Benefits of Installing Solar Panels
As the economic and environmental costs of traditional energy sources have risen and become clearer, more homeowners have started searching for affordable, green alternatives to power their homes. As a result, solar power systems are on the rise both in the United States and abroad, spurred on by significant advances in the industry. Because solar technology has been around for decades, most people understand the basics of it, but the specific benefits of solar remain widely misunderstood or unknown.
Why Solar Energy?
Solar power offers many benefits to homeowners, not the least of which is the assurance that you are working to help the planet. However, solar can also help you:
- Gain access to state solar tax breaks – Depending on where you live and the system you get on your home, you may be eligible for one of many energy efficiency-related tax breaks. For example, Anne Arundel County in Maryland has a solar tax incentive that offers a one-time credit on county property taxes of $2,500 or up to 50% of the cost of materials and installation, minus the amount of any applicable state/federal grants and state solar energy tax credits.
- Gain access to federal tax breaks for solar energy – The federal government’s Energy Star program offers tax breaks for solar hot water heaters and photovoltaic systems, among other green products. This credit is for 30% of the cost with no upper limit and does not expire until December 31, 2016. More credits may be available depending on your location, home, and circumstances.
- Hedge against energy cost fluctuations – Simply by virtue of their being nonrenewable, most traditional sources of energy are bound to increase in price over time. In addition, they are subject to market fluctuations, leaving you susceptible to often-significant changes in your bill. With solar power, you’re free from that market instability, since your power depends only on the sun rising each day.
- Increase the value of your home – By installing a solar power system or even just a solar hot water heating, you increase the value of your home, particularly for green-minded buyers.
- Strengthen your local economy – While many traditional sources of energy outsource jobs to other countries, solar systems create jobs for installers, designers, and manufacturers here at home.
Cost vs. ROI of Solar Panels
In the past, the upfront cost of having a solar system installed was intimidating for many homeowners; however, there have been many advances that allow for those on even the tightest budget to take advantage of solar technology. For example, the Maryland Energy Administration (MEA) and Maryland Clean Energy Center (MCEC) offer low-interest loans of up to $20,000 for homeowners to improve the energy-efficiency of their property. Alternately, solar leasing allows a homeowner to rent rather than buy a system.
To learn more about the benefits of solar power, or to get a free, personalized quote for your home or commercial building, please contact Renewable Energy Corporation today.
- With solar energy, you can notice a better ROI than many long-term investments, with 200%-plus ROI over 25 years. Compare this to a five-year CD (average yearly return of 2.5%) or even the S&P 500 (average yearly return of 11%). Although some stocks can provide a higher return than a solar system, stock prices are also substantially more volatile year after year.
- Installing a home solar systems dramatically will significantly lower your electric bills. Many homeowners save 50% on their electric bills — some even completely eliminate their electric bill.
- A typical American household uses 920 kWh of electricity per month. A residential solar installation of 840 kWh per month from Renewable Energy Corporation would almost entirely offset your electricity costs.
- Your actual savings will depend on your home’s energy needs, available space for a photovoltaic system, and your PV system orientation. Contact Renewable Energy Corporation for an analysis and estimate.
- Electricity costs have climbed more than 21% during the past five years.
- Rates jumped 10.3% in 2006 alone.
- Fossil fuel supplies are dwindling, which will lead to higher energy costs.
- Solar power locks in your electrical costs and protects you from escalating utility costs.
- The average American household generates 7.4 tons of carbon dioxide (CO2) per year through electrical use.
- This equates to 185 tons of CO2 over 25 years, which is how long SolarWorld solar panels is guaranteed to perform.
- Carbon Dioxide creates global warming which is dramatically affecting our climate causing glacier loss, shoreline erosion, and endangering many animals around the world.
Each hour enough sunlight hits the earth to power the world for year.
- That’s 400 trillion gigawatts per second and enough to power 400 quintillion homes.
- Putting the sun to work reduces the amount of coal and nuclear energy needed to power your home which helps preserve the earth’s supply of non-renewable resources.
- Coal and nuclear energy production consume vast amounts of water. Consequently, solar on your home can conserve over 16,000 gallons of water per year.
By harnessing the sun, we can reduce our reliance on foreign and non-renewable energy sources.
- Studies show that solar systems can increase your home value by 20 times the annual electricity savings.
- In addition, homes with solar systems tend to sell faster than homes without solar- 15% faster by some studies.
- Tax incentives and rebates can reduce the cost of going solar by up to 50% depending on your state and local programs. Financing options are now available in many areas to help overcome the upfront costs of going solar.
- Let’s do the math: In Bakersfield, CA, you can install a 5.75 kW system at a net cost of $20,670 after rebates. Your payback period would be just 5-6 years and a compound annual growth rate of 9%. And depending on the weather conditions during the month, you could save up to 78% off your electric bill.