$1.5B in Hidden Costs: Rethinking Solar’s Packaging Problem
Each year, the solar industry quietly spends billions on something that rarely shows up as a PO line item: packaging.
Wood pallets, crates, shrink wrap, and cardboard are baked into the cost of nearly every product, from solar modules and trackers to inverters and electrical components. And when those materials arrive on site, the next cost kicks in: disposal.
On a typical 10 MW project, installers spend $25,000 or more to procure dumpsters and haul away packaging to landfills. Then they do it again on the next job. And the next. And the next. It’s a cycle repeated across the entire solar supply chain. And like most systems that generate waste, it’s driven by convenience, not efficiency.
In 2024, U.S. solar projects spent $636 million on wood pallets and other single-use packaging. Then they spent another $127 million to send that packaging to landfills. But that’s just the start. When you factor in product breakage, labor inefficiencies, and lost time, the real cost tops $1.5 billion.
Solar packaging isn’t just a sustainability issue. It’s a business problem.
The Real Cost of Single-Use Packaging
Let’s break it down the 2024 numbers for just the U.S. solar industry:
$636 million: Spent on packaging CAPEX for 50 GW of new installations
$127 million: Paid to dispose of 85,000+ dumpsters of wood waste
$706 million: Lost to 3.5 million damaged modules during transport
$38.8 million: Spent on recycling or disposing of those broken modules
Total: $1.51 billion in annual costs, or around $150,000–$300,000 per 10 MW project.
Globally, the waste is even larger:
$7.6 billion in packaging CAPEX
Nearly 5 billion pounds of wood waste—much of it landfilled or burned
(You can check out our math page to see how we calculated theses numbers.)
Common Issues with Single-Use Packaging
These costs don’t come from one source. They’re the result of a broken system.
Excessive job site waste: Wood, wrap, and cardboard pile up fast
Breakage during transport and handling: Damaged goods delay installs
High disposal costs: Dumpsters, landfill fees, and transport add up
Inefficient labor and logistics: Crews waste time managing packaging
Safety hazards: Broken pallets and scattered debris increase risk
Why Use Returnable Packaging?
Returnable packaging isn’t just greener. It’s a smarter operational strategy.
Lower Costs. Most returnable systems pay for themselves within 2–5 uses, then continue delivering savings project after project. When you factor in avoidable costs like breakage and waste disposal, projects often save $150,000 or more across a single 10 MW deployment.
Less Breakage: Reusable containers are designed to protect high-value components like solar modules and electrical equipment through every step of the journey, including when they sit on site waiting to be installed.
Faster Installations: Clean, organized staging allows crews to move faster with streamlined laydown areas, less waste, and more room to work.
Improved Tracking: Reusable containers can be fitted with with barcodes, RFID tags, or QR labels, making it easier to track inventory in real time and keep assets in circulation.
Safer Sites: Reusable systems eliminate common hazards like broken wood, loose nails, and unstable stacks. Workers move more efficiently and with less risk of injury.
Real-World Examples
Stateline Solar: 92% Breakage Reduction, 624 Labor Hours Saved
Stateline Solar, a Midwest-based installer, was struggling with a common issue: module breakage. Their crews often spent extra time clearing trash, reloading pallets, and dealing with cracked panels.
After switching to PVpallet’s Series X reusable solar panel pallets, the impact was immediate:
92% reduction in panel breakage
$29,000 in projected annual savings (disposal fees + labor + lost product)
624 labor hours saved per year by pre-kitting pallets with the correct number of modules for the job and eliminating trash handling
Improved staging efficiency and safety on residential and C&I installs
“PVpallet Series X has been a game changer—when preparing for each job site and to my installer crew. Using these reusable pallets has made organizing our solar panels a dream. They ensure we have exactly what we need for each project and keep our warehoused solar panels separated and safe.”
—Zach Njos, Chief Operations Manager, Stateline Solar
Utility-Scale eBOS:
Better Protection, Smoother Sites
On large-scale solar farms, packaging for electrical balance-of-system (eBOS) components like wire harnesses, combiner boxes, and racking parts is often overlooked.
