As of 2019, more than two million homes in the U.S. had solar panel installations, a figure that’s steadily rising. In fact, by 2024, it’s expected that 2.5% of homes in the country will utilize solar energy. A huge step in the right direction, especially considering the devastating effects of unclean energy and global warming over the past few years.
If you’ve been mulling over switching to solar energy, then the new year presents the perfect opportunity to do so. Not only is solar energy much more affordable than conventional energy sources, but it’s also easy to install and maintain provided you find the right solar company. What’s more, you’ll be doing the environment a huge favor, and the government rewards you for that.
While most people know that solar energy will reduce electricity bills, not a lot know about the initial installation costs? Before you jump into the solar train, it might be a good idea to first learn about solar energy installation and maintenance costs.
Keep reading to learn all you need to know about how much you should expect to pay for solar energy.
Average Solar Energy Costs
Solar panels have been all the rage, with many homeowners across the country endowing them on their rooftops. While it may be difficult to estimate an average for the cost of solar energy, what’s certain is that solar energy costs have been plummeting in recent years. In fact, solar costs are the lowest they have been for the past 30 years or so.
With that in mind, expect to pay between $2.85 to $3.70 per watt for the solar panels (depends on financing options).
arge solar systems with about 8 KW capacity cost about $24,000 -$32,000,(depending on financing options) but the average systems will do just fine for a regular home. Please note that solar costs vary widely depending on your state of residence.
Furthermore, many other factors also come into play to determine the actual solar cost. Here a couple of factors that affect solar costs.
Factors Affecting the Cost of Solar Energy
Various factors affect the overall cost of solar energy. Here are some of them:
1. Choice of Solar Panel
The model and type of solar panel you settle for will significantly impact how much you’ll pay for solar power. There are many types of solar panels, each with different technologies and price points. The three main types of solar panels are:
- Monocrystalline solar cell panels
- Polycrystalline solar cell panels
- Thin-film solar panels
The most common panels for residential homes are the monocrystalline and polycrystalline panels. Monocrystalline panels are more efficient but also fetch a higher price. However, polycrystalline panels are better for hotter regions because monocrystalline panels lose their efficiency with increased heat exposure.
Of course, prices will also vary depending on the manufacturer of the solar panels in question. It falls on you to find efficient and durable solar panels at a reasonable price.
2. Household Power Demand
The house power demand is the amount of electricity the house uses up each month. This figure is based on the number of electrical appliances, devices, lighting, and fixtures in your house. It also depends on how long you keep them on.
You can get an idea of your house’s electricity demand by looking at your previous electricity bills. All you have to do is find the average monthly electricity usage in kilowatts per day or kilowatts per hour. This tells how much electricity your house demands from the solar system.
However, note that the solar system doesn’t have to offset the entire power demand. You can use a solar system to supplement the power supply from the grid.
3. Labor Costs
Not many people are well versed with the ins and outs of installing a solar system. There’s a high likelihood you may be among the pack. If you fall into this category, then you’ll need to call in a professional solar company to do your bidding.
Labor costs for solar installation vary with the state, area geography, and the company you settle for. Also, the larger the solar system, the more you’ll have to pay for solar energy. When looking for a solar company, make sure you explore several options and choose the one with the most reasonable quote.
4. Government Incentives
As mentioned earlier, the government has put incentives in place, to encourage more Americans to shift to solar energy, which is better for the environment. Some of these incentives include tax rebates and discounts to lower the cost of installation. For instance, the Residential Renewable Energy Tax Credit allows you to claim up to 26% of costs for installing a solar system.
These incentives can reduce the cost of installing a solar system and save you a bundle in the long run. That way, you can save some money and save the environment while you’re at it.
Is a Solar System Worth It?
Many ask whether installing a solar system is worth their time and money. To help you decide whether it is, here are a few benefits of solar energy:
- It’s a renewable energy source that you can get regardless of your location
- It has diverse applications apart from lighting your home and powering your electrical devices
- It is much cheaper than conventional power sources.
- It is a low-maintenance power source that won’t run your pockets dry
- Solar technology is continually improving to be more efficient and more affordable
From the above, it’s safe to say that a residential solar system is worth having. Start planning on how you can get yourself on the solar energy for your home wave.
Invest in Solar Energy for a Brighter Tomorrow
Now that you have a firm idea of solar energy costs, it’s high time to start saving for solar PV installation. Just make sure you find the right company for the installation to get your money’s worth. Lastly, don’t forget to inquire about any incentives from the state and the federal government too.
Your solar system is only as good as the solar company you settle for. For professional and expedient solar installation, request a quote today, and we’ll sort you out.