Energy bills are a significant part of your monthly expenses. If you choose to go green and save some money on your electric bills, consider the installation of solar panels.
Homes that receive sufficient sunlight throughout the year benefit the most from solar panels. Before investing in a worthy photovoltaic system, learn more about the costs involved, potential savings, and the multiple benefits of the system.
How Does the Solar Panel Function?
When you hire a solar company, the installation team will mount the solar panels on the roof.
The panels are then connected to a solar inverter. The silicone particles of the solar panel receive sunlight directly.
The sunlight is converted into a direct current (DC). The direct current passes through the inverter and changes into alternating current (AC). AC electricity is used to run your home appliances.
What Happens to the Excess Solar Current Generated by Your Home?
Sometimes, your home may generate more solar power than needed. The excess solar power is fed into the national utility grid. The solar energy is stored in the grid for later use.
If you are consuming more energy than needed, you may continue to draw power from the grid. The additional power is charged at the end of each month.
How Much Does a Home Solar Panel Installation Cost?
The major cost factor of the solar panel installation is the cost of the equipment. The great news is that the cost of equipment has come down in recent years.
The payback period (time taken to recover initial investment cost through energy savings) is approximately six years.
The payback period may change based on the size of the property, usage rate, and amount of sunlight.
In California, homes with solar panels can get the Federal Solar Investment Tax Credit. The tax credit provides 26% of the total value of the solar system installed in your home.
The amount is claimed through federal tax returns. To know more about available incentives, rebates and offers, talk to your solar panel installation company.
Alternatively, you may also check the DSIRE website for relevant information.
What Other Monetary Benefits Can My Home Solar System Provide?
One of the most significant benefits of solar panel installation is its impact on the value of your home.
Mortgage providers and realtors believe that a home solar power system can immediately increase the resale value of your home.
The most direct benefit of solar panels is lowered electricity bills. Energy savings depend on the size of the solar system and the amount of electricity generated.
It also depends on the rates fixed by your electricity provider and compensation obtained for the excess energy sent to the grid.
A Final Word
Solar panels work well for Californian homes. They provide significant cost savings and provide a chance to go green. The solar energy system reduces your dependence on a single source of energy.
It lowers your contribution to harmful phenomena like global warming and CO2 emissions. Investing in a robust solar power system is undoubtedly a wise decision.