In multiple utility-scale deployments, using reusable bulk containers led to:
Fewer delays from weather-exposed or damaged parts
Faster installs thanks to cleaner laydown yards and better organization
Barcoded slips on containers that enabled inventory scanning and reduced misplaced product
Safer conditions for field teams unloading and installing components
EPCs really see the benefits of reusable packaging on utility scale sites. Rather than paying for packaging and then paying more to send it to a landfill, they are investing in packaging that is protecting their equipment, creating efficiency gains, and saving them money.
Footprint Project:
Faster Deployments in Disaster Zones
Footprint Project provides solar microgrids for emergency response and disaster recovery. Their deployments must be fast, mobile, and repeatable.
Switching to PVpallet’s Series X allowed them to:
Cut loading/unloading time in half
Double deployment capacity using the same crew and equipment
Stack modules securely in a mobile, reusable system
Improve safety, staging, and speed under intense conditions
“Our reusable solar panel pallets make it easier and safer to deploy and decommission our solar microgrid systems. The pallets also allow us to accept and manage solar panel donations in a way we couldn’t before.”
—Jamie Swezey, Program Director at Footprint Project
What Solar Can Learn from Automotive
Solar isn’t the first industry to face this packaging problem. Automotive solved it decades ago.
Faced with rising material costs, complex logistics networks, and increasing pressure to improve factory floor efficiency, major automakers transitioned away from single-use materials. They replaced expendable wood crates and cardboard boxes with durable, reusable packaging systems. And the results were significant.
General Motors
Switched just 3 parts from disposable to reusable containers as part of a trial program
Achieved $12 million in disposal cost savings over 5 years
Reduced waste handling labor and improved safety at plants
The success of this small-scale switch led to broader adoption across product lines
Source: Manufacturing.net
Ford Motor Company
Eliminated 30,000 pounds of packaging waste per day, significantly reducing landfill fees and cleanup labor
Improved plant floor organization and part handling consistency
Lowered safety risks associated with broken crates and excess packaging
Source: Manufacturing.net
Reusable Packaging Study
A study by Michigan State University (MSU) found that actual savings from reusable packaging, in terms of cash flow, exceeded forecasts for four automotive manufacturers with medium-to-high usage of reusable containers.
One company saved $10.9 million a year over a four-year period after a $16.3 million investment in reusable packaging, including a 35% reduction in truckloads sent to landfills.
Another firm estimated its savings from reusable packaging at $2.3 million.
Source: Container Systems
How They Did It
The automotive industry didn’t adopt reusable packaging to reduce waste. They did it because it saved money, improved logistics, and created safer, more efficient manufacturing environments. (Sustainabiliy was just a bonus)
The industry came together and solved their packaging inefficiencies by:
Standardizing packaging sizes and specs across suppliers and OEMs
Starting small, focusing on high-frequency, closed-loop product lines
Maximizing container use through just-in-time delivery cycles
Leading with cost and safety—sustainability was a bonus, not the driver
Like automotive, solar can benefit from standardization, closed-loop flows, and scalable solutions. And unlike automotive, solar doesn’t have to wait decades to catch up. The blueprint is already there.
How to Implement Reusable Packaging in Solar Supply Chains
Here’s a simple roadmap to help your team get started:
Audit your current packaging
Track spend on pallets, labor, product loss, and disposal.Choose the right solutions
Pair your products with matching reusable formats—pallets, bins, or inserts.Add asset tracking
Use barcodes or RFID to monitor packaging cycles and reduce loss.Design your return loop
Set up depot returns, backhauls, or third-party logistics support.Pilot on a small scale
Test on one product, one site, or one supplier. Measure the impact.Refine and scale up
Expand to new vendors, products, or regions. Standardize processes and train your team.
Final Takeaway
The solar industry is shipping the future of energy on single-use wood and cardboard. Every cracked module, wasted hour, and overflowing dumpster adds up.
Reusable packaging isn’t just about sustainability—it’s about performance, protection, and profit.