How Can Solar Energy Help You Save Money?

Solar energy is produced through the collection and conversion of the sun’s light. Homeowners can harness the sun’s rays to generate electricity to power their homes, resulting in decreased energy consumption and solar energy savings.

Solar energy production is on the rise around the U.S. In its February 2018 Short Term Energy Outlook report, the U.S. Energy Information Administration (EIA) estimates that solar electricity generation will increase from an estimated average of 209,000 megawatt hours (MWh) per day in 2017 to 240,000 MWh/day in 2018 and 287,000 in MWh/day. What this means is that more people are turning to renewable solar energy to power their homes and businesses.

This is particularly good news when you consider that U.S. residential electricity rates have been rising by 4% on average over the past 10 years. The EIA reports that residential prices for electricity increased from an average of 12.55 cents per kilowatt hour (KWh) to 12.90 cents per KWh in 2017. The prices are expected to continue to increase to 13.62 cents per KWh by 2019.

While this might not sound like a lot, it quickly adds up. The average U.S. electricity bill in 2016 was 897 KWh per month or 10,766 KWh per year. At $0.13 per KWh, that will total nearly $1,400 per year! If your own consumption surpasses the average each month, that’s even more money out of your pocket. Imagine the solar savings you could achieve with the help of a solar energy system for your home.

Going Solar

Making the decision to switch to solar is a huge step toward enjoying significant energy savings. When you purchase a photovoltaic (PV) system, you are investing in future energy savings and to make yourself less dependent on electrical companies. In New Jersey, solar energy users save an average of 30% on their electric bill each month.

You can choose to buy or lease a solar system, depending on your financial needs and goals. However, we’d be remiss to not mention that buying a system outright provides you with the most cost-effective solar energy savings. Purchasing a solar energy system allows you to take advantage of benefits that are not available to homeowners who lease their systems.

Buying a Solar Energy System for Your Home, Provides Access to a Renewable Energy Source

– Tom Cleary The “Green Energy Guru”

You can enjoy substantial savings by tapping into an essentially infinite renewable solar energy. As long as the sun continues shining, you’ll have access to clean electricity that you can use to power your home or business. This means that you can use solar energy to clean, cook, cool and heat your home. Furthermore, for solar homeowners who also own or lease electric or hybrid vehicles, you also can use the solar energy to help charge your car as well.

Solar Power Systems Decreases Your Dependence on the Power Grid.

– Tom Cleary The “Green Energy Guru”

Decreasing your dependence on conventional energy sources like coal, oil, and nuclear energy makes a difference that can be felt in your wallet. After all, why pay a power company to generate all of your electricity when you can produce some or all of it yourself?

An added benefit is that you’re able to contribute to decreasing the nation’s dependence on foreign oil and other energy resources.

Solar Energy Offsets Electricity Costs with Net Metering.

– Tom Cleary The “Green Energy Guru”

Many states, including New Jersey and Pennsylvania, offer net metering to their solar customers. The basic concept of net metering is that every KWh of energy your system produces is accounted for and is credited to your account. These credits roll over from month to month until the annual anniversary of when your system was first brought online, after which time your utility company will buy them if your system has generated more than you have used.

This means that the credits you earn during high production months can help to supplement energy consumption during low-production months.

Installing A Solar Power System On Your Home Offers Tax Savings and Other Initial Incentives.

Tom Cleary The “Green Energy Guru”

In addition to saving money on your power bill, homeowners who choose to buy a PV solar system can enjoy several additional financial benefits. Solar savings can be found through:

  • A 30% federal tax credit: For PV solar energy systems that are bought and installed before the end of 2019, you can receive a 30% investment tax credit (ITC) on your purchase.
  • State incentives: These rebates, tax credits, and other incentives vary by state. Speak with a Solar expert at EMT Renewables to find out what benefits are available in New Jersey and Pennsylvania.
  • Sales tax exemption: The purchase of a solar energy system for your home will not incur additional taxes.
  • Property tax exemption: Although having a solar system installed on your home is known to raise home values, the added value of the system will be excluded from your residential property taxes.

Learn More

To learn more about how you can make the sun work for you and enjoy cost-effective solar savings, be sure to contact us via the help form below or give us a call at 866.368.7657!