How Much Will I Save
That answer depends on several factors and is tough to generalize. Savings depend on whether the homeowner leases or owns, Cunningham said. He also recommends getting a personal consultation to find out if it’s worth it for you.
Homeowner, Mark Meluskey, just installed solar panels on his single-story Scottsdale home. He leases the panels and estimates a savings of $70 to $170 a month, depending on the time of year. He can also afford to run his air conditioning all summer now and plans to possibly buy the panels from Sunny Energy in the future.
How Much Can I Reduce My Arizona Public Service Bill By Switching To A Different Rate Plan
For some people, the savings from switching rate plans may only be a few dollars per month, but for many it canbe $20-$100 per month. That’s between $240 and $1,200 that you may now be paying to Arizona Public Service eachyear for no reason.
Finding out what’s available to you is as simple as a phone call or email to Arizona Public Service . Even a smallsavings can be worth it.
How Much Do Solar Panels Save In Arizona
Solar panels save you 100s to 1,000s of dollars per month on electricity and even more over the lifetime of your system.
According to EnergySage, the average homeowner in Arizona can save about $20,646 over the next 20 years by installing solar panels. Compare that to California where homeowners are saving upwards of $40,000 with solar.
You will start saving money the day you install your solar system. But, your actually saving will depend on the number of daily sunlight hours your panels receive, the size of your panels, and the angle they are mounted at. Energy Sage says that local electricity rates also play a role in figuring out how much your solar panels will save.
Learn more about how much solar panels save.
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Its Time For Arizona To Go Big On Solar Power
More of us are going solar, meeting our energy needs in a way thats clean, local and independent. Consider:
- Solar power has tripled in the U.S. in the last two years, with another American family or business going solar every four minutes.
- Thats in part because the price of solar has dropped more than 50 percent since 2011.
- The chairman of the Federal Energy Regulatory Commission said that solar is growing so fast it is going to overtake everything…It could double every two years.
Buying A House With Leased Solar Panels
May 7, 2020 by Lindsay Hiron-Barrie
Buying a house with leased solar panels certainly adds a layer of complication to the traditional home purchase, but dont let it scare you!
If this is your first time here, welcome! My name is Lindsay and Im a proud Anthem resident and your local REALTOR® with the Wise Move AZ Team at Realty ONE Group. On our YouTube Channel and blog we have a lot of fun talking about all things Anthem and real estate, and we would love to have you along for the ride.
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Keep An Eye On Trade Policy
Changes in government trade policy also impact prices. In January 2018, President Trump imposed a four-year tariff on imported solar cells and panels that started at 30% and was set to drop 5% each year until February 2022. In 2020, the tariff rate for the fourth year was raised from 15% to 18%. The tariff resulted in a 16 cent per watt increase for the average consumer in 2018, which translated to an overall increase of $960 for a six-kW system, according to EnergySage.
The cost of foreign-manufactured panels may still drop, lessening the tariffs effect over time.
How Will You Pay For Your Solar System
Whether you choose to buy or lease your solar panels will have a major impact on your savings. If you have enough to make a cash purchase, youll save more than with any other option but even with a zero-down solar loan, your savings could still be in the tens of thousands. While solar leases and power purchase agreements require no money down and promise a maintenance-free option, they come with a trade-off: your total savings will typically be just 10 to 30 percent of your utility electricity bill.
How does this play out in the real world? Check out the EnergySage Solar Calculator to see how your long-term savings will differ depending on whether you choose a cash purchase, a solar loan, or a solar lease or community solar, if thats something youre considering!
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Should I Go Solar Or Not
Why should I go solar? Everyones got an opinion. And in the age of information, everyones got an opinion online. Which is handy for wasting years of your life. But not so for finding anything resembling the truth.
Thats where we come in.
See, we know a thing or two about solar. And its our mission to wade through the flotsam of speculation to find the solar facts, so you dont have to.
So, sit back, relax and pop a cold one while we answer the topic of the day:
Should I go solar?
Are Solar Panels Worth It If Youre Not In The Sunny Southwest
Solar loves the sun, but you dont have to live in the sunny Southwest to achieve solar savings! In fact, solar systems can sometimes cost more in these areas because you need a larger system to cover your electricity needs due to air conditioning. Some of the states with the most installed solar in the country are in the Northeast even though theyre more famous for their cold snowy winters than their sunny summer days! These areas often have higher electricity costs and better local incentives than other states, leading to greater savings down the line.
