Going solar isn’t a cheap undertaking. You have to spend on various solar parts, obtain permits, and hire a qualified contractor to get the job done. While the initial costs appear steep, several ways to keep them manageable exist.
Keep reading to discover extra ways to lower the cost of solar panels so you can start saving on your energy bill.
How Much Do Solar Panels Cost?
Seventy-four percent of Americans cite cost as the primary barrier to adopting solar energy. However, the truth is that solar is becoming more affordable. The increased competition coupled with streamlined economies of scale has led to lower solar panel prices. On average, solar panels cost between $15,000 to $25,000.
Over the years, the cost of solar power has been dropping since many people are becoming eco-conscious. In response, authorities have stepped in to support the revolution through policies that keep the costs of solar power low. Additionally, you can recoup your investment within five to 10 years when you reduce reliance on grid power and lower your utility bills.
Ways To Reduce the Cost of Solar Panels
There are more ways to keep the costs of solar panels down. Some of these tricks include taking advantage of existing incentives and taxes. The specific cost-cutting measures you’d want to look at when trying to lower your solar panel costs include:
1. Tax Incentives
When you adopt solar, the federal government will let you deduct 30 percent of the money you spend on solar from your taxes in the form of an income tax credit. In addition, some states, like Arizona, have a similar tax incentive scheme that helps citizens recover part of the money they invest in a solar project through their state taxes.
2. Rebate Opportunities
Besides tax credits, you can lower the cost of solar panels by capitalizing on solar rebates. One such rebate is net metering. The billing arrangement allows you to send excess electricity to the grid. Afterward, you can redeem the credits when your solar system doesn’t produce enough energy. You may also be eligible for state-wide rebates depending on where you live.
3. Power Purchase Agreements (PPA)
Signing a Power Purchase Agreement is another excellent way to override the initial solar installation costs. In this arrangement, a solar energy company installs, maintains, and owns solar panels installed on your property. You buy the power at a cheaper rate than it would cost you to buy from the grid.
4. Off-Season Installations
Assuming you are not in a hurry, install your solar system during the off-season. This period falls around winter when the demand for solar power installation goes down. At this period, contractors offer competitive pricing and promotions to attract customers.
Let Solar Optimum Guide You in the Transition To Going Solar
Going solar is more than just the installation of panels. The project involves several processes, including securing tax incentives, choosing quality solar products, hiring a qualified contractor, and deciding how you will pay for it. If it’s your first time undertaking the project, you will likely overlook some critical steps. At Solar Optimum, we understand the benefits of starting your solar project on the right foot and will help you from planning to execution.
Contact us to get a free quote or download our Ultimate Guide to Going Solar to learn more about tax incentives and rebate opportunities to help lower your solar panel costs.
