Outside the most apparent reasons for switching to solar, like the environmental and financial benefits, you might be surprised by these five reasons.
#1—Solar Energy can increase the value of your home
Like many other home improvements, solar energy can also increase the value of your home. According to research by the National Renewable Energy Laboratory, homes with solar panels sell for, on average, 17 to 20 percent more than homes without. However, the most significant difference between solar and other home improvement projects is that solar pays you back almost immediately through energy savings on your utility bill.
#2—Avoid power outages
Solar photovoltaic (PV) systems installed with an accompanying solar battery backup system can avoid disruptions from power outages caused by severe weather or even rolling blackouts due to excessive demand or instability in the grid.
#3—Rising energy prices
According to the U.S. Energy Information Administration (EIA), electricity prices have increased for the last 20 years at an average of 1.4 percent annually, with an 8 percent, one-year increase between 2021 and 2022. The future could reflect similar or worse price increases, which only serves to say that investing today in solar energy is a wise financial move that will pay dividends for years to come.
#4—Renewed tax incentives
The recently passed Inflation Reduction Act extended the solar Income Tax Credit (ITC) and raised the incentives. The new bill sets the ITC at 30 percent for private residential installations from 2022-2032, with the first step-down beginning in 2033 when it drops to 26 percent. The renewed tax incentive offers huge savings for anyone considering the installation of solar panels.
#5—Connectivity is limited
As the popularity of solar has grown and more property owners add solar, there is a dark little secret that few people are aware of—limited connectivity. In most cases, private solar photovoltaic (PV) owners install systems that require connectivity to the power grid via their local utility company. Although utility companies are supposed to serve the public, they are still businesses, and private solar photovoltaic installations are, unfortunately, a threat to their revenue. As a result, some, not all, utility companies have limited the number of privately owned solar PV systems they allow to be connected or significantly delay those connections as a means of deterring new installations and securing the capacity on the grid for themselves. Because of this, it’s crucial for those genuinely interested in going solar to act now and get their system installed and operational as soon as possible.
If you’re interested in making the switch to environmentally friendly, clean, renewable solar energy, contact an All Energy Solar representative.