Do You Receive Money For Electric Company For Solar
Let me inquire you a question:
Can you lot beget to go solar today?
…y'all might say no.
Many homeowners notwithstanding believe that solar power is out of their reach. They think it'south as well expensive and that only people with savings can afford to install solar on their abode.
Those homeowners are misinformed!
In fact, when you lot add all the incentives and savings from lowering your electricity nib, you lot'll see that the average homeowner actually comes out on top!
You actually make money when you install solar.
I know, that sounds crazy. I didn't believe it when I starting time heard that. But the math works out.
You lot'll meet at the terminate of the mail service.
If you are a homeowner and the last few sentences made y'all curious, take a few minutes to read through this article. You'll be glad you lot did.
I'm going to explain the 5 top reasons why solar is a groovy investment for the average homeowner. By the terminate, you lot'll know more than than 99% of homeowners about this incredible opportunity.
Then we'll tally upward all the savings an boilerplate homeowner can await with an boilerplate system…
And yous'll meet exactly how it pays to become solar right now.
Let's begin.
one. Short Term Savings
Right off the bat, you can start saving coin when you have solar on your roof. Most homeowners choose a $0 Down Loan, so they pay no money up front. Even with the loan payment, homeowners pay less each month overall!
Here is how solar saves y'all a lot of money in the brusk term:
Tiered billing means the more energy you apply, the more they charge you per kilowatt hour (kWh.) It's how they measure energy usage.
The average home uses almost 900kWh/mo.
If you cross the threshold, your energy bill tin can jump from $0.16/kWh to $0.33kWh. That's more than than double!
Bottom Line:
Installing solar tin can result in a lower monthly bill by replacing higher rate PG&E Tiers with lower fixed electricity rates from your solar system.
2. Long Term Savings:
PG&E raises the cost of energy about 6.0% each twelvemonth.
In twenty years, you will be paying A LOT more for the same amount of free energy.
Every bit you can see in the graph, electricity rates are expected to rise over fourth dimension..
When you own solar…
Not only practice you lock in low energy rates for decades, you as well own an asset that produces valuable electricity.
Your solar system will pay itself off in typically 5-7 years.
After that, you are producing gratuitous electricity.
Bottom Line:
Solar produces free energy at a fixed cost, while PG&E increases their prices every year. Subsequently the organization is paid off, it generates electricity for free. That costless electricity adds up over time. It can result in over $fifty,000 of savings over xx years.
3. Net Energy Metering (NEM)
NEM is an agreement with your energy provider (PG&Due east). It'south California's way of assisting solar adoption.
It means that PG&E has to respect that your role equally an energy producer. They volition "pay" you for any actress energy yous produce and contribute to the grid.
You lot accrue credits when your solar system produces more than energy than yous eat, typical during the day. You redeem those credits in the evening when your solar system is no longer producing.
What makes this peculiarly appealing is:
Solar homeowners are billed by PG&E on a "time of use" schedule (shown in the above graph).
The afternoon is when your solar system produces the nigh free energy. It is besides when electricity is the most in demand, which means PG&E "pays" you more than for whatsoever energy y'all export during that time period.
You "sell" electricity at a higher price, then later on in the evening you "purchase" electricity at a lower price, resulting in even more than savings.
Pretty cool!
It won't final long though, PG&East and other free energy providers are lobbying to modify the NEM terms: they want to pay homeowners less for the energy they produce.
The energy producers want to plow homes with solar into a cheap electricity producer and turn a profit off of it.
Safe to say, NEM in its current state won't last long.
However, if you go solar now y'all are grandfathered into the current NEM terms for the next 20 years. You tin lock this understanding in by purchasing solar before June i, 2016.
Bottom Line:
NEM allows your to save even more than with the electricity you produce. Just another reason to look into solar immediately; this enticing opportunity won't concluding long.
4. Federal Tax Credit
Because of how important it is to transition to make clean, renewable energy as a nation, the federal government created the Residential Renewable Energy Taxation Credit (FTC).
Information technology'southward uncomplicated:
Y'all receive xxx% of your solar project cost as credit towards your taxation liability.
That amounts to thousands of dollars depending on how big your system is.
Very incentivizing.
Like the NEM, the FTC is fix to expire in the next year on December 30, 2016.
It might go renewed, but it likely won't exist as good as it is now.
Yet another reason to consider going solar in the very near time to come.
(I desire to bespeak out that you lot only get the Revenue enhancement Credit when you purchase the system. When yous get solar with a Ability Purchase Agreement (PPA), what National Solar Companies offers, they keep the tax credit savings.)
Bottom Line:
The Tax Credit reimburses yous 30% of your projection cost. This incentive won't last long. It's besides only bachelor to those that purchase solar. Even so some other reason to own rather than rent solar.
5. Domicile Equity Increase
This is the cerise on top of all the other good reasons to purchase solar PV equipment.
A study conducted past the Lawrence Science Lab found that:
"Solar PV systems on a abode consistently increased the value during home sales at an average of $four.00/watt."
That's hugely meaning. Allow me break it down for you.
Our boilerplate projects range from $4.l/watt – $5.00/watt. (remember this is Before the Tax Credit is applied)
Your home will increase in value by $4.00/watt.
I'll exercise the math for you.
Between eighty% and 88% of your projection cost is recouped with the equity increment.
That'southward pretty crawly.
(Plus your firm will sell faster.)
Lesser Line:
Purchasing solar can increment the value of your domicile significantly. You lot tin can compensate 80%-90% of your project toll through equity increase and that's before you lot fifty-fifty apply the tax credit.
Why Ownership is Key
Many of these great benefits are merely bachelor when you lot own your solar organisation. Not with a Power Purchase Agreement (a PPA), similar National Solar Companies sells.
When you choose a PPA, the solar companies will keep the taxation credit for themselves…
…you lot'll all the same exist saving money but no where near as much.
The most important attribute of PPA'south to understand?
Having a PPA or a "leased" organization can go far more difficult to sell your abode!
Any purchaser has to a. Qualify with a loftier FICO b. Be willing to assume a 20-yr monthly payment agreement with an escalating cost.
While on the other hand, if you lot own the solar system outright it can make your home more than appealing and increment the toll.
Does information technology Actually Pay to Go Solar?
Allow's do the numbers!
We are going to assume that you own the habitation and purchase solar (that's what we recommend).
Think that solar increases home value at about $4.00/watt.
Nosotros sell most systems at $4.50-$5.00 per watt. Let'due south average at $4.75/watt. That's before we add together in the revenue enhancement credit.
Let's add the tax credit in.
$four.75/watt * 70% =$iii.33/watt
$3.33/watt. That'south how much you pay when you gene in the xxx% revenue enhancement credit…
You pay $3.33/watt and your dwelling increases in value by almost $4.00/watt…
Let's apply that to an average 4kW system.
Cyberspace Cost: $thirteen,320 with revenue enhancement credit…
Equity Increase: $16,000
It's obvious:
It pays to get solar…
…If you ain the arrangement!
And nosotros haven't even calculated the short-term bill savings, long-term returns, selling loftier and buying depression with NEM Time of Use.
The positives simply go on adding up.
I want to inquire you: What is the number #i thing you lot learned from this article?
Answer down below in the comments, and I'll be sure to read and reply to you lot.
Feel complimentary to ask any questions you might accept as well!
Source: https://www.allterrasolar.com/paid-to-go-solar/
Posted by: lopezalrombse.blogspot.com
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