Solar Financing has make Renewable Electricity affordable and accessible. Protect yourself from the continuous rising of energy prices and use a clean energy source that can control electricity costs.
Solar power is increasingly becoming a key source of energy all over the world, and there are many benefits to using solar power. Solar power can be harnessed using a PV (photo voltaic) system or in more simple ways, such as solar pool cover, solar garden lights or as a solar oven. The use of solar power releases no emissions into the air, and it may be that the benefits alone may persuade you to consider solar power in the near future. Solar energy can be defined rather simply as the conversion of sunlight into usable energy. Currently, solar energy is used to provide electricity to homes, commercial buildings, and other establishments.
Solar power can provide enough energy to power your own home. If your solar panels collect enough power, the extra energy will be distributed through the power grid for others to use. With a PV system, you would never have to pay for electricity again. A PV system is a solar panel that is set up on the root of your home.
The sun is an almost infinite source of power, providing energy nearly every day. This is an advantage over other enery sources like coal and nuclear power. Solar is Affordable- The cost of solar panels has fallen 50% since 2008, while many utilities have raised electricity rates over the same time period. With the cost of solar power falling, converting a home to solar electricity is very affordable. An average homeowner can afford solar power and will reduce their electricity bills.
Solar efficiency refers to the amount of ambient light that can be converted into usable electricity. The efficiency of a solar panel is lower than that of a solar cell due to the spacing between cells and because the glass covering reflects away some of the sunlight. Consequently, you want to pay attention to solar panel because that will indicate how much electricity your solar energy system will actually generate.
Why is Solar Panel Efficiency Important?
- It generates more electricity fewer panels
- Require less rooftop space
- Involve reduced installation time and fewer mounting materials
- Offer more long-term savings
MORE EFFICIENCY = MORE SAVINGS
Solar power systems are often described in terms of the amount of power they can produce, which is measured in watts or kilowatts. However, a more important factor to take into account when comparing solar energy systems is the amount of actual electricity the sysyems can generate during its lifetime which is measured in kilowatt-hours. High efficiency solar panels produce more kilo-watt hours of electricity over the lifetime of the solar system than the standard efficiency panels. More electricity generated saves you more money in utility bills because you need less electricity from the local grid. If net metering is available, you could receive a payment from your utility for the excess electricity generated by your solar system. In this situation, the more electricity you generate, the more money you make.
How Does Solar Power Works
Solar energy is created using energy which has been generated by the sun. A solar power panel is able to function using the solar energy which is derived from the sun. A large number of solar cells will be found in every solar power panel. The energy from the sun will be absorbed by these solar cells. This solar energy derived from the sun will be converted into electricity with the help of a solar power panel. The photovoltaic effect will help in converting the solar energy into electrical energy in a solar power panel.
The solar power panel should be kept in a clean place where it gets complete and direct exposure to the sun. The cost of procuring a solar power panel is not very high and it also does not accrue very high costs in terms of maintenance. The charges incurred will be the starting charges as well as the installation charges. A large number of homes have started installing a solar power panel in them in order to perform all the functions which usually require electrical energy. All the electrical appliances in the house can be made to function normally using the electricity which has been generated by the solar power panel. The electricity bills can be reduced to a vast extent once a solar power panel has been installed inside the house.
The roof is the usual place where the solar power panel will be installed in a house so that it gets the required amount of exposure to the sun. The photovoltaic panels on the solar panel will convert the solar energy into electrical energy. The electricity which is generated through these panels is mostly DC (direct current) which will be converted into AC (alternating current) with the help of an inverter. This inverter will usually be made available along with the solar power panel. The grid-tie system will also make use of solar energy in order to provide electricity for homes. Silicon is one of the main materials whicah are usually used fomr making a solar power panel.
Every solar power panel contains different silicon cells or solar cells. Photons will strike the surface of these solar cells and then generate an electrical current. One such solar cell can generate 0.5 volts of electricity. A 12 volts solar panel will contain 36 solar cells which will help in generating 17 volts of electricity. A 24 volt solar power panel will contains 72 solar cells wand it can generate 24 volts of electricity.
The voltage is likely to reduce when the solar power panel is being charged. Every house will require many different solar power panels which will help in generating the required amount of electricity for operating all the appliances in the house. The main advantage of making use of high voltage output is that it will require small wire to transfer the electricity from the solar panel to the batteries. The main advantage of these solar panels is that they will reduce the cost of the electricity which is needed to perform all the daily functions.
