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Extension of Solar Investment Tax Credit – What Does Mean for Homeowners?

The Inflation Reduction Act of 2022 proposed that the Investment Tax Credit (ITC) for residential solar installations be extended to 2032 at a 30% rate. This is great news for homeowners thinking about going solar in their households as a way to save on rising energy costs.

ITC has been one of the most popular schemes that have led to massive growth in renewable energy reliance, especially in solar. The tax credit allows homeowners to claim tax relief related to the total solar installation cost for the year they installed it. 

Introduced in 2005 as a part of the Energy Policy Act, ITC was set to expire in 2007 but the Congress subsequently extended the expiration date many times. The extension provided as a part of the Inflation Reduction Act of 2022 is the latest in line. 

This blog will look at the solar investment tax credit in detail and how it would help homeowners looking to install solar energy systems in their homes. Read on. 

How Does the Solar Investment Tax Credit Work?

Simply put, it gives homeowners a chance to recoup some of the investment that they made into installing solar panels and energy systems back as a tax credit. Initially, when it was introduced, the tax credit was capped at 30% of the total installation cost of solar. This was set to reduce to 26% in 2022 and 22% in 2023. Starting from 2024, the tax credit was proposed to be eliminated entirely. The new bill has now extended the period to 2032 at the current 30% rate, and then it will reduce to 26% in 2033 and 22% in 2034. 

This is a tax credit and not a tax refund. This is how it essentially works. Say you spent $10,000 on installing solar panels and other systems in your home. As per the ITC, you are eligible for a tax credit of $3000. If you owe $4000 as taxes for the year, you can offset it by the tax credit and your total tax due would be just $1000. 

However, if you owe just $2000 as taxes, you cannot get a refund of $1000 after the tax credit. Your total tax due will reduce to zero. However, the ITC can be rolled over to the next year. This means that you can use $1000 worth of credits the next year when you are paying federal taxes.

The 30% tax credit is applicable for energy storage systems as well. So if you are planning to get some battery storage systems installed in your home or your community as a whole, you are eligible for tax credits for the amount you have spent installing it 

ITC for solar has been a major driver in the growth of the solar industry in the US and renewable energy adoption in general. The tax credit allows the residential owners investing in renewable energy to recuperate some of that amount. This can be added to the savings on top of the energy savings you will realize by using solar energy as opposed to using electricity from the grid.

Why is the Extension Important?

This proposed extension is coming at an important time. Consumers are concerned about the rising energy costs as well as the general cost of living across the country. There are also major concerns over climate change and the dependence on fossil fuels for energy. The extension addresses both these issues in some ways.

While solar offers major advantages for consumers both in terms of cost savings and saving emissions, the initial cost of installation is perhaps the biggest deterrent. Despite the advancement in solar technology, the cost remains quite high. The tax credit offsets this by quite a bit. According to the proposed bill, there are “adders” as well which further enhances the tax credit. Adders depend on the type of organization, domestic use, and other factors. Together with these adders, the total tax credit could be higher than the 30% proposed.  

The extension also comes at a time when the previous tax credit period was set to expire. The 2020 COVID relief bill extended the expiration period by 2 years. According to this extension, the tax credit was at 26% in 2022 and reduced to 22% in 2023 and expiring in 2024. The extension continues the 30% rate till 2032 at least.

California is undoubtedly the leader when it comes to solar power adoption. Several policies have enabled a largescale switch to solar. Residential solar installation has also been on the rise for several years thanks to policies like NEM and NEM 2.0. However, the proposed NEM 3.0 cuts back on the many benefits that the previous versions of the program offered to people who send energy to the grid that is generated from residential solar installations. The tax credit will be a good incentive to cushion some of the blow that NEM 3.0 lands on rooftop solar installations. 

The extension is likely to keep the momentum going on residential solar adoption across the country. It will also generate a lot more jobs in the solar industry as there is rising demand for solar power. The businesses working in solar energy will also be looking at the extension in a positive light. 

How Do You Qualify for the Tax Credit?

The ITC has a broad application. Almost all solar installations are eligible for the tax credit. There is no cap on the amount that can be claimed so you can claim the entire 30% of the installation cost no matter how big or small your overall installation is. The only catch is that you will not get a refund amount for the excess credit. However, the rollover feature is quite handy in such cases allowing you to save taxes in the subsequent year as well.

Another question that comes up is when there are multiple properties involved. The solar tax credit can be claimed if you have undertaken solar installation in multiple homes. However, the catch is that you should have lived in these homes for a part of the year. So if you have a home that has been rented out to a tenant and you have installed solar here, you cannot claim tax credits for this. 

It’s also common to find cases where you have leased solar equipment from a provider. In these cases, usually, it’s the provider that owns the equipment during the period of the lease and they are eligible for tax credits. However, these providers will work with you for a deal where you get these tax credits passed onto you in the form of reduced monthly payments. 

The solar tax credit also not just covers the basic cost of equipment. It covers a range of costs such as labor and installation costs, sales taxes, costs of wires and other equipment needed, and more. 

How to Claim the Tax Credit

Claiming the tax credit is a pretty straightforward process. Here are the steps.

  • Determine the total amount of investment you made for the solar installation. You can claim tax credits for 30% of this value.
  • Fill up the IRS form 5695 stating that you’re eligible for investment tax credits for solar installation
  • Once this is done, you can enter the credit into your 1040 when you are filing your tax returns to reduce your overall tax liability by the credit amount. If the credit amount exceeds the total tax you have to pay, the rest of the credits can be forwarded to the next year.

Closing Thoughts

The recent extension of the federal Investment solar tax credits scheme is a boon for homeowners planning to install solar panels and systems in their homes in the coming years. The investment tax credit incentivizes the homeowners for switching to solar power and also offsets some of the high initial costs which can be burdensome. 

The extension is also a great win for the solar energy industry that has taken significant leaps forward both in terms of technology and adoption. This will likely keep the demand for solar growing and with more favorable policies in place, the industry is set for more growth in the coming years.

Thinking about solar? Enlightened Solar are experts in solar installations in California with hundreds of successful installations. Get in touch to understand what suits you best, and how you can get maximum savings from solar installation in your home. 

Reroofing With Solar Panels: A Great Opportunity To Install Solar And Save

Going solar is one of those major decisions many homeowners are making today owing to the rising energy costs in the US. During its lifespan, using solar energy will save the household thousands of dollars in terms of saved electric bills. Of course, other benefits like tax credits are also available.

However, the initial cost of solar panel installation could be quite high. Solar installation on an existing roof will involve the process of roof inspection and possibly even reinforcing the roof to ensure that it can hold the additional weight of the solar panels. There is also the cost of other associated equipment, especially if you are thinking about backup and selling extra solar power to the grid.

