Calculating Solar Power Costs And Savings
If youre unsure if a solar panel system is right for your home, use this solar calculator to estimate your potential costs and savings. Our calculator weighs several factors including your homes location, size, roof structure, and current energy usage. Youll get a better picture of your estimated cost, long-term savings and payback period.
Not surprisingly, many of the above states top the SEIAs list of top cumulative solar electric capacity, including Arizona, Texas, California, Nevada and Florida. But some states that have the most solar panel systems including North Carolina, New Jersey, Massachusetts and New York are not necessarily the sunniest. Residential solar systems in states that are sunnier will typically perform better.
The most significant cost impact in terms of location is not geography its legislation. While sunnier states tend to have more solar power output, states that have solar incentives such as a solar investment tax credit and other solar-friendly programs tend to have high output levels as well, regardless of sun exposure.
How To Choose The Best Solar Panels
There are many factors to evaluate when you are looking for the best solar panels for your home. We have analysed the top 10 solar panels according to the following ten criteria:
Other Equipment Youll Need To Buy For Your Solar Panel System
If youre doing your own installation, youll need to consider purchasing the following when you buy your solar panels:
- Inverter: This converts direct current solar energy into the alternating current electricity needed to power your home. Most options will be string inverters or microinverters.
- Battery: A solar battery allows you to store excess energy for future use rather than feeding it back into the electrical grid. Having a battery maximizes your solar energy use.
- Mounting system: This stabilizes your solar panels and ensures they stay in their proper rooftop position.
- Wiring: Wiring is used to connect your solar system to your electrical panel.
- Solar charge controller: A charge controller regulates voltage and prevents batteries from overcharging.
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Will Free Solar Panels Save You Money
You may have various reasons for going solar. If youre like most people, saving money, eliminating your utility bills and/or reducing your carbon footprint are probably at the top of the list. The environmental benefits of going solar are more or less the same regardless of who installs your system, so its key to focus on the financial benefits.
Regardless of its do-good image, the solar industry is an industry like any other: the companies offering products are looking to turn a profit. Providers of solar leases make their money by selling you electricity, usually at a lower rate than what you pay your utility.
Although companies like SolarCity once dominated the market for solar leases, countless new players have since entered the space and begun competing with each other, while SolarCity is no longer around. Some solar leases will save you more money than others. You as a solar shopper can now take your pick of company based on their offer. So even if financial gain is secondary to environmental considerations for you, you should still shop around to make sure youre getting the best deal.
Solar Panel Financing Options
Solar panel installation requires a significant financial commitment, so any companies offer different payment options to suit different budgets. Heres an overview of the typical financial options offered by solar providers:
- Full payment: You pay for the solar system outright without a loan or payment plan. This option will save you the most money because you wont pay interest rates. Full payment also grants you ownership of your system, qualifying you for incentives.
- Solar loan: A loan allows you to make small payments over a longer payback period. However, youll pay more in the long run due to interest rates. Solar loans also qualify you for solar incentives.
- Solar lease: This option allows you to make fixed monthly payments with little to no up-front cost. Your solar company retains ownership of your system and is responsible for its upkeep. These agreements usually last around 20 years. Leasing customers dont qualify for solar incentives.
- Power purchasing agreement : A PPA allows you to pay for only the energy you use. Similar to an electric bill, the rate fluctuates each month. Your solar company retains ownership of the system and is responsible for its upkeep. You will not qualify for incentives.
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Care And Lifespan Of Solar Panels
Many solar panels are guaranteed to last anywhere from 20 to 30 years, with 25 years being a common estimate. On top of that, they’re fairly maintenance free, just requiring that you keep them free of obstructions like dirt, leaves and snow. Warranties also tend to help with professional repairs.
Solar panels have what is known as a “useful life” period. What that means is that the panels produce less energy gradually as they age. You might notice a significant drop-off in how much energy you are getting from the panels roughly 25 years after the installation. For instance, many warranties guarantee 90% of panel production for the first ten years, and 80% for the remainder of the 25-30 years. But that doesn’t mean they’re immediately useless, and they can still produce energy for a long time.