The installation process for solar panels is easy, because they attach right to your roof and do not take up any space in your home or yard. Highly trained installers will make sure that your solar is all set up for you. Your home solar system will be installed safely and efficiently.
General Solar Panel Installation Tips
- Identify and plan the location of your install. Solar panels can be installed on top of the roof or building or as a stand alone unit. If you are planning to either remodel your roofing plan, then it is worth considering Solar Shingles as your roof top. If you are living is a big home with additional space in front and back of your house, plan to use a pole mounted solar panel.
- The solar panel should get direct sunlight between 10 and 3 pm on any day. There should not be any obstruction or shades or shadows overcastting the panels. Make sure to position the panels in the best place where you get direct sunlight for most part of the day.
- If you don’t want to replace your roof or structurally alter anything for your home for solar reasons, you may want to consider Thin film solar panel installation. A thin film solar panel installation does not incur any supporting structure. It can be rolled on top of the roof like a carpet. The weight considerations should be noted for, especially in snowing areas.
- If you live in a place where direct sunlight for continuous period of time is a challenge, then one may want to consider Triple junction laminated panels. This category of solar panels, contains photovoltaic cells which responds to more than one wavelength of light, there by picking up low range or indirect light and converting them in to electrical energy. Usually these panels respond to 3 separate set of light frequencies. A well suited choice for homes where direct light is a challenge.
- Solar Panels vs solar Shingles. Whether to put solar panels or roof the whole house with shingles is a decision making point. The guidelines are if you are planning to replace your roof as a part of your home improvement project, one can consider solar shingles. Also if you are building a new home it is best to consider Shingles for the whole roof top or as a partial option.
- On the grid or Off the grid decision making is important since certain accessories are required in both cases. For on the Grid option you have to connect the solar panel output to the electrical grid company circuit. For Off the grid option you may have to connect to storage batteries to store excess power.
Solar rebates will help you to reduce or even eliminate your electirc bill by taking advantage of many generous cash rebates for the installation of a solar system on your home or place of business. Solar incentives are available to further reduce the up-front costs of solar for your home or business. Renewable Electric Inc. knows the ins-and-outs of solar rebates in all the communities and utility’s where we operate. Our teams will show you all the incentives available to reduce your upfront costs and maximize your solar savings. We process the rebate paperwork and file rebate claims on your behalf making solar a hassle-free process.process. There aren’t many financial investments better than solar. You’ll be saving on your electricity bill from day one. This translates into a return on your initial investment of 15 -30% per annum for many years to come and your solar energy system will pay for itself in around 3-6 years, depending on the system size. Together the State and Federal Governments provide Solar Govt Rebates. This comes in 2 forms of assistance when installing a solar power system;
- A reduction in the purchase price when you purchase the system.
- A payment for the excess power your solar system produces that you don’t use.
You should remember though that the biggest benefit that your solar system will give you is offsetting your daytime electricity tariff. Getting some benefit back from the government would actually help. Believe it or not, the focus of many governments especially the US government during such tough economic times is to provide the best possible benefit to people and create more employment.
In the U.S. a new legislation is passed which provides huge benefits for residential and commercial solar installations.
According to the legislation, federal tax credit of 30% on investment for solar installations is extended for next 8 years.
The cost of solar panels and installations are declining, and now homeowners have several financing options to significantly reduce or eliminate the upfront costs of solar power. We offer several payment options for homeowners to pay for their solar installation including loans, solar leases and Power Purchase Agreements.
SOLAR POWER PURCHASE AGREEMENTS
a financial arrangement in which a third-party developer owns, operates, and maintains the photovoltaic (PV) system, and a host customer agrees to site the system on its roof or elsewhere on its property and purchases the system’s electric output from the solar services provider for a predetermined period. This financial arrangement allows the host customer to receive stable, and sometimes lower cost electricity, while the solar services provider or another party acquires valuable financial benefits such as tax credits and income generated from the sale of electricity to the host customer.