That said, one way to reduce costs is to combine it with reroofing that you’re already planning on doing. Installing a solar panel system along with a new roof has a lot of benefits. We will explore this in this blog and see what are some of the key benefits of going solar when you reroof.

Why is Now a Good Time to Opt for Solar Power?

Let’s first understand why opting for solar now is a great idea. That is the starting point, isn’t it? There are of course quite a lot of aspects that are in favor of solar energy. Here are the top advantages

  • Costs
  • Increased home values
  • Lower carbon footprint

Costs are the most critical of these, and the main consideration for a lot of people. Energy costs have been going up across the country owing to various factors. Energy costs have a way of seeping into everything really soon.

Solar energy helps you reduce the dependence on the grid for your electricity needs, especially on days when the sun is shining. If you are opting for power backup along with the solar installation, it further reduces your dependence on the grid and saves you a whole lot more in the long run. There’s even the possibility of leveraging solar arbitrage to get paid for the energy you generate using solar.

Another reason to opt for solar is regarding home values. Installing solar panels ups the value of your property considerably. How much the value goes up depends on where you are and how much is the installed capacity. It’s however quite clear that home buyers are willing to pay a premium for houses already installed with solar panels.

Sustainability and reducing carbon footprint is also a serious consideration for homeowners. We are already seeing the devastating effects of climate change in various parts of the world and the US. Local, state, and federal governments are pushing for more renewable energy sources to be used. Solar energy is ideally suited for this in a residential setting. The advancement in technology has brought down solar installation and maintenance costs considerably, making it more affordable for families.

Even with concerns around NEM 3.0 coming to effect in California, there are significant benefits to opting for solar power. It saves energy costs, cuts down the dependence on non-renewable energy, and increases home values.

Why Opting for Re-roofing with Solar Panels is a Smart Idea

If you have chosen of embracing solar energy, the next step is to figure out how to install and get going. Choosing the right solar panels is indeed the first step. After this comes the question of the roof!

Any solar panel installation would involve some work on the roof. You would need the help of a roofing contractor along with the solar installation companies to make sure that the roof can hold the solar panels. It would also include some level of roof repair. This would be the additional cost that most homeowners don’t account for when considering a solar installation.

However, if you are planning to re-roof, it presents an opportunity. Roof replacement would mean that you are already working with a roofing company to re-do the entire roof. Combining it with the installation of solar roof panels will save you some additional costs.

Why Retrofitting May Not be Ideal?

The first thing that most people would consider is just fitting solar panels on the existing roof. If you have done re-roofing recently say within the last 5-6 years, it may be a good idea to install solar panels independently. But if your roof is older and needs re-roofing soon, the costs may spiral.

You would need a full inspection of the roof before the mounting hardware and the photovoltaic solar panel arrays can be installed. You may have to take up significant repairs to the roof and despite that, your roof may end up developing leaks or cracks post installation.

You are also restricted in terms of the roofing material you are using. Some roofing systems are inherently not compatible with solar panel installation and this would mean you will have to find other arrangements or end up re-roofing any way.

You should also consider other costs that you are likely to incur down the road. When you are choosing to re-roof down the road, you would need to remove and reinstall the solar panels. Solar panel removal is going to cost you some additional amount, and you’ll also have to pay for reinstalling the solar array on the roof.

Saving Costs by Installing Solar Along with Reroofing

Typically, roof installation is something you do once in like 20-25 years depending on the roofing material you’re using and the quality of the installation. Solar panels are also essentially designed to last around 20 years. This means that you have to worry about changing the panels roughly when it’s time to reroof again.

One important consideration is of course the cost. Solar panel installation on average costs you somewhere around $19,000. Re-roofing would cost you around $10,000, again depending on the material you use and the size of the roof. When done together, the combined cost would come to $25,000 according to National Renewable Energy Laboratory (NREL).

When you are re-roofing, you also get to design the roofing system to house solar panels as well. If you are going for a shingle roof, there are options to use solar shingles instead of asphalt shingles. However, this would increase the upfront costs and are not as efficient as normal solar panels.

While reroofing, you can select the right roofing materials including underlayment and decking that can house solar panels without any problems and do not create structural issues. You can also use a lower-cost shingle as it is essentially shielded from the sun and elements by the solar panel and hence would last longer.

It’s also common to find roofers and solar panel installation companies partner to provide customers with roofing services along with solar installation at lower prices. These tie-ups are a great idea to explore as it lowers your installation costs and both these companies would work together well without having to delay one thing for the other if you are contracting them independently.

Closing Thoughts

Re-roofing presents homeowners with a unique opportunity to consider installing solar panels to supplement their energy needs. Installing a solar array would anyway include some roof costs as we explained above. Re-roofing allows you to combine expenses and plan your new roof while keeping the solar panel system as well.

While there are clear benefits, you need to keep some things when you opt for re-roofing with solar. Make sure that your warrant for the roof covers damage that’s occurring due to the additional weight of the solar panels too as it will be done together. As always it’s important to check the certifications and qualifications of both the roofer and the solar panel provider to ensure the best results in the long run.

Thinking about being more energy efficient with solar power? Enlightened Solar is the leader in residential solar installation! Get in touch with us for a quote!

Leveraging Enphase Sunlight Backup: Tapping Into Your Solar Power During The Day Without A Battery

Investing in solar energy is a big decision for homeowners considering the cost and time spent on setup and installation. Typical solar energy systems are grid-tied where you power some of your home devices and appliances using solar energy while energy from the grid powers the rest of the home. Without investing in battery storage for your solar system, it is not possible for your appliances/devices to be powered when there are power outages.

Enphase sunlight backup is a new system on the block that can help in such cases. Its advanced IQ8 microinverters and smart systems can help you run the essential loads in your home during the day when there is sunlight available to produce power.

Enphase system is a great option that gives you the advantages of a system with storage without the same cost. Here in this blog, we will discuss how the Enphase energy system works and how it gives you backup power during the day without batteries. Read on!

What is Enphase Made Up Of?

Let’s get a bit technical to understand how the sunlight backup system works. The system needs some essential parts to work seamlessly. Here’s what you need

  • Solar panels mounted on the roof or in any other arrangement
  • Enphase app to get the system functioning
  • IQ8 Microinverters
  • IQ combiner 4/4C
  • System shutdown switch
  • IQ System controller 2
  • IQ load controllers

In addition to these, you can also have IQ batteries in case you want to operate the system in other configurations other than sunlight backup. We will explain this in detail in the upcoming sections for further clarity. Let’s look at some of these components in detail.