With the lifespan of residential solar panels in mind, it’s common to wonder when you’ll start making money. Many factors influence when and how you start making money from a solar array, including how many solar panels you have, how much energy you use and whether you opt to rent or buy solar panels for your house.
Read more about when your solar panels will start making you money.
How Do You Find The Right Solar Installer
The best way to find the right solar installer for your specific needs is by getting multiple solar quotes. Not only does this let you get a feel for each of the installation companies, but it also helps you find the best possible price.
Sure, you could go with a large company like Tesla and save a few dollars, but you get what you pay for. Those large installers wont give you the kind of personalized customer service you need over the 25-year lifespan of your solar panels.
At SolarReviews, we recommend going with a reliable local solar installer. You should look for a company that employs its own installation crew and has been in business for five or more years. You can look through our database of trusted solar installers in your area, and read through hundreds of customer reviews to find the perfect installer for you.
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How Solar Panels Work
First, how do solar panels work? Solar panels are made of photovoltaic cells. The sun emits solar radiation, which is absorbed by the PV cells when the sun shines directly on them. The energy from the sun creates electric charges, which move according to the electrical field in the cell, directing the flow of electrical energy. Parts of the solar panel also convert energy from direct current to alternating current so it can be used in homes. Certain solar panel array components also store the energy for later use even when the sun is not up. You can learn more about how solar panels work in our guide.
Install The Panels And Components
While installation time depends on the size and complexity of your solar system, the typical time frame is one to three days. Installers will ensure all roofing tiles or shingles are attached, then connect wiring that will feed into your power system. Racks must be installed to support panels properly then, your panels will be placed onto your roof. Support equipment such as inverters components that convert the electrical energy from the panels to usable alternating current power and batteries, which store excess energy to power your home at night or during outages, will be installed after panel placement.
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Solar Panels Add An Extra Expense If You Need A Roof Repair
If you have a roof leak or need a roof replacement, your solar panels will need to be removed, stored, and replaced. The cost of this will vary, but for an average sized system it will be in the ballpark of a couple thousand dollars.
Hopefully the homeowner installed the panels on a good roof and you wont need to worry about this.
Solar Panel Buying Guide: Everything You Need To Know
Start here if you’re considering solar panels for your home.
The question of whether to get home solar panels is no small decision. There’s the issue of whether the energy savings will offset the costs. You may wonder whether you need a new roof first or how long solar panels last. There are many factors to consider before buying home solar panels. Below we’ll go into the basics of solar panels and answer all of your pressing questions so that you can make the right choice for your home, budget and energy goals.
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Take Into Account The Production Ratio
In perfect conditions, a solar panel will have a 100% energy output. Unfortunately, such conditions are hard to replicate and inconsistent.The production ratio is the estimated energy output of your solar panels, which factors in environmental conditions like weather and geographical location.
You can calculate your production ratio by taking the estimated power a solar panel system will produce annually and dividing it by the wattage of the solar panel system. For example, a sunny area like California has a high production ratio of 1.4 to 1.8. A higher ratio means that your solar panel system will output more energy.
Cost Of Solar Panels Based On System Size
The average domestic solar panel system costs £5,000 to £10,000. The total cost of solar panels depends on how many panels you need for your home, which in turn is dependent on your energy consumption.
Generally, the more expensive the system, the more electricity it can generate and therefore, the more savings it can bring. The table below shows the annual savings on your electricity bills per system size, how much you can earn through Smart Export Guarantee payments, and ultimately, how long it can take to break even.
Average Solar Panel Costs and Savings in the UK| Household Size | |
|---|---|
| £150 | 19-23 years |
A small house with 1-3 residents can sufficiently cover their electricity costs with a 3kW solar panel system, which costs £5,000-£6,000. With that system, you can save £160 per year on your electricity bill thanks to the free energy produced by your panels. Whats more, with SEG payments you can even earn £75 per year.
A household with a family of 3-4 people would commonly have a 4kW system installed, which has a price range of approximately £6,000-£8,000. In this scenario, you can save approximately £270 on your electricity bill annually, and can even earn £100 per year on top of that.
For larger homes that house 4+ people, a 6kW solar panel system would be required. This can be anything from £8,000 and upwards. With a 6kW system, you can save a whopping £430 on your electricity bills every year, and earn £151 from SEG payments additionally.
