Friday, November 25, 2022

How Fast Do Solar Panels Pay For Themselves

Energy Production From Your Solar System

How fast will solar pay for itself?

This step is pretty simple, but very important.

Once you know your system size, multiply the number of kW your solar panels can produce under full sun by the number of kWh that 1 kW can produce over the course of a year. In the next step, multiply that number by the amount you pay for every kWh from your utility.

Example 4:

We mentioned above that each kW of solar panels in Bakersfield can produce about 1,700 kWh of electricity per year, on average. So take that number and multiply it by the 6 kW of our system size, and our friend can expect their panels to make about 10,200 kWh per year.

Why Does Solarreviews Claim To Have The Only Truly Accurate Solar Panel Payback Calculator

Our site can claim to have the only truly accurate solar panel payback calculator because we use customized local and home-specific information, whereas other sites simply use generic assumptions for some or all of these things.

Specifically, our calculator:

  • Uses the exact solar production from your local weather station
  • Adjusts solar production estimates to the direction and tilt angle of your roof
  • Applies the exact electric rate structure charged by your utility to calculate accurate savings, instead of just a generic rate for power
  • Checks current local solar offers from solar providers near you to calculate a realistic cost to use in your payback calculation

What Makes Solar Energy Green

Solar energy is regarded as green because it uses a natural resource that cant run out and has almost no negative impact on the environment. The traditional energy sources of fossil fuels like coal, natural gas and crude oil, by comparison, produce massive amounts of carbon emissions and pollutants and contribute hugely to climate change, respiratory problems, and pollution.

Not only does fossil fuel extraction and power generation harm the planet, but these resources are dwindling fast and cannot be renewed. We need green energy, and solar energy is part of that solution.

Also Check: Is There A Government Scheme For Free Solar Panels

What Are Solar Panels For Rv

Solar panels have a number of advantages over generators and hook-up stations in RV parks. PV modules are:

  • silent, make no smell
  • need no fuel
  • pay for themselves over time

Most popular solar panels for RV have a 100W output. However, installing more powerful panels on top of your van, you can use your limited space more efficiently. On average you can fit 6-8 solar panels on top of an RV.

Dont forget that an RV solar system is more than just panels: you also need a charge controller for the safety of house batteries, and possibly an inverter if some of your appliances require AC. You can install AC solar panels and forego the inverter to save space, but then your batteries also have to be able to charge off the alternating current.

What Does An Inverter Do

How long does it take for solar panels to pay for themselves?

An inverter chops up straight line DC voltage into pulses and then adjusts the height of each pulse so that the overall shape is like the sine wave associated with AC power from the utility grid.

The square pulses are then shaped so that the wave form is smoother. The more expensive inverters are called pure sine wave type and they have more smoothing electronics than the less expensive modified wave form inverters.

Don’t Miss: Should I Set Up A Sole Proprietorship Or Llc

How Long Does It Take Solar Panels To Pay For Themselves

by Tim Deters | Feb 16, 2021 | Uncategorized |

The financial benefits of installing solar panels is becoming more and more obvious to many Americans. Solar energy is a way for homeowners, businesses, industries, governments, and even utility companies to invest in huge energy savings that will add up quickly and save them money long into the future.

But the main question most people want an answer to is, How long does it take for solar panels to pay for themselves?

There are many factors that factor into the payback period of your solar panel installation. Some are easy to calculate, others not so much. Thankfully, Green Ridge Solar can help breakdown these factors and give you a clearer picture of your solar panel payback period.

What About Some Numbers

With this in mind, we are now interested in figuring out if investing in solar panels in the north of England is a good idea or not. This means if lower sunlight hours are significant enough to make the investment pointless or if solar panels will actually work well and thus pay for themselves in a few years.

Checking some numbers, we get to the expected results: cities in the south come out with the lowest payback years. While the national average is 9.5 years, it takes only 8.4 years in Plymouth, Exeter and Truro for a domestic solar panel installation to pay for itself. However, cities in the north are not as left behind as one would expect.