IQ8 Microinverters

These microinverters essentially do the job of converting the DC current generated by the solar panels to AC current. IQ8 microinverters are grid-forming meaning that they do not need the grid’s AC waveform to act as a guide. These microinverters can thus operate both on-grid and off-grid, allowing the system to switch seamlessly between solar and grid power during grid outages.

Microinverters, unlike string inverters, work at an individual panel level. This is helpful when you have a faulty solar panel. Microinverter technology allows for other panels to work independently without using the damaged one while using string inverters would have meant that the whole system shuts down. Using proprietary Burst Mode™ technology, IQ8 series microinverters can work even in low light conditions to extract more power and keep the system powered.

IQ Combiner 4/4C

IQ combiner is the device that aggregates all the microinverter circuits and it also keeps track of the amount of energy being produced and consumed using the Enphase sunlight backup system. It also comes integrated with the IQ gateway which is how you monitor and control the entire system using the Enphase app. The combiner comes with an LTE-M1 modem. You can also opt for a separate modem if you are so inclined.

IQ System Controller 2

The system controller is what helps the whole backup system work seamlessly with the grid. It connects the various modules including the Enphase IQ8 microinverters, battery systems if you have any, generators, and grid power. It can switch seamlessly from grid power to solar backup in case there is a grid outage.

It also helps with islanding, where you are ensuring that the solar power system is not sending energy into the grid in case of grid failure ensuring the safety of maintenance workers who are probably going to be working on the grid. The system controller can support a solar-only configuration and also can support battery storage as well as external generators in case you are using them.

IQ Load Controllers and Essential Loads Panel

These are the system components responsible for managing essential load circuits in the system and helping it work seamlessly. A home essentials backup should only include minimal loads. The backup loads cannot exceed 30% of the overall output of the system and the load controllers help manage this by shedding excess loads in case of grid failure.

Each IQ load controller provides backup to 2 essential load circuits and the overall system can handle 2 load controllers. This allows you to get essential load solutions for 4 important circuits in your home depending on your needs. You can control these loads using the app.

Enphase App

The Enphase app is the critical interface that lets you control the system from your phone. You can set the system up, monitor the system, and control it using the app. Since the system comes with wi-fi connectivity, you can control the various functionalities and keep track of how much power is being produced by the system. It also allows you to do circuit-level control by choosing what loads to allow and which ones to be switched off depending on the power availability.

How Does the Enphase Sunlight Backup System Help?

Overall, the system is designed to help you have a solar-powered home. Enphase system can work in 4 different modes and all these modes give you different functionalities.

  • Solar-only mode- the traditional system which is grid-tied. You will not have any backup power in case there is an outage in the grid.
  • Sunlight backupThis is the most interesting configuration where it switches seamlessly from grid power to solar power during the day when the sun is shining. The components we discussed provide backup power to essential load circuits that you choose when grid power fails. Depending on the irradiance, the power generated varies and the system moderates the loads automatically.
  • Home essentials backup– In this configuration, you need to add Enphase IQ batteries for storage. During outages and when solar power is not available, the system switches to battery backup to run essential appliances and devices at home. You would need a 3/3T battery to work in this configuration
  • Full energy independence – This is the mode where you can run your entire home on solar power. As you can imagine, you would need powerful batteries with larger storage capacities for this to work. You’ll need Enphase 10/10T batteries to set your home up in this configuration.

Out of all the configurations, the sunlight backup mode is which gives you the best results if you want a solar energy system without batteries. If you are living in an area with ample sunlight during the day, and you have frequent power outages, the sunlight backup can power essential appliances and devices in your home.

You are saving costs by relying on solar power whenever available and it also gives you backup power when the grid is offline. You get the functionalities that a solar power system with battery storage gives without having to invest in batteries which can turn out to be a big cost. Over time, you can upgrade the system to include storage batteries and generators if you are planning to.

Conclusion

The Enphase Sunlight backup system is a breakthrough innovation in the space of solar power. Solar power is an area where technology is advancing fast and this is one of the most advanced systems out there today.

How much does a solar battery backup system cost? this is something we get asked a lot. By eliminating the need for battery storage and providing the same function, The Enphase sunlight backup system brings down the cost of solar power installation considerably. System designers have the flexibility to set various essential home circuits as you wish to make sure that the most important appliances/devices never go off.

For homeowners planning to switch to solar energy, the sunlight backup system is a cheaper and more powerful alternative to get started without having to spend a lot on battery storage and installation costs.

Thinking about going solar? Enlightened solar is the go-to service provider for residents in California. With hundreds of successful installations, we have deep expertise in helping you select and set up the right solar power system, including the Enphase sunlight backup. Talk to us today to get a quote.

NEM 3.0 California: When It Will Come Into Effect And What You Need To Do To Prepare

NEM or Net Energy Metering has played a very important role in making California the leader in solar power in the US. NEM offers incentives to solar customers so that they realize savings on their utility bills and can even generate some income through solar arbitrage if they are being smart about it.

NEM has been in effect since 1996 and has resulted in nearly 1.3 million households installing rooftop solar power with a total capacity of over 9 Gigawatts, which amounts to 11% of total energy production in California (80 GW). The California Public Utilities Commission (CPUC) has been pushing for reforms in solar energy and the NEM 1.0 and NEM 2.0 plans have created a thriving solar industry and a surge in clean energy in the state.

However, the honeymoon period for the solar market seems to be coming to an end with the proposed decision to implement NEM 3.0. The revised proposal for the program contains several measures which would impact solar owners who have already installed rooftop solar panels and are thinking about installing solar systems.

In this blog, we will attempt to cover the various aspects of NEM 3.0 and how this will impact Californians who are relying on renewable energy to supplement their electricity bills.

A Brief History of NEM

NEM came into effect in California in 1996 as a part of an initiative aimed at increasing private participation in renewable energy and diversifying the energy production in the state. NEM allowed homeowners with rooftop solar installations to be paid full retail tariffs for the excess electricity they produce and send to the grid. With falling prices of equipment and other solar incentives including federal and state tax credits, the solar adoption in California soared.

NEM also had set caps for solar installations at 5% of peak electricity demand. The three utility service providers in the state San Diego Gas & Electric (SDG&E), Southern California Edison (SCE), and Pacific Gas & Electric (PG&E) hit this cap in early 2016. CPUC revised the NEM program to update the schemes and incentivize the growth of solar and came up with NEM 2.0 in 2016.

NEM 2.0 essentially preserved most of the provisions in NEM 1.0 and gave users full retail tariff per kWh of electricity that they export to the grid. NEM 2.0 also provisioned that the customers will be switched to a Time of Use (TOU) plan which had differential rates based on the electricity demand. It also allowed for upfront fees in the form of grid access fees and interconnection fees.