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Arizona Will Pay For 25% Of The Cost
The Arizona government offers solar tax incentives to those who install solar panel systems into their home. This incentive, known as a solar energy credit, and can be worth up to 25% of the cost of the solar panel device up to $1,000.
This government credit is also good for various solar panel systems, such as cooling, lighting, and general electricity.
For those looking to cut costs, this is a perfect way to save money both from the government and through more efficient electricity usage.
Use our solar panel cost calculator to find out your solar system size, how many solar panels you need, total system cost and estimated monthly payment.
Evaluate Your Sunlight Exposure
More sun means more energy produced and a greater potential to save with solar. Certain states, like Arizona and California, average more sunlight hours per day.
Your home’s orientation toward the sun, the amount of shade and its roof type also affect a solar system’s output. You can estimate the efficiency of panels in your area by using the SolarReviews calculator. Enter your address and the average cost of your monthly energy bill.
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Yes Solar Are Panels Worth It In Arizona
Yes! Solar panels are worth it in Arizona! With long-term savings and fewer carbon emissions, solar panels will be one of the heavy hitters when it comes to energy sources in the future. Due to the high amount of sunshine Arizona experiences, its also a prime location for them.
But, some people may still be on the fence despite the benefits. Not sure if theyre right for you? You can learn more about solar panels on our blog.
Keep The Solar Surge Going Strong
Solar power might disrupt the business plans of dirty energy companies, but it makes a ton of sense for America.
Thats why people from all walks of life are getting behind solar, from environmentalists to Tea Party activists, from solar entrepreneurs to Barry Goldwater, Jr., son of the former Republican nominee for president.
Our challenge is to not only fend off the attacks being led by the dirty energy lobby, but to keep the surge in solar power going strong.
How do we do it?
Our research shows the cities and states with the most solar power arent necessarily the ones with the most sunshine they also include states with smart pro-solar policies. For example:
- Arizona, Hawaii and California made the list of the top 10 states for solar in our 2014 report. But so did Massachusetts, New Jersey, Colorado and Delaware, all thanks to smart policies.
- The top 10 solar states, with only 26% of the nations population, were responsible for 87% of the nations solar power.
- Our report found all or nearly all of the states shared a set of smart policies in common, from strong clean energy standards to policies that let solar homeowners sell their extra power back to the utilities.
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Some Positive Signs For Solar In Arizonathe Future Of Az Solar Is Bright
Arizona has the nations 6th largest solar carve-out. This means that a certain amount of energy in the state must be generated by renewables like solar.
Thats not all
Net metering requires each utility to monitor how much energy is produced, and to credit you for any excess over what you use. Arizona has excellent net metering laws. It indefinitely credits each surplus to the next utility bill, or allows some customers to receive the surplus as an annual payment.
In Arizona, solar purchases are exempt from both state sales tax and property taxes, effectively lowering the upfront costs of installing and keeping solar on your property.
Is The Home Efficient
It makes little sense to add solar panels to a home that has leaky air ducts, poor insulation, 70-year-old windows or other inefficient features. Often those repairs and upgrades are less expensive and more cost-effective than adding solar.
Also, a home that is energy-efficient will require fewer solar panels to offset a significant portion of its energy needs.
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Going Solar Questions You Should Ask First
Over the past few months, 3 On Your Side has done a couple of stories on homeowners who wish they never went solar. So if you don’t want to wind up in that crowd here are some things to think about.
For many homeowners, going solar seems like the right thing to do. Just ask Dan Whitten. He’s with the Solar Energy Industries Association.
“We know that 90 percent of Americans really support solar energy.”
Whitten says Arizona is certainly one of the top states when it comes solar usage. In fact, he says around 114,000 homeowners have taken the plunge. But, even he agrees, Dennis Huff and others are not happy with their solar.
“I’ve been taken advantage of.”
Over the past few months, 3 On Your Side has received numerous complaints from Valley viewers who say their monthly solar bills were not nearly as low as they expected.
As a result, homeowners like Esther Chavez blamed the solar companies.
“You lied to us. What you did was wrong. You took advantaged of a disabled Vet.”
And the solar companies frequently blamed the utility companies. Rachel Woolley was another Valley homeowner not happy going solar.
“We used 20 percent less energy last year and we managed to pay almost $1000 more than we would have if we’d never gone solar in the first place.”
Fortunately for those viewers, 3 On Your Side was able to convince their solar companies to remove their panels and release the homeowners from their solar contracts.
So exactly what questions should you ask before going solar?
