Is Residential Solar Worth it?
PPL‘s electricity rates keep going up and there doesn’t appear to be an end in sight. You can always switch electricity plans, but what if you want a long-term solution? With unstable PTC rates you might already be considering solar for your home. But how much does residential solar cost for PA residents in the PPL service area? And how much can you save?
Solar Panel Installation Cost
Good news, residential solar panel installation costs are down 61% since 2010! And with the federal government offering a 30% tax credit on new solar systems it’s more affordable than ever. Bad news is, that doesn’t make them cheap. Professional installation for a grid-tied system runs between $3500 and $35,000 with the average of $15,420 before tax credits. These prices will vary quite a bit based on your energy needs, how big a photovoltaic system array you want to put in, and whether you choose to install batteries, too.
But what if you want to disconnect from the grid?
There are many pros and cons to going off-grid. You’ll never pay another light bill again. You also won’t have to worry about blackouts, since you can rely on battery backups. Off-grid solar can be especially useful if you live rurally, or want to power other buildings on your property like a shed or barn. However, batteries to power your entire home will cost $12,000-$22,000. They also need to be replaced every 10-15 years. And with lithium prices going up, those batteries are going to get more expensive.
How Much Will I REALLY Save?
With tax incentives, increased home value, and a much smaller utility bill, there’s a lot of savings to be had! Let’s break it down. Solar panels typically have a lifespan of 25 years, so let’s see how much you can save in that time using the average costs for solar in Pennsylvania.
A typical Pennsylvanian is using 851 kWh a month, with a monthly electric bill of $117. Electricity cost typically increase about 4% every year. Over 25 years, that means you’re paying $42,7045!
If instead you use solar in your home, you can save a ton of money. Your initial installation cost will be $15,420 before receiving the 30% federal tax credit. This takes the cost down to $10,794! And with net metering, you can save even more. Net metering allows you to sell back the excess energy you produce during the day. They then credit it to your bill to account for the energy you use from the grid at night when the solar panels aren’t producing electricity. You still have to pay distribution charges if your system is grid-tied, but this means your energy bill can go from $117 a month to $15.
Lastly, add in your increased home value and the possible sale of Solar Renewable Energy Credits. This means you can expect your solar system to pay for itself within 9 years. Every year after that you’re saving money, to the tune of $30,000 over 25 years. That’s $1200 a year!
Get a Free Solar Quote Today!
Praise the sun and save money! You can get started with solar energy by signing up for a free solar energy quote today. And don’t forget in the meantime that you can find the best energy rates at https://www.paenergyratings.com/