NEM 1.0 and 2.0 was central to making solar projects cost-effective by ensuring that the payback period was restricted to around 6 years. These programs also included a clause that means that the users who availed of the NEM 1.0 or NEM 2.0 schemes would be eligible to avail of the tariff rates and benefits for 20 years which assures this payback period and further cost savings.

NEM 3.0- What Are the Changes?

CPUC proposed NEM 3.0 as the next phase in the NEM program. According to the proposed legislation, it will be called Net Billing. There are several major changes proposed in NEM 3.0 as compared to NEM 2.0. Some of these are below

  • Lower payments per KwH of energy exported to the grid.
  • Reduces the 20 year period for which NEM 2.0 can be availed by existing customers to 15 years
  • Monthly fees in the form of grid participation charge at $8 per KwH of installed capacity
  • Real-time monitoring of energy as opposed to per hour monitoring in NEM 2.0

With these proposed changes, residential customers will not enjoy as many benefits and incentives as NEM 2.0 customers enjoy. The reason behind the proposed changes is that the cost of production of solar energy is not of equal value as the market electricity rates because it does not take into account a lot of infrastructure needs and the market costs. Using an avoided cost calculator, the utility companies are calculating the value for the excess electricity being fed into the grid by solar owners at around 4-5 cents per kWh as opposed to the 22-36 cents that the users save now.

Another side of the argument is the excess fee that low-income households are having to pay to offset the cost of NEM 2.0. The solar incentives are majorly being availed by high-income households and the cost of electricity is also increasing which is being borne by the low-income households currently. NEM 3.0 proposes to balance this disparity. NEM 3.0 is also a way to push more residential and business users to install battery storage to reduce the dependency on the grid during peak hours after sundown.

Additionally, the grid participation charge is going to add a huge amount to the utility bills. Taking an average installation size of 5 KwH, the grid participation charges come to $40 a month and $480 a year. This is in addition to the installation cost and the initial fee. Together, the payback periods for new solar installations will go up to around 12 years for high-income families.

NEM 3.0 also proposes a market transition credit (MTC) program for the initial years to make sure that the disparity does not put people off solar installations altogether. The MTCs proposed are at $1.62/kW for PG&E customers and $3.59/kW for SCE customers. The lower-income segments will receive a larger amount as MTCs to ease the transition ($4.36/kW for PG&E and $5.25/kW for SCE).

Additionally, to encourage more solar adoption in such low-income segments a $600 million incentive fund is also provisioned which will help community solar projects and low-income households adopt solar.

When Will NEM 3.0 Come to Effect?

CPUC is currently making the final decisions regarding NEM 3.0. The initial proposed decision was released in December 2021. In February 2022, the CPUC decided to hold off on further proceeding for an indefinite period. As per the latest news, the CPUC is set to make its final decision in July or August of 2022.

In the current phase, the commission has been consulting with the various stakeholders including the utility companies, the consumers, climate change and renewable energy activists, and parties. The commission has released a set of questions regarding the proposed changes and the parties have been asked to submit their replies to the questions.

How Has the Community Responded to NEM 3.0

The proposed decision was released in December i=t of ire from the community. Mostly. the changes reduce incentives for people to adopt solar power as the savings come down and payback periods go up considerably. Incentives have been key in pushing California’s net solar power production to 9 GW. These incentives are likely to end with the net billing plan.

Several Californians, renewable power evangelists, and activists took to the streets to protest the proposed changes under the banner of the California Solar and Storage Association (CALSSA). There have also been reactions from other stakeholders and employees in the solar industry. There are several campaigns underway attempting to change the proposed decisions to continue incentivizing solar power. The protestors are claiming that the legislation does not consider the indirect benefits of solar power such as reduced dependency on fossil fuels, lesser emissions, and other such impacts.

How Should You Prepare for NEM 3.0?

Given how radical the proposed changes are if you are thinking of installing rooftop solar panels, the best time is now. Given that NEM 2.0 scheme is still available and you will be eligible for these tariffs for 15 years even when the new tariffs come into effect, it would make sense to install solar now and make use of the rebates available.

Another way to go is by thinking about larger community solar projects rather than individual solar projects. The new legislation has not made changes to community solar programs that generate above 1 Mw of electricity and this investment in these would also be a smart idea.

Lastly, the best way to deal with NEM 3.0 is to make sure that you reduce the dependency on the grid as much as possible. Energy storage systems using batteries allow you to offset the usage of solar power from the moring and mid-day times to peak times post sundown. So by planning your electricity consumption around this, you will be able to reduce the amount of electricity you are taking off the grid thereby saving costs effectively.

Closing Thoughts

NEM 3.0 has been a major source of debate for a few months now. Given the extent of changes being proposed, it is natural to assume that this would massively reduce the benefits rooftop solar owners enjoy today. There are arguments on the other side too as to why the changes make economic sense.

The reality is that the current solar policy has its drawbacks but it has its benefits too. The changes that are proposed intend to balance the scales a bit. But disincentivizing solar is probably not going to help in the long term when there is a dire need to push for more renewable energy adoption everywhere. NEM 3.0 is currently in deliberation and is likely to come into effect later this year. While there are supporters and protestors, the ultimate effect of the program will rely on what final form it takes.

Home Solar Power Battery Storage: Generate Daily Revenue From Your Panels Through Solar Arbitrage

Solar power is one of the most common forms of renewable energy that we find in homes today. Due to the affordable technology and the government’s push, there has been a big jump in the number of homes that are installing solar energy systems in their homes. Currently, solar power accounts for around 3% of all energy produced in the US, and it is predicted to go up in the coming years.

Solar panels and energy storage equipment being more affordable than ever has played a big role in this increase in popularity. For a residential setup, the average cost of installation of a solar system has fallen by over 60% during the period from 2010 to 2020. This along with other federal and state schemes for tax credits and other incentives has resulted in increased traction for solar energy.

There are of course other benefits to consider here. Increased energy costs have been hampering daily life with low-income households having to reduce their consumption. With incomes already hampered by the pandemic, it is natural that power costs will be a worry for most households. Solar power is affordable and it can take your household virtually off-grid. It is also clean energy and hence sustainable. If we are to talk about the benefits of solar energy, there’s enough to fill pages. But this blog has a different purpose.

As more homeowners like you consider solar installations in your homes, there is a real opportunity for some revenue too. Solar arbitrage is what this opportunity is called. With a home battery storage system and some smart planning, you can not just reduce your electric bills. You can get some money back too. Here’s how solar arbitrage can help you.

What’s Solar Arbitrage?

In simple terms, it’s taking advantage of the difference between peak and off-peak rates in electricity and also selling the energy you produce and store via solar into the grid. This may sound pretty complex but let us explain.