Will The Home Be Sold Soon
Calculating the value that solar adds to a home has generated controversy.
Leased panels dont add value to a home resale, because they are not part of the home. Anyone buying that home will have to qualify to take over the lease, or the family selling the home could have to pay a penalty to end the lease prematurely.
Panels that are owned add some value to the resale. But Its not a straight calculation.
If a homeowner paid $18,000 for solar, those panels don’t necessarily add $18,000 to the resale. The panels add value in proportion to the amount of money they are expected to save on utilities through the remainder of their warranty.
For example, if there are 15 years left on the warranty and the panels save $80 a month in electricity, the system could add $14,000 to a home appraisal.
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Federal Solar Tax Credits
These tax incentives are nice, but keep in mind that there is also a federal solar tax credit, available to all Americans, that currently reduces the cost of your solar system by 26%. This can be compounded with the savings mentioned above to make it that much more affordable to go solar.
Keep in mind, however, that in 2023, this credit will be reduced to 22%, and there is currently no credit available in 2024 or beyond.
Climate Change Is An Infrastructure Problem
The combination between solar panel installation costs, electricity rates, and market incentives offer a valuable alternative that allows you to save money on your utility bills and contribute in the fight against climate change. However, one of these elements appears to be at risk, according to latest events in some jurisdictions that seem to jeopardize the whole solar PV industry in the US.
Net metering is a billing mechanism that offers the chance for those with photovoltaic systems installed on their homes to receive a credit for every kWh that is injected back to the grid, thanks to the installation of a bidirectional energy meter that runs backwards when excess solar power is generated. Despite the fact that the mechanism is not established at Federal level, over 38 States have mandatory net metering rules.
New concerns in the residential and commercial sector have risen due to the promotion of bill HF669 in the state of Iowa. This bill is believed to remove the net metering mechanism and leave solar customers without the chance for receiving a compensation for the excess energy that they inject into the grid.
Bill HF669 for the State of Iowa
What is solar without net-metering?
What can I do with excess solar power if not injected back to the grid?
In the unlikely case that no other mechanism replaces net metering, how could you obtain the best from your solar power system?
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Arizonas Renewable Portfolio Standard Guidelines: Government Incentives To Help You Save Even More
A states Renewable Portfolio Standard is a plan based on legislation or regulations. It outlines goals and targets for the production of renewable energy in that state. The RPS is the tool that encourages power companies to supply renewable energy, rather than using fossil fuels.
Though there are some states with stronger RPS guidelines, Arizona is pretty strong. It has a mandate that by 2025, almost 15% of electricity must be generated by renewables. This means that you can most likely use your state to help you save even more on solar panels. This includes tax incentives, rebates, and even selling your extra energy back to the gridsometimes for a profit!
The Earlier You Act The More You Save
If you want to add some flare to the new year, installing solar panels is a great way to start. The earlier we can get your system operational, the more money you stand to save, especially before the mild Arizona winter ends and the summer sun arrives. SouthFace Solar & Electric has been helping homeowners benefit from solar energy in many ways, and we can help you to understand solar ownership, reduce your upfront solar installation costs, and shorten the payback period by helping you fully understand solar incentives like:
- The federal solar tax credit
- The Arizona state tax credit
- Energy Equipment Property Tax Exemption
- MACRS depreciation
and more! All you need to do to get started is schedule a free solar quote with our solar solutions and design experts.
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Arizona Solar Policy Information
With an F for interconnection policies, no SREC market, and no fixed Net Metering policy, there is room for improvement for Arizona Solar.
Renewable Portfolio Standard
Despite the fact that solar rebate incentives have fizzled out in Arizona, they do have a strong RPS Renewable Portfolio Standard. This means that the state has a goal to achieve a certain level of alternative energy generation by a specified time, in this states case, 15% by 2025. Of this amount, 30% must be distributed energy, such as wind or solar. There is no specified solar carve-out included in this goal as there are is in many other states.
Even though the state doesnt offer SRECs , consumers can still take advantage of the federal tax incentive, plus other various financial benefits of installing a photovoltaic system.
Why There Is No SREC Market in Arizona
SRECs Solar Renewable Energy Credits have played a huge part in the popularity of residential solar energy. These credits allow homeowners to sell their power production certification to utility companies for a pretty hefty profit a few hundred dollars in some cases. The purpose of such sales is to help utilities to meet state government requirements for alternative energy production.
Net metering as we know it is now finished in Arizona.