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Compare Sunrun Solar Plans And Services
| Customer’s fave | |
|---|---|
| ~25 years of energy cost | Full system cost |
| ~25 years of energy cost |
| Monthly payment: |
Is it better to lease or buy solar panels?
Leasing and buying solar panels come with their own unique advantages.
Sunrun gives you the option to buy your solar panels. When you own your home solar system, you’ll get all the solar benefits. This means solar incentives like state solar rebates, Solar Renewable Energy Credits , and the federal solar tax credit will go directly to you. You could also recoup the cost of your investment thanks to the potential value the system adds to your home however, youll be responsible for any repairs and maintenance your solar system needs outside the scope of your home solar systems manufacturer warranty.
Going solar can be costly. Thats why Sunrun also offers stress-free solar leasing, so you can go solar for as little as $0 down. Youll only be responsible for paying a low monthly bill or pay the lease up-front. Because Sunrun owns the system, well also provide 24/7 monitoring and maintenance during the length of your agreement, free of charge. That means clean, worry-free energy thats guaranteed to save you money, and if it breaks, well fix it!
See how much you could save with Sunrun and get connected with our Solar Advisors to see what plan is right for you.
How does Sunrun’s system purchase plan work?
Is my home good for solar?
How many solar panels will my home need?
How long do solar panels really last?
Do You Need Planning Permissions For Solar Panels
In England, Scotland, and Wales, you are not required to apply for any planning permissions for most domestic solar panel installations for both PV and heating installations.
There are, however, restrictions on installations of certain sizes. If your solar panels protrude more than 200mm from your roof, you will need to apply for permission first.
In addition, if your building is within a conservation area, you will need to adhere to some planning permission guidelines.
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What Are The Most Reputable Solar Panel Manufacturers
Since the upswing of the use of renewable energy, there has been an increase in solar panel manufacturers on the global market. At GreenMatch, we work with both industry veterans that have been producing photovoltaic modules since the 1960s and new players on the market that are making strides in solar energy technology.
Here is a breakdown of the top 12 solar panel manufacturers currently on the market:
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Poly And Monocrystalline Composition
Solar panels are composed of cells made of monocrystalline or polycrystalline silicon. Today, most solar panels are monocrystalline.
Mono solar panels can be identified by a dark, even coloring, while poly solar panels are textured and resemble a granite countertop.
Mono solar panels are popular due to higher efficiency however, poly panels have lower per-watt prices. Mono solar panels also perform better in low-light conditions compared to poly solar panels.
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Goals Of The Solar Energy Technologies Office
The goal of the U.S. Department of Energy Solar Energy Technologies Office is to accelerate the development and deployment of solar technology to support an equitable transition to a decarbonized electricity system by 2035 and decarbonized energy sector by 2050. Achieving this goal will support the nationwide effort to meet the threat of climate change and ensure that all Americans benefit from the transition to a clean energy economy. In September 2021, DOE released the Solar Futures Study, a report that explores the role of solar energy in achieving these goals.
SETO supports solar energy research, development, demonstration and technical assistance in seven areasphotovoltaics , concentrating solar-thermal power , systems integration, manufacturing and competitiveness, soft costs, solar workforce development, and equitable access to solar energyto improve the affordability, reliability, and domestic benefit of solar technologies on the electric grid. Learn more about SETOs research areas.
In May 2021, SETO released its Multi-Year Program Plan, which describes the offices activities and specific goals for 2025. .
Decide Whether Solar Is The Right Choice For Your Home
If you live in an area with high energy rates and a suitable solar rating, and if you can afford the initial investment, its worth installing solar panels on your home while the 30% tax break is in place for the good of the environment and your wallet. But don’t expect to eliminate your power bill overnight.
If you decide to purchase solar panels, shop around and search for incentives. Consider financing with a solar loan if youd rather spread out the cost over time. Keep in mind that you dont have to buy solar panels you can lease them, too. Leasing offers a lower upfront cost, though since you dont own the panels, they wont raise the value of your home, and you may not be eligible for incentives.
Going solar isnt the only potential way to save money. Learn more about what you can do to lower your bills.
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