The peak tariffs for electricity usually kick in between 4 pm and 9 pm when there is a huge electricity demand. the time from 9 pm to 8 am and 8 am to 4 pm are usually off-peak hours. If you have solar, the difference is that you can get your solar batteries charged between the 8 am to 4 pm slot and use this at a later time.

If you are in California, the Net Metering (NEM 2.0) plan allows you to get credit for the electricity that you are feeding back into the grid at the same retail rates as you are purchasing it. This means that if you can store solar energy in your energy storage system during the day and send it into the grid during peak hours, you can earn peak hour tariffs. You can then use the grid power at off-peak rates to recharge the home energy storage and also for other usages.

For further clarity, here’s how it can work.

The Summer peak electricity rates for weekdays fall between 4 pm and 9 pm and cost about 53 cents per Kilowatt-hours (KWh) (Rates for SCE). The off-peak rates are at 33 cents. If you have a solar battery storage system, the batteries can be fully charged during the day using solar and this energy can be sold back into the system at 53 cents during peak hours. Post the peak hours, you can use the nighttime rates to either charge the batteries again or to use this for your home needs such as running appliances that consume a lot of electricity.

What Do You Need for Solar Arbitrage to Work?

Getting solar arbitrage to work involves understanding your energy needs, energy use patterns, and of course some infrastructure requirements that make this possible. Here are some important things you need.

  • A battery storage system
  • A TOU plan
  • Proper planned usage

Let us look at these things in detail.

A home Solar Power Battery Storage System

The purpose of this is quite understandable. A lot of homeowners tend to install solar panels and no energy storage facility. This would mean that whatever solar power is being produced needs to be consumed and the leftover power will be fed into the electric grid.

But a battery backup system helps utilize this energy at a later time. Battery storage systems are also improving with advancements in battery technology. Today there are different types of batteries available for use and most of these help a great deal in storing and using the energy produced from the solar panel system. While lead-acid batteries are quite popular, lithium-ion batteries are the most popular. Lead-acid batteries are of course cheaper but they have shorter lifespans. The battery capacities are also improving allowing buyers to invest less and store more energy.

The storage capacity of the battery system you need depends on the amount of power you need to power the whole home and also the capacity of the installed rooftop solar panels. If you also need your air conditioning and heating systems to work on backup power during blackouts or power outages, you may need larger capacities of batteries that can store a lot more power

It is also important to have the batteries grid-tied so that the system can be charged either via solar power or via grid power depending on what your preferences are.

There are other forms of energy storage also available in the market apart from batteries but most of these forms cost a lot more and often the amount of stored energy is lower than battery systems.

Planned Usage of Electricity

If you are to take proper advantage of the solar arbitrage, you also need to get a good hang of the amount of electricity you use and when you use it. An energy audit will give you a good idea as to how much power you consume and what appliances or activities consume the most power. This will also help you identify and cut down on power consumption and also fix issues with the electrical systems in your home.

Once you know how and when you consume power, the next step is to plan the usage for solar arbitrage. This would essentially involve trying to move most of the high-consumption activities to off-peak times. Say washing machines or dishwashers can consume a lot of electricity and using these appliances exclusively during off-peak hours will help you save on power.

Time of Use Plan

A time of use plan is critical for this to work. Mostly a flat tariff rate works for you if you are using power off the grid only. If you have alternate sources of power, having a TOU plan may help.

If you do not plan properly, a TOU plan may end up costing you more. However, if you can monitor and regulate your power usage, you will be able to save a lot more and even earn some money by selling electricity into the grid.

Closing Thoughts

Getting solar arbitrage to work for you is not easy. There are of course some level of investments involved and you would also need to be careful with your usage patterns. But at the end of the day, if you can manage this well, you are well on your way to energy independence.

A word of caution is also necessary here. The prospect of earning revenues is dependent on the policies that the local utility provider gives you. California has some of the most attractive policies when it comes to solar power and renewable power due to NEM 1.0 and NEM 2.0. The catch is that the California Public Utilities Commission (CPUC) is currently working on NEM 3,0 which would reduce the amount of credit you can earn from selling into the grid by 40-80%.

Solar arbitrage is a wonderful idea in more ways than one. You move closer to recovering the cost of installation, you save on electricity bills and of course, you contribute to a greener planet by reducing the dependence on non-renewable energy sources.

If you are looking for a solar power system that can take care of all your home electricity needs, you need help from the experts. Enlightened Solar is led by veterans with 20+ years of experience in solar installations. With warranties up to 25 years, we provide you with all the tools to be energy independent. Talk to us today to get a quote.

Do Solar Panels Work At Night? Find Out Here

Are you worried that your solar panels will not be relevant during the night?

You expect to have electricity all day and night when you go solar. So, do solar panels work at night? Solar panels can serve you efficiently during the night. Night solar is possible. You don’t have to worry about power outages or lack of sufficient energy when you have solar.

The sun’s power is turned into electric energy with infrared solar cells. The sun is renewable, and the nighttime solar cells would essentially work the same way as their daylight counterparts but in reverse. 

Let’s examine:

  • What Makes up Solar Panels?
  • How do Solar Panels Work?
  • Can Solar Panels Work at Night?
  • How do Solar Panels Work at Night?
  • Does Solar Work in Cloudy Weather?

What Makes Up Solar Panels?

How-Reverse-Solar-Panels-Work

(Source: PopularMechanics)

The solar panel system is made up of smaller solar cells. After absorbing light from the sun, the light is then converted into Direct Current (DC). It is called photovoltaic (PV) energy. Isn’t it amazing that a solar system absorbs sunlight during the day and efficiently serves a home’s energy needs?

Note that you will need either one or more panels, depending on your energy needs. Remember that a single panel can only serve 1 or 2 small appliances. 

Therefore, it is advisable to contact professional solar panel installers who will analyze your energy needs and advise on the solar panels you will need to be installed.  The energy needs are different in every home; some use more and some less. 

The goal is to save on electric bills, which will happen. But as much as solar panels will save you on paying hefty electric bills every month, you should also use these energy-saving tips to ensure that you do not waste any energy. 

Solar panels have been of great significance over the last 20 years, with high adoption rates in the USA. The increase in popularity has stemmed from homeowners and business people.

The high number of installations by homeowners indicates the numerous advantages of solar energy.

Therefore, to create a solar system that can power a house or building, you would require an array with many solar panels connected.

And the thing about solar panels is that they are pretty handy by day when the sun is out shining away. 

On the other hand, most homeowners think it is pretty useless at night in the dark. But that is not the case. So, we are here to show you that your solar panels are fully functional even at night.

According to research done by Jeremy Munday, a professor at the Department of Electrical and Computer Engineering at UC Davis, and a colleague, there is a newly designed solar energy technology that works even at night.

