar panels often have to be de- and re-assembled as well. In other words, the risk profile increases. It is therefore in your interest as roofing contractor to limit your repair and/or warranty obligations - for example, via the general terms and conditions - to repair/replacement of your own performance and, in addition, to explicitly exclude consequential damage, including the de- and re-assembly of items fitted to the roof (such as solar panels). Here it is important to contract with your own contract and terms and conditions.

Conclusion

"New business" means new opportunities, but there are a few points that deserve your attention to avoid taking irresponsible risks.

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