So, installing solar panels in the north remains a good deal! If you are interested in green energy, you can switch to solar energy and be proud of being a first mover in this area. Furthermore, as the government is concerned about reaching its green tariffs by 2020, there are many incentive programs that you can benefit from .

Fill in the contact form above to get your solar panel installed as fast as possible. GreenMatch will provide you with up to four free quotes, without any further obligation.

Recommended Reading: Does The Government Pay For Solar Panels

Is Solar Actually Green

Solar power is becoming increasingly common. Part of the key to its popularity is its scalability. While solar farms are becoming prevalent globally, of equal importance are the millions of individual small arrays being installed on houses and commercial property.

While all power generation has a footprint, that of solar power is a very small one. Yes, there are addressable problems with manufacture, but once panels are commissioned, they need very little maintenance. There are also questions about the recycling of photovoltaic panels, but many of those are posed simply because the technology is new. As the industry expands, the interest in recycling old panels will rise.

Everything humankind does has consequences, but there are few negative effects from the increase in solar power. Again, it is worth repeating that coal, oil and natural gas are infinitely more damaging to the environment than solar power.

Myth #: Ghg Emissions In Canada Are Not Bad Enough To Need Solar

Does Solar PV pay for itself. Payback calculation on our 3.9kw array

People often cite this piece of information as if otherpeople being worse than us is a reason to not improve our own operations.

Canadas emissions are growing steadily with no tangibleplan in place to reduce them. Ifemissions are growing, and emissionsare causing climate change, then other people emitting more than us ishardly a defense or moreover, a reason to not implement clean technology.

Canadas emissions are not the worst in the world, far fromit. But as a prosperous, developednation, we have the opportunity and the capability to be a leader inemissions control which will lead to a more prosperous economy.

Key Takeaway:Others emitting more than us is not a sound reason why we should continue to emitGHG at unprecedented and detrimental rates.

You May Like: How Much Does A Big Solar Panel Cost

The Average Cost Of Minnesota Solar Panel Installation

All Energy Solar

According to Solar Reviews, the average cost of a Minnesota solar installation can range from $8,850 for a smaller 4KW system to $19,462 or more for a larger 10KW system.

For reference, a typical bathroom remodel costs $10,776, while a kitchen remodel costs $25,535. But bathroom remodels and kitchen remodels are considered personal expenses and dont qualify for tax credits or incentives.

On the flip side, installing solar panels is considered a domestic energy production investment.

All residential and commercial solar projects installed during 2021 will qualify for a 26 percent federal tax credit against the cost. Essentially, nearly anyone can recoup at least quarter of the cost of their investment within the first year solar panels are installed.

Additionally, many local communities offer solar incentives, such as the Minneapolis Green Cost Share, Saint Louis Park Solar Sundown and the Chaska Solar Rebate Program. Even utilities like the Dakota Electric Association, Rochester Public Utilities, Owatonna Public Utilities and others offer solar performance programs and other credits.

Is Solar Panel Financing Right For Me

Once you’ve signed on the dotted line for solar power financing, you can take advantage of a federal tax credit. Depending on where you live, you may also be eligible for state and local tax incentives.

The federal solar tax credit, sometimes referred to as the investment tax credit , allows you to deduct 26% of the cost of your solar energy system from your federal taxes. This incentive will step down to 22% in 2021 and expire for all residential installations in 2022. But, if you install a $12,000 system this year, your federal tax credit will be $3,120 .

Financing a purchase is a big decision. To work out whether a solar loan is the right decision, take a close look at your monthly budget and the amount you will save against the total costs. Put pencil to paper and figure the real cost of the loan, factoring in the tax credits and lower utility costs.

There aren’t many home improvement projects out there that help protect the environment through clean energy, reduce dependence on fossil fuels, lower the cost of living in your home, and immediately raise the value of your property. Solar power financing is definitely worth considering.