The researchers have designed a new solar cell that can generate up to 50 watts of power per square meter at night under certain conditions. That is about a quarter of a standard solar panel’s output during the day.

Unlike a photovoltaic cell, the infrared solar cell generates power by radiating heat to its surroundings. 

When pointed at the night sky, it emits infrared light because it is warmer than in outer space.

How do Solar Panels Work?

When solar panels convert the sunlight absorbed into DC power, it is sent to the solar system’s inverter. After that, it is converted into alternating current (AC). So your household runs on the AC. The plug is when the energy produced is not consumed; it is sent into battery storage or directly to the electric grid.

USA-Electricity-Generation-Capacity

(Source: EIA)

As usual, solar panels depend entirely on sunlight to convert to electricity. When you think about installing solar panels in your residential home, make sure that you engage solar installation professionals who will visit your home and do an assessment.

So, what kind of assessment?

They will ensure that the environment is clear of bushes and trees that may tamper with the solar panels while on the roof. Shading tall trees will prevent it from accessing maximum sunlight and may not be efficient for your energy needs.

It is clear that solar panels have taken the world by storm over the last decade, and their popularity will not slow down anytime soon. Although these systems aren’t new, many people still haven’t figured out how the technology works. How do solar panels produce electricity? Does solar work on cloudy days?

From cloudy weather to dwindling day length, it’s not just the dusk that stops them from providing a viable renewable energy source for people in many parts of the world. 

Can Solar Panels Work at Night?

Many people looking to go solar often inquire; can solar panels work at night? It is a concern for many residential homeowners looking to go solar. 

Note that solar panels can fully serve your energy needs efficiently at night. 

Night solar is an essential aspect of every residential home. As a homeowner, you use a lot of energy at night. It is because that is when everyone is at home. 

In addition, all lights are on most of the time, you may need a heater during the cold season, and you could need to dry laundry. Therefore, it’s a great concern that you will need energy efficiency during the night.

Note that your solar panels can generate enough electricity for your night consumption. However, as a homeowner, you will need to invest in batteries for energy storage. 

Imagine that your solar panels can store enough energy for use at night and further sell the extra power to the grid. Then, when you have a good relationship with your utility company, you will sell the extra energy and earn income from it. 

Note that, every night, heat from the sun escapes the earth in infrared radiation to keep the planet at a constant temperature.

The solar intensity at night is high. After the sun heats the solar panels, the energy is stored day and night. Solar panels can work at night because they absorb and produce energy during the day.

After experiencing energy sufficiency during the day and night, homeowners ask, why do I have more energy at night? But, you know what, when there is enough sun during the day, the more the heat is absorbed and converted to electricity. 

With battery storage, you will have a lot of energy to use at night. In addition, California is known for its long sunny days, making it favorable to go solar in California.

Therefore, if you are looking at saving on electric bills, you know that the solar solution is one of the most popular. So, how does this happen? With solar panels installed in your home, you can generate your power. 

In addition, at the end of the month, you will have reduced your electric bill. Your electric bill is reduced because your energy requirements are served by the electricity generated by your solar system. 

So, How do Solar Panels Work at Night?

Solar-Reverse-Process

(Source: Research Gate)

Solar panels tend to make extra power during the day when the sun is out. So, solar customers use solar battery banks to store energy or net metering to balance things out and keep the electricity running after dark.

Also, the new technology is making things easy. The nighttime solar cells can essentially work the same way as their daylight counterparts but reverse. Every night, heat from the sun escapes the earth in infrared radiation to keep the planet at a constant temperature.

Solar Batteries

Every homeowner looking to go solar needs to also think about solar batteries. As you may have discovered, the energy produced on a sunny day may be in excess. 

Therefore, you need to have storage for the extra energy that is not consumed.  It comes in handy during the night when the solar panels are not producing any power. Then, you will be able to use the stored energy. 

Net Metering 

Just note, if you do not have battery storage, there is an option for using your excess energy at night. That is through net metering. With net metering, you don’t have physical energy storage at your home.

Instead, the extra power your solar panels produce is exported to the utility grid during the day. You receive credits for this power, which accumulate in your account.

Later, at night, or any other time you use power from the grid, you can use your credits to offset the energy cost.

In other words, net metering lets you store the economic value of the excess power you produce, which you can use to reduce or even altogether cancel out your electric bills. 

Does Solar Work in Cloudy Weather?

Solar-Benefits

(Source: QuotesGram)

Does solar work on cloudy days? Traditionally solar panels have suffered from the effects of changeable seasons, and they don’t produce energy at night. 

Your solar system can serve you even in cloudy weather. The only difference is that it will not be as effective as a sunny day. Remember, solar depends on sunlight to produce energy; therefore, it will make less on a cloudy day. 

However, we’d love for you to know; although solar panels work better on sunny versus cloudy days, solar panels don’t work best in scorching climates. The output starts to fall if the temperature goes above 77 degrees fahrenheit.

The extra energy that is not used helps when the climate is cloudy and the solar panels do not produce enough energy. You can now see the importance of investing in solar batteries as the energy stored is used when there is minimal sunlight to power the solar.

The sun is renewable, thus helping in the daily production of energy. Today may be cloudy, but tomorrow may be sunny, and the sun will charge your solar panels. 

That is why the government of California has been advocating on going solar to save the environment. They also have enticing solar tax credits and rebates for homeowners who choose to go solar. The sun does not emit harmful emissions, but rather it is clean energy compared to the fossil fuels that produce electricity.  

This is the End of the Article, But It is Only the Beginning of Your Journey

What you should do next is go ahead and inquire about a solar panel installation. Your solar panel system can generate power at night using the new reverse solar panels technology. In addition, solar batteries can store the extra energy produced for use at night.

The sunlight can heat the solar panel hence generating enough energy for use in the household. Therefore solar panels can work at night, and you are also eligible to have more power at night. 

You must engage experts for your solar installation services. Remember that a solar system can serve you for over 20 years. The critical success to efficiency and durability is in the installation. Ensure that you get a solar installation company that knows what they are doing.

Do not be duped by brokers who do shady jobs because you will end up spending more money. Enlightened Solar is your go-to installation company. 

We have many years of experience installing solar in Orange County. We understand solar, and we can advise you on the solar panels you need depending on your energy consumption.

Contact us today for a quote! Let us work together.

Does Installing Solar Panels Increase My Home Value?

Are you concerned about whether the installation of solar panels will have a positive value on your home? 

Solar panels can add value to your property. You don’t have to overthink it, especially if you go solar in Orange County. We will discuss the ins and out of home value increases due to adding solar panels. Many people looking to buy or rent property opt for homes with installed solar panels.

