Solar installations across all 50 states in the United States reached the 2 million mark this week according to the Solar Energy Industries Association, a transformation that is bringing savings, jobs, less pollution and a brighter future in the nation’s energy mix.

The use of solar panels for residential projects has exploded in the last decade, largely in part to the continuous decrease in the price of solar. Data from the Solar Foundation showed in February that a residential installation cost $6.65 per watt in 2010, is now $3.05. These price cuts come as electric utilities continue to increase theirs, about 15% since then.

And those costs will continue to go up. In April economists from the University of Chicago published a report indicating that renewable energy mandates raise utility prices by 17%. As more states impose these mandates, you can expect to pay to watch TV and charge your cell phone. 

And states are increasingly pushing for solar and wind power to replace coal-burning electric plants as political pressure ramps up from constituents worried about global warming. The International Renewable Energy Agency warned in an April report that annual photovoltaic solar additions, which jumped from 17 gigawatts in 2010 to 109 gigawatts today, need to reach 300 gigawatts by 2030. 

Despite all this progress, many homeowners are still unsure if solar makes sense for them. 

If this is your case, here are a few things to consider.

Solar panel installation cost

How much electricity do you use on a monthly basis and how much do you pay for it?

If you can determine this, you can more easily assess how much you can expect to save and how soon you will recover your investment in the costs for solar panels.

According to the Energy Information Administration, in 2017, the average annual electricity consumption for a U.S. residential utility customer was 10,399 kilowatt hours (kWh), an average of 867 kWh per month. 

Now you have to look at the average sun peak hours in your region. In Southern California, that figure is about 5.5. If you multiply that by 30 (average number of days per month), you will get 165.

Now you divide that 867 by 165 to get a 5.2 kWh solar system. How much will it cost? If the average cost per watt is between 3.05, then you multiply by 5,000 (5 kWh), your residential solar installation will cost $15,250. This is before you take advantage of tax credits, incentives, and rebates that reduce this cost further. 

But how long will it take to pay off that system with the savings in your electric bill? If you pay an average of $150 a month, you simply divide 15,250/ 150 = 101 months (8.4 years).

Now remember that solar panels are extremely reliable and almost maintenance free for 25 years or more, so it will be paid for up to two decades.

To find out the correct size of a solar power system for your home and what it will cost, you can access the Hahasmart price checker that provides you with an estimate of equipment and installation costs by simply noting your home address and monthly electricity bill. They’ll even help you contact a reputable solar installer in your area. 

Your home value

Adding solar to your home will help in a number of ways. Once installed, the solar panels act as a shield for your roof against extreme weather and help lengthen its life.

Also, if you decide to sell your home, those solar modules will mean thousands of dollars extra in your house value and an added feature to attract possible buyers. 

Your “green status”

If you want to do your part in helping the planet for generations to come, the installation of solar panels is unavoidable. Solar consumers make a real difference by addressing one of the largest contributors to carbon emissions - electricity production. Power plants burn fossil fuels that emanate dangerous and harmful chemicals into the air. A solar power installation, on the other hand, is essentially zero emissions as you’re simply turning sunlight into energy. 

A 2013 study from UC Berkeley examined CO2 emissions reductions from residential solar. Researchers analyzed 113,533 homes with solar power and found that together, they avoided 696,544 metric tons of CO2 emissions. That is equivalent to the average annual output of 146,641 cars, or 1,619,870 barrels of oil.

The bottom line is that for homeowners, residential solar energy is a practical and cost-effective approach to self-reliant and smart energy consumption for years to come. Doing it will leave a good feeling not only on your wallet, but your conscience, as you help reduce carbon emissions.

HahaSmart Blog - More Solar Tips and Guide
HahaSmart News - Stay Informed
Your Solar Incentives - See Credits and Incentives in Your Area
Check Your Home's Solar Price - See How Much You Save
Register Now - Unlock The Lowest Solar Prices in Your Area