Investing in Home Solar: What You Need to Know
July 21, 2010
By Dennis Cheslik
The main thing to know about investing in a Solar Energy System for your home is that there are many options out there and plenty of incentives. Unlike in the 1980’s when solar power was a fad that came and left, solar in 2010 is here to stay. It’s gone global now. Especially in Europe and China. The incentives and options:
Incentives for Going Solar:
It’s Free Energy: No more paying the utility bill–You may even get a check back from them.
It’s Good for our Planet: It reduces burning coal for power which pollutes our planet.
Free Green Money: Uncle Sam will pay for 30% off your system on your tax return.
Free Green Money: Many Local Utility company’s are offering rebates on solar systems up to 20%.
Choices: You can lease, you can buy, pay though energy bonds, or purchase in a group.
Increased Home Value: Your home value automatically increases.
Durability: Solar Panel materials are state of the art, built to last, and designed to perform.
Solar Options Available:
Purchasing a System Outright: The first thing to do is check with your local Utility Company/ Electrical provider and find out if they offer a rebate on purchasing a solar energy system and what the going rate is per watt. Here in the Dallas area, Oncor is offering around $2.25 per watt. Depending on what system you buy, the rebate may pay up to 15-20% off your system. When you combine that with the 30% off from Uncle Sam, you get half off.
Purchasing through PACE: P-A-C-E or Property Assessed Clean Energy is very unique program and it’s concept is a very realistic way for solar expansion in the U.S.. Municipalities sell bonds, the money is loaned to consumers, and the pay back period is over 15-20 years through property taxes. P-A-C-E alleviates the investor from being out of pocket for the upfront system cost. The amount of money saved on your energy bill offsets the cost of the system, or, possibly even better.
Leasing a Solar System: Leasing is another option that is gaining momentum throughout the U.S.. Many companies are forming that offer leasing programs. The major players so far include: SolarCity, Akeena, Sunpower, and Sungevity. Here in Texas, Sungevity has launched a program with TXU Energy. There is no upfront cost for the lease. Here again, the money saved on your energy bill offsets the cost of the system, or, possibly even better. The down side is that the homeowner does not get the tax credits, the rebates, and is under a contract if he/she decides to sell their home.
Purchasing Solar Through a Group: Yet another option for investing in solar is also gaining momentum. 1BOG, or, One Block Off The Grid is a company that offers homeowners the ability to purchase in a group to acquire huge discounts. Any city can participate. Once 1BOG acquires 100 people in a given region, they launch an installation campaign.
The landscape for investing in solar is changing daily. Therefore, it is essential to research as much as possible before investing to find the best deal out there for you and your situation. For example, right now the P-A-C-E program has been under attack from Fannie Mae and Freddie Mac. The Democrats have introduced a bill to defend the program. For the latest information, visit PACE clean-energy program. For more information and advice in the North Texas area, visit GreenTex Energy Savers.
