Why Solar Can (and Should) Be for Everyone
It used to be that only the wealthiest of the wealthy were able to install solar panels. Systems were expensive, the technology was not as mature, and there were fewer financial incentives to defray the cost.
Not so today. According to a Science Daily article from March of last year, the price of solar panel systems steadily declined from 1998 to 2007. Three important pieces of federal legislation have provided for continued financial incentives, opening the doors for more home owners to install solar power.
Moreover, solar technology has vastly improved over the decades. Like computers, the cost of solar panels has dropped in relation to their increased efficiency. As a result of improved technology and more tax credits and other financial incentives from federal, state and local governments, the overall cost of solar panels has become more affordable than ever.
Unfortunately, most home owners don’t realize this. It’s a common misperception that solar panel systems are expensive, and not worth the cost. That’s understandable, considering how expensive they have been in the past. But that’s the past. It’s time to live in the present. It’s time to find out how affordable solar power really is.
Four Reasons Why Building Your Own Solar Panels Is a BAD Idea
If you Google solar panels, most of the top results are for websites selling DIY solar panel kits. The same search on YouTube is filled with videos on making your own solar panels.
While building and installing your own solar panels might seem like a good way to save some money, there are several reasons why doing it yourself is a bad—sometimes even dangerous—idea. Here are five reasons why you should work with a professional solar panel installer:
1) You will pay more for materials.
Professional solar panel installers are able to obtain a higher quality product at a lower price. The panels you get at Home Depot or other online retailers are, to say the least, a much lower quality. They are less efficient and will generate less electricity, meaning that you will have to install more panels to generate the same amount of energy, which will ultimately cost you more than a high-quality solar panel you get from a professional company.
2) Doing your own electrical can be dangerous.
This might seem obvious to some, but you’d be surprised how many people think that can do their own electrical work without having any formal training. Unless you are an electrician, installing your own electrical devices, much less a set of solar panels, can be incredibly dangerous. A professional installer will have both roofing and electrical experience, and will know how to safely install your solar panels.
3) Protecting your purchase through the warranty
Companies can be picky about their warranty. If you install your own solar panels, even the smallest mistake can void your warranty. Then you’re stuck with a system that might not be working right, has no warranty protection, and still cost you some money to install while not generating any income.
4) Paperwork, Paperwork, Paperwork
It’s great to use green solar technology and do your part to improve the environment and reduce our dependence on oil. But there’s also a financial benefit, with federal, state and local solar tax credits and grants, not to mention getting Solar Renewable Energy Credits (SRECs).
Obtaining those tax credits, grants and SRECs can be a bureaucratic nightmare. There are numerous forms to fill out, certifications to be obtained, and other hurdles that the homeowner might have to jump through. And if you make a mistake on any of your forms, you have to start all over from the beginning. Doing all this yourself can add months—sometimes years—to the time it takes for you to see a financial benefit of your solar panel system.
A professional solar installer can help you get every single cent you deserve from your solar panels, while installing a higher quality product safely.
We don’t like to brag too much (after all, this blog is about more than our company), but here at Solar Energy World, we take pride in helping our customers through every step of the solar installation process. From the first free solar analysis, through the installation and inspection, to the processing of paperwork, we provide customers with a seamless experience that makes switching to solar easier.
Far easier than doing it yourself.
Back to Basics: Solar Tax Rebates and Grants
One of the factors that make solar energy panels affordable today are the widespread availability of solar tax rebates and grants. These financial incentives provide a significant amount of money to people who install solar panels, and can be used to cover a large portion of the costs.
There are basically three sources of solar tax rebates: federal, state and local. The federal government offers a variety of tax credits that you may qualify for when you install solar panels. Programs such as the Residential Renewable Energy Tax Credit can provide a tax credit of up to 30 percent for systems placed into service before December 31, 2016.
Here in Maryland, there are two different types of grants that you can receive based on the type of system you install. If you install a solar thermal system (also known as solar hot water), you can receive a grant for up to 30 percent of the cost up to a maximum of $2,000. If you install a solar photovoltaic system, the size of the grant you can receive is based on the size of the system you install. According to the Maryland Energy Administration, there are three different grant levels:
- $1.25/ watt for the first 2,000 watts of capacity
- $0.75/ watt for watts 2,001 – 8,000
- $0.25/ watt for watts 8,001 – 20,000
Your system must be under 20kW to be eligible; maximum grant amount is $10,000.
(Please note, as of August 23, 2010 the Maryland Grant Program has changed – the grant shown above are the old grant levels. To learn more about the updated grant visit our Incentives & Rebates page)
Locally, tax credits vary widely from county to county. Here in Maryland, only residents of Anne Arundel County, Harford County, Howard County, Montgomery County and Prince Georges County can receive some form of tax credit for installing solar panels. Check out this page on the Maryland Energy Administration’s website for a quick summary of each county’s program as well as links to more specific information.
When you add up all these tax credits and grants, you could install a solar panel system for about half of the initial cost. And that doesn’t even include the money you receive from Solar Renewable Energy Credits (more on those in a later post).
Want to estimate how much you’ll save by installing solar power? Check out our Solar Savings Calculator!