So, how much will your home value increase in 10 years?  Installation of solar panels has grown in the last five years in popularity and it has been attributed to protecting the environment and saving on electric bills

Different regions have different property rates, hence the question; Is there a guaranteed rate of home value? Remember that self-installing solar panels is not advisable, especially if you are going to be doing a roof installation.

US-Solar-Power-Generation

(Source: CNBC)

Let’s examine:

  • How Much Do Solar Panels Increase Home Value?
  • How do Solar Panels add Home Value?
  • Are Home Buyers Looking for Homes with solar panels?
  • Advantages and Disadvantages of Buying a Home with Solar Panels
  • Property Taxes
  • Are Solar Panels Worth it for Residential Homes?
  • FAQs on Home Value Addition by Solar Panels

Before installing a residential solar system, you may stop to wonder: Do solar panels increase home value? The answer is a resounding yes.

Here, we’ll go over how many solar panels can increase the value of your home, as well as how that increased value affects property taxes and whether buyers are looking for homes with solar systems. 

With this knowledge, you can make an informed decision about whether solar panels add value to your house.

How Much Do Solar Panels Increase Home Value?

Many homeowners, buyers, and appraisers know that installing a residential solar system can increase a property’s market value and give it a guaranteed rate of home value. 

You need to understand that solar ROI is huge and worth it. So when you think of installing your solar panels, make sure that you find a professional solar company for solar quality installation services to ensure that it is done correctly and will generate the most value.

In addition, a study confirmed that solar installations could increase a home’s resale value by 4.1% of the home’s value. 

Where do these figures come from, exactly? To begin with, consider that homes with solar installations tend to sell for about 4.1% more than homes without. A research study from Lawrence Berkeley National Laboratory reveals an increase in the resale value of approximately $5,911 for each kilowatt of solar power installed.

So, how much do solar panels increase home value? Let us go through a chart that outlines the average figures that increase the home value:

Home Solar System SizeAverage Amount Solar Panels

Increase Home Value*

4 kW$23,644
6 kW$35,466
8 kW$47,288
10 kW$59,110

*Figures based on a study by Lawrence Berkeley National Laboratory.

Note that these amounts are roughly in line with the total cost of a solar panel system, which may just be the incentive you need to take the plunge into solar power finally. The solar ROI is worth every penny that you invest. 

So, what is it that contributes to the home value addition when you invest in the solar system?

Solar-energy-floor

(Source: USNews)

How Do Solar Panels Add Home Value? 

Installing your solar panels is the best financial decision you will ever make. Not only will you save on energy consumption, but you also can earn more money with the extra energy sent to the grid. It’s impressive that your utility company can pay you for extra energy transmitted to the grid.

Further, you can apply some energy-saving tips such as switching off the lights that are not in use; it will help you in getting a further reduction in your electric bills. Finally, several factors influence the value-add of solar panels. Some of the most common include: 

Geographic Location

Note that different regions in the U.S.A have diverse electric costs. Therefore, depending on where you live and the cost of electricity, you can rate the value that a solar panel brings to your home. 

In addition, geography can influence the amount of sun exposure you get and the social benefits of installing solar power. For example, Orange County in California has many people investing in solar annually because of the amount of premium sun the area receives. 

Going solar in California is perfect due to the sunny climate all around the year. The available government incentives and tax credits are also a worthy reason to go solar. Due to this, many organizations offer grants for installing solar panels. The goal is to protect the environment by ensuring that every home is well secured with solar panels.

It makes it valuable for residents to invest in solar energy. In addition, the incentives that come with it are an excellent motivator for homeowners to invest in solar.

Local Solar Installation Prices

Another geographic factor is the cost of getting a new system in your region. Let us be real here, do not settle for mediocre installation services! You will need to find high-quality solar installation providers who know their job. 

That said, note that the cost of installing solar panels is not cheap if you hire a company that knows how to do the job well. That all adds up to the home value that solar panels add. 

Buyers find it affordable to buy homes with already installed solar panels. It saves them the hustle of engaging installation companies and supervision and making common solar shopping mistakes while shopping for solar. 

System Output

It is essential to know that a more extensive system with more energy generation will provide more added value. The more the solar panels, the more the kilowatts and thus more energy produced. 

If your system is highly efficient on residential energy needs, it adds more value to your home.

System Age

If you have an older solar system, you’ll need to account for depreciation. Older systems won’t add that much value to your home when you sell it, as there’s a higher chance the buyer will need to do repairs or replace parts sooner rather than later. 

That also sums up with the old roof. Again, do not install solar panels on an old roof because you will not be increasing the home value. But, you may ask, how much does a new roof increase home value?

Note that quality roofing is a sound support system for solar installation. 

System Replacement Value

Along the same lines as system age, how expensive or challenging it is to find replacement parts of your system affects its added value overall. 

Remember that solar panel maintenance is an essential aspect of the investment. Sometimes you will need to replace some parts. How available are they in the market? 

This will determine whether it is worth it to have solar panels. You need to invest in a solar system that guarantees you a quick replacement when needed. Also, self-installing solar panels is not advisable as you may tamper with the quality.

Are Home Buyers Looking for Homes with Solar Panels?

Benefits-of-Solar-Energy

(Source: SEIA)

When figuring how much solar panels would increase your home value, it’s prudent to think just how enticing a solar system is to buyers in your community. Of course, it will vary by geography and, precisely, by local knowledge on solar.

Simply put, buyers won’t be as willing to invest in a solar system if they don’t understand how solar panels work or how they can benefit from them. For instance, the residents of California know the importance of buying homes with already installed solar panels.

There has been education on the importance of installing solar panels. Therefore, everyone is inclined to invest in the system. In addition, there are grants for installing solar. 

That said, some data shows homeowners to be pretty open to energy efficiency features, for the most part. Solar panels save you on electric bills, protect the environment, earn you money, and most importantly, if you decide to sell your home, it will be more valuable.

Some earlier data from the National Renewable Energy Laboratory shows that homes with solar panels sell 20% faster and 17% more than those without. 

Advantages and Disadvantages of Buying a Home with Solar Panels

The good news for home buyers is that even if solar panels raise the price of your new home, their presence is more positive than negative. It is because solar panels are generally considered a good return on investment. 

Since their upfront costs are usually much higher, having them already in place is not likely to incur any further investment above a raised asking price.

Investing in solar energy is one of the best things you can do for the planet. They reduce electric bills and foster energy independence. You’ll also want to inspect and service the panels before you move in to ensure that they are in good working condition.

Property Taxes

When your property values go up, that usually means that your property taxes increase as well. 

