Many homeowners have heard about solar energy and have considered either installing the solar panels themselves or calling in a professional company to do the work. The benefits of installing solar panels include reduced energy costs, the ability to sell power back and the satisfaction of being able to generate your own energy.
While there are many DIY kits on the market, this can be a complicated procedure if you don’t have prior experience installing electrical systems. This will cover the basics about expected savings, costs, the installation process and how you can sell power back and make a profit.
Information. Solar panels have evolved throughout the years to increase energy production and to make DIY projects easier. While installing a large system might be difficult for some, there are some special DIY panels that are plug-and-play to make them simpler to install. When buying a system, be sure to consider how much power you really need. If you intend on powering the whole home, then ensure you purchase enough solar panels to cover peak energy needs. Most states and cities currently don’t require you to be specially licensed in installing solar panels to add them to your home, but be sure to check your local laws as this may change.
Costs. There is an upfront cost to solar panels. While there is a solar tax credit you can apply for after installing the system that can offset the cost, you must be ready to pay a significant amount for the system. The average home system costs about $11,000 to $14,500. A small system that produces around 2KW is $6,100 before tax credits while a large system that produces 10KW is $30,500 before tax credits. Installing the system yourself means that you don’t have to pay for installation, but most companies only charge about 10 to 15 percent on top of the equipment.
Expected savings. This largely depends on the size of your system, how much power you use, where you live and other factors. In general, you can expect to save a low of $12,500 to a high of $49,500 after 20 years. Most solar panels last between 20 to 30 years, so you should be able to maximize your savings. The majority of homeowners will break even after seven or eight years and then the system starts paying for itself. While some factors cannot be changed, you can increase your savings by reducing overall power usage and installing a larger system that produces more power.
Install process. Installing solar panels yourself can be difficult if you don’t know about wiring and installing electrical systems. Start by picking a location for the panels, such as your roof or a platform somewhere in your yard. Install the mounting and rigging wherever you intend on placing the panels. You will then place the panels on the mounting and wire all the panels together. There are positive and negative terminals and you need to wire them correctly for the power to flow into your home. Connect the panels to a control panel in your home and then connect that control panel to your home’s electrical system. There are also plug-and-play systems where you just have to plug the panel into the wall.
Selling power back. Every state and city is different in this regard, but most people can sell energy back as long as they produce in excess of their own needs. This is called net metering and it allows you to sell the extra energy back to the utility company. Most people will find that they can sell about 20 to 40 percent of the energy they produce. You will get paid per kilowatt based on the current rate. Some states have caps on how much can be sold per year. Contact your utility company to find out what forms you must fill out, whether you need special insurance to sell the solar energy and if there is a cap on how much you can sell.