Saving money with solar panels – breakdown of costs and savings
Solar energy is a renewable energy source that will never run out and produce no pollution. Many people are turning to solar to reduce their energy consumption costs by investing in solar panel systems. Investing in a solar panel system provides long-term savings. Look at how solar panels help you save money by breaking down the costs and savings associated with them.
Cost of solar panels
To determine the cost of solar panels are several factors to consider the type of solar panel, size of the system, local climate, installation costs, any applicable tax credits, and incentives. A residential solar panel system ranges between $15k-$25k but goes up to $50k or depends on specific requirements.
- Federal tax credit – The federal government offers a tax credit of 26% off the total installation cost applies until December 31st, 2022.
- State rebates – Many states offer rebates which typically range from $1k-3K
- Net-metering credits – Some utilities offer credits based upon excess power supplied back into the grid.
Savings with solar panels
history of solar panels While initially expensive investment may seem daunting when considering adding solar panels to your house’s roof to end up paying for them over time through significant electricity bill reduction. Solar panels act like batteries, storing the energy they absorb from the sun and releasing it as electricity to power your home. This stored energy is used throughout the day and at night when the sun shines. Most states have implemented net metering policies for homeowners to sell the excess electricity they produce to the grid, resulting in even more savings.
- Installed properly by professionals like Energy contractors or other accredited installers. Most homeowners find that their monthly electric bills tend to decrease quickly when they start increasing their solar power system because most of the power used to rely upon from utility companies is covered by their solar-powered photovoltaic cells, which are powered by the sun.
- Electricity prices are rising every year to inflationary pressures along with supply and demand fluctuations. Installing solar panels allows homeowners protection against rising electrical rates. An installed homeowner would be immune against any price hikes imposed by local utility companies hence maintaining consistent predictable monthly expenses, unlike non-solar homes which are subject to increase without notice.
- Studies suggest adding residential PV systems increases home values by around ~$20K, so having installed is not only good financially but adds resale value should one decide to sell the property. One day especially given increased focus towards environmental sustainability considerations from potential buyers and renters looking for green options.
Investing in Solar Panels provides numerous benefits in reducing carbon footprint while saving and reducing electricity bills each month. While the initial investment may seem high long-term financial rewards far outweigh short-term costs – especially given the multitude of state incentives available. As new technologies emerge the battery storage capacities become even easier to reap the aforementioned reliance upon grid-supplied power during peak demand times. As such- if a sustainable future interested in taking control over household energy usage costs should seriously consider integrating Photovoltaic systems into their homes sooner rather than later.