Don’t Miss: How Much Does Solar Heating Cost For A Pool

How Long Does It Take For Solar Panels To Pay Off

Now that you have the formula, you can easily answer this question yourself. In addition, here are some final things to bear in mind:

  • State/employer incentives will also reduce years to payback.
  • If you live in a sunnier state with great weather, youll have more hours of sun, therefore fewer years to payback.
  • As electricity costs increase , your savings will increase, thus fewer years to payback. This formula doesnt account for this.
  • Also, panel performance decreases over time by roughly 0.7%, causing the opposite effect.

Consider those sleepless nights banished!

Image Credit under CC License from Pixabay

How Quickly Do Solar Panels Pay For Themselves

How Long Does It Take Solar Panels to Pay For Themselves ...

Thinking of getting 19 Q.maxx-G2 panels to produce 27.5 kWh per day on my house. I currently use around 4kwh per day. The electricity provider is offering 17c buy back. But will cost 18k to install. Is this a good deal?

Are you familiar with excel or Google sheets?

Ooo thats harsh typing it out.

23.5 kWh peak will provide you a nice return on investment. It will take calculations to tell you how soon to expect the ROI. An educated guess might be 7-10 years.

Assuming your numbers are correct:

$18,000 * 1 kWh/$0.17 = 106,000 kWh

106,000 kWh * 1 day/27.5 kWh = 3,855 days

~10.6 years to break even. Not very good.

4kwh/day usage is nothing! I’m not sure solar is worth it. Your average monthly bill with that consumption is what – US$40 maybe?

This. You sure thats not 4kw per hour? That is a really tiny load.

How much does your normal usage cost, they may buyback at 17c but you will use at least part of your generation yourself so should blend the cost if different. If your usage is 4kwh and your going to generate 27.5kwh will your utility allow you to install a system that much larger than your usage?

Your numbers don’t make any sense. Are sure you didn’t mean 40 kwh/day?

Either way, there is no way to answer your question without knowing many more details. How long do you plan on living in the house? Will you be put on time of use billing plan? What is cost of your electricity? Etc.

Also Check: Why Is Solar So Expensive In The Us

Considering Going Solar Solar Harmonics Is Here To Help

Most of our clients are looking for a company they can trust to help them go solar. Based on our decade in business, online reviews, andDiamond Certification, Solar Harmonics is the best choice to trust to complete your solar project on time, on budget, and with the expected results. It is our mission to design the best value solar panel system that produces reliably over the next 30 40 years, and saves the most money for our clients. If the financial goals of our clients intersects with the global and environmental goals of our founder, it is a win for everyone except the utility companies. Contact us today for your free quote!

How Solar Energy Can Be Stored

Solar energy can be stored in a variety of ways, such as heat or even mechanical flywheels, but by far the most common is to used deep-cycle batteries.

This is the basis of home off-grid solar power systems. Batteries can either be lead-acid or lithium technology, which are inherently deep-cycle.

Lead acid deep-cycle batteries can be discharge to 80% while lithium iron phosphate to 95%

You May Like: How Often Do You Need To Clean Solar Panels

Youre Our First Priorityevery Time

We believe everyone should be able to make financial decisions with confidence. And while our site doesnt feature every company or financial product available on the market, were proud that the guidance we offer, the information we provide and the tools we create are objective, independent, straightforward and free.

So how do we make money? Our partners compensate us. This may influence which products we review and write about , but it in no way affects our recommendations or advice, which are grounded in thousands of hours of research. Our partners cannot pay us to guarantee favorable reviews of their products or services.Here is a list of our partners.

Whats The Best Solar Inverter

How Quickly Can DIY Solar Pay For Itself?

The best solar inverter is a pure-sine wave model. There are many good quality brands, such as Victron, Xantrx, Powerbright and Renogy.