The combination of known lease payments and lower utility bills typically leads to an immediate reduction in electricity costs and provides increased savings over time. At the end of the lease agreement (typically after 15 – 20 years), you have the option to purchase the system at a reduced cost, renew the lease, or have the system removed. like car leasing is the new term catching up in the Home solar power arena. Like any lease program this solar lease program offers to reduce the initial huge investment on buying solar equipments and accessories and a low monthly fixed cost for the consumers. With a fixed monthly cost the solar power lease allows a home owner to install and power their home with solar electricity and heat. The consumer does not have to worry about buying equipments and accessories in this solar lease program. It is a financing option that allows businesses to generate solar electricity with little to no upfront capital investment. Like traditional equipment leases, solar leases provide use of the solar equipment itself in exchange for a monthly lease payment. You benefit from the clean solar electricity generated from the rented solar installation.
HOME EQUITY LOANS
If one is a home owner and is already have a loan with a bank, they can apply for a home equity loan with the same bank or other mortgage institutions for theirSolar Investment. The difference between the home mortgage and the present value of the home is generally calculated as the home equity value. The collateral the bank would use is the house to recollect the money in case the borrower could not pay off the loan. Take a home equity solar loan has great advantages with interest rates and also they are tax deductible like any other home equity loans. Another good thing about these home equity loans is that the bank or lending organization generally don’t care about what you do with the money they lend you.If you are a home owner and wanted to go big in solar investment, then home equity is one of the best options out there for taking a solar power loan.
SRECs: SOLAR RENEWABLE ENERGY CREDITS
Your solar system produces a certain number of these credits every year, depending on its size and other factors. Utilities can then purchase the SRECs you produce to offset their non-renewable energy production and SREC markets exist in states where utilities are required to do that. In these states, SRECs are valued at a certain amount of money and homeowers can sell their SRECs on the open market or, more commonly, get a broker like SRECTrade to do that for them. In this way, solar can not only save money for homeowners in SREC states, it can actuallygenerate income for them. The value of an SREC is determined by normal supply and demand forces, which ultimately depend on the number of solar installations qualified to produce SRECs, and the number of qualified system that actually sell those SRECs. SREC demand is also determined by the state’s RPS solar requirement, i.e. what percentage of electricity in the state must be produced by a renewable energy source.
PEER TO PEER LENDING (P2P)
It is easy to consider P2P lending (peer to peer lending) platforms as an alternative method for funding RET projects given that traditional financial institutions have rigid collateral and minimum loan size requirements. P2P Lending platforms employ loans that are either secured (with collateral considerations) or unsecured (using other attributes of the borrower). Also, depending on the platform, there can be pooled and/or direct lending. P2P lending is essentially a loan where instead of a bank, there are a group of tens, if not hundreds of lenders all contributing small amounts to add up to the requested amount. A middleman broker (usually a web site) will allow users to request money or loan money through the site and will generally post the anticipated rate of return for the lender. If this sounds a little familiar, it’s a very similar concept to the micro loans that have become so popular in the third world, but with P2P lending, you generally get involved as an investor to make money and as an applicant in order to purchase something or to absolve some outstanding debts.
PACE MUNICIPAL FINANCING (Property Assessed Clean Energy)
it’s a way to finance solar systems or energy efficiency retrofits, where the city offers you a loan, and you pay it back through your property tax bills over 15 to 20 years. For starters, the program doesnt require shelling out any cash upfront or reducing equity to your home. Property tax financing solves the problem of “what happens when I sell my home?”.The simple answer is that the solar power system and whatever tax liability you have bot go to the new owner of your home.
FEED- IN TARIFFS (FIT)
another way to monazite your solar energy system, take a look at a program being adopted all over the world, including some states in the US, called FIT (Feed-In Tariffs). FIT is essentially a program whereby the government or utility running the program guarantees the purchase of excess energy generated by the, in this case, solar panels tied into the grid. The result is people with solar energy systems, generating more power than they use, can sell back this excess power to offset their investment, or in some cases, to earn money from the solar power system.How the scheme works
You’ll get a set amount for each unit (kilowatt hour or kWh) of electricity you generate. The rates vary depending on: the size of your system,what technology you install, when your technology was installed, and who put the technology in place – you need to use a certified installer. Contact installer companies or an electricity supplier for more information. You can receive payments from your current energy supplier, or you can choose a different one from the list of registered suppliers.Since feed-in tariffs offer guaranteed rates and long-term contracts, they make it easier for homeowners to get a loan at the bank. It’s a fairly low-risk investment for the bank, so they can offer lower interest rates.