Modified sine-wave inverters generally have less/lower quality electronics for wave-form shaping and can buzz. They also can interfere with household electronic devices and cause some motors to overheat.

Recommended Reading: How Big Of A Solar Power System Do I Need

What If Your Tesla Runs Out Of Power

A Tesla EV running out of power is much rarer than you might think. Warning signals are given as you approach 10% battery capacity and some functions may shut down to conserve power.

If you continue to drive until the battery is empty, the Tesla will go through a safety shut-down procedure and slowly come to a halt.

A Tesla cannot be towed, it has to be taken away on a truck or trailer.

Current Utility Costs For The Household

In order to accurately figure out your payoff timeline, you need to know the costs associated with your current electric bill. Most households in Nevada save approximately $92 a month when they switch to solar. Once again, this is not a clear-cut number that can be used across the board for everyone. But if you take that as an estimated number to get you started, you will save about $1,104 a year.

Don’t Miss: How To Start A Solar Panel Installation Company

The Verdict: Is Solar Worth It

So, to answer the question, are solar panels worth it? In most cases, yes especially if you can connect to the grid and reduce the burden of energy storage costs, or if you need to provide power in a remote location.

DIY grid-tied systems pay for themselves in about 5 years on average, and contractors extend that window to 8 to 10 years. Considering panels are warrantied for 25 years, both options become a profitable investment in the long run.

Off-grid considerations are slightly different. Batteries add a significant up-front cost, and they will also need to be replaced over the life of the system. But it allows you to buy affordable, rural land and produce clean power where you need it.

System costs must be evaluated against other means of delivering energy to the property. Running power lines to your property can cost an estimated $20,000 for a half-mile run. Though battery storage is expensive, it may still be cheaper than the alternatives.

Get Out Of Utility Debt

What are Solar Panels and How Do Solar Panel Work

The payback period is often used as a key metric for home solar, but it doesnt capture the whole story. When considering the cost of solar, compare it to the cost of your electricity now. What is the payback period on your current utility expense? Of course, you never see a return on the money you send off to the utility company, but more than that, Colorado utility rates are likely to rise significantly over the years.

A home solar panel installation protects you from rising energy costs and gives you energy independence. Youll have your own power-producing asset on top of your roof, capturing sun rays and turning them into solar savings!

Want to see how much solar potential your home has? Request a free quote from your local solar company to evaluate the value and impact of solar for your home. Theyll provide you with a payback period so you can see how long solar panels will take to pay for themselves, but theyll also show the lifetime value, home value increase, and environmental benefits youll gain.

Don’t Miss: Can You Add More Solar Panels To An Existing System

Myth #: Solar In Canada Doesnt Work Because There Is Too Much Snow

Its a little surprising that the misconception of solar panels in winteris still mentioned as frequently as it is.

Winter does not hinder the performance of solar panels asmuch as you might think. Yes, if thereis 30cm of snow covering the modules, then they will not produce energy BUT theamount of hours they are covered with snow on an annual basis is minimal.

Most solar irradiance comes in spring/summer/fall monthswhen there is no snow coverage. If mostsun-hours come when there is no snow, then the effects of snow coverage areminimized. To quantify this trend, NAITperfomed an in-depth study of snowcoverage on solar modules in Edmonton, Alberta and Grand Prairie,Alberta. This study determinedthat snow coverage will only reduceannual solar energy output by ~5%.

Please note: snowcoverage losses may be slightly greater than the cited value due to the averageresidential property being more shielded from wind . However, even at 10% lossof energy, solar panels can still generate 100% of your demand quite easily.

Solar energy in Alberta, Saskatchewan, NWT and many other jurisdictions is net-metered which means you can develop a rolling credit in thesummer time, and use up the credit during the winter when the sun is notshining as much.

Key Takeaway:Production on December 21st does not matter as much as how muchenergy you produce from January 1 to December 31. Yes there will be some days when the moduleswont turn on, but our sunny summers make up the difference.

Popular Articles
Related news