The good news is that many states like California offer exemptions and tax credits, meaning that when you install a solar system, your property taxes do not go up, even if your property value rises.

Solar-adds-home-value

(Source: CaliforniaEnergyCommission)

Are Solar Panels Worth It for Residential Homes?

As you weigh the advantages of solar, it makes sense to consider the overall impact on your property value. You’ll also want to take into account factors including:

  • Your Utility Bills Each Month 

If you live in an area with high average electricity rates, you’ll get a better return on your solar energy investment. Remember to apply energy-saving tips to save more energy.

  • The Amount of Sunlight Your Home Gets Throughout the Year 

Some homes are better positioned for solar panel installation than others. If your home is situated at an optimal angle for harnessing the sun’s energy, it makes more sense to go solar.

  • Financial Incentives Available to You 

All American homeowners are eligible for the federal solar tax credit. Still, many states and municipalities have added rebates, low-interest loans, and other financial incentives for their residents as well. So make sure that you save and gain. 

As we finalize, we’d love to take you through some of the Frequently Asked Questions on solar panels increasing home value.

FAQs on Home Value Addition by Solar Panels

Do solar panels hinder the resale value of your home?

No. Installing a home solar system increases the resale value, particularly if you have a high-efficiency system that helps lower monthly energy bills.

Multiple studies have shown that buyers are looking for more energy-efficient homes to reduce their carbon footprints and help save on electricity bills.

Do Bigger Solar Installations Present a Better Value-add than Smaller Systems?

Bigger solar installations may present a better-added value than smaller systems. However, it’s not the number of panels that matters so much as the power output in many cases. The solar panel needs to present the required efficiency in the home. 

What Value Does Solar Add to the Home?

A few studies have shown that solar installations increase a home’s resale value by about 4.1% of the home’s value. However, this can vary quite a bit from one geographic location to another.

Am I Able to Save Money with Solar Panels?

While the initial investment may be steep, solar panels can help to reduce or even eliminate your monthly electric bills. These ongoing energy savings are an excellent addition to property values.

You Have All the Reasons for How Solar Energy Increases Your Home Value. Now, All You Need To Do is to Go Solar! 

Do solar panels increase home value? We believe you now have an extensive answer. Investing in solar panels gives you a guaranteed rate of return at home value. 

Therefore, it is a worthy cause if you think of installing your solar panels. The solar ROI that you get is worth every penny.

Note that solar panels add value to your house. All you need is a high-quality installation company to work on your solar installation. They will also assess the roofing and the environment to ensure maximum efficiency from your system.

If you are interested, contact Enlightened Solar for all your installation needs. You will also get good advice depending on your home energy needs. 

At Enlightened Solar, we know the need to have an efficient solar panel for your home. We shall also advise you on the solar tax credits and rebates you can apply; let’s make your work easy.

Contact us today for any queries and also get a quote!

How to Get out of a Solar Lease Contract

Are you confused about how to get out of a solar lease after the installation process?

Most homeowners with solar systems installed over five years ago secured them on lease. This was done due to the lack of proper financing options available in the market. Today, we are enjoying the option to buy solar panels in cash or loan and still enjoy the numerous benefits that come with it. Whether to buy or lease solar is in the hands of the buyer. Before we go further, you may wonder:

Solar-lease-process

(Source: California Energy Commission)

What is a Solar Panel Lease?

A solar panel lease involves getting a solar system for your home for a certain period of time and that the solar system is not permanently yours, but the property of the solar provider. How does a solar lease work? As a buyer, you will sign a solar lease agreement to stipulate the terms of use. There are various advantages as well as solar lease disadvantages that you should be keen on as a homeowner looking to invest in solar. 

It is important to use a solar lease calculator to get the worth of the transaction. Most times, buyers realize it’s a disadvantage compared to buying a solar system and, at some point, you may feel like opting out of the solar lease. Note that, there is a specific procedure to do that. In this article, we shall discuss how to get out of a solar lease. 

Let’s examine:

  • Why do Homeowners get out of a Solar Lease
  • How to Get Out of a Solar Lease: Everything You Need to Know
  • When moving to a new Location
  • Revoking Your Solar Lease Before the Setup Process

Why do Homeowners Get Out of a Solar Lease?

Many homeowners are looking for ways on how to get out of a solar lease. There are many reasons why solar panel users would want to get out of their solar lease. It could be because owning a solar system is much more profitable compared to leasing. The many changes that the world has thrown recently have allowed homeowners to use a solar lease calculator and analyze the worth it brings home. 

Remember that the goal is to have access to premier solar for your home. Let’s explore a few of the solar lease disadvantages that homeowners might have for wanting to get out of a solar lease agreement

Solar-panels-saves

(Source: SEIA)

Tough Economic Situation

Many people have been driven out of their job or are experiencing major setbacks in the number of hours they once worked. With the economy struggling to improve, now isn’t exactly the most opportune time to be stuck in a lease. While it’s true that your solar panels are likely saving you a sizable portion over what you’d normally be paying your electric company, owning your system is always better than leasing it.

If you find that your solar panel system just isn’t bringing in the value and savings that you thought it would, it makes sense to want to break the lease. After all, it’s kind of pointless to be paying your leasing company more than what your energy bill costs. Some users may have jumped on board due to a low introductory rate, but eventually discover that they are paying more later on in the life of their lease.

You Are Moving to a New Home

You may be moving to a new home due to various reasons such as a change of job. This is a good reason for wanting out of your current lease. However, you may want to move with your solar panels and some options will guide you in such a move. If this is the case, there are usually options for such an instance. Many times, the leasing company will have an option that lets you relocate the solar panels to your new home. 

Alternatively, the leasing company may let the new homeowner buyout what’s left on your lease. You may also be able to buy the solar panels outright from the leasing company. If you are happy with your solar panel system and want to continue using it at your new location, you may not have to break the lease. It’s best to inquire about your available options and go from there.

Poor Service from the Leasing Company

Benefits-of-Solar

(Source: ResearchGate)

At some point, you may have realized that the service from your leasing company just isn’t reasonable and up to your satisfaction. There have been plenty of customers who later found that the ongoing service and support doesn’t meet their needs. 

If this is the case with your current leasing company, it’s understandable that you would want to get out of your lease. The best thing is to communicate your displeasure for their service, as long as it is legitimate and within reason. That is why I advise hiring a reliable solar provider who is professional and experienced. It will save you from making changes that are costly in the middle of the lease.

You may find that you have clear grounds for getting out of your lease early. If you have found that this is true with your leasing company, keep a record of the issues you have faced since signing the contract. It will make it easier to show your reasoning for wanting to get out of the lease. Remember that you will not be the first one to pull out, there were others before you.

The Need to Cancel After Installation

If you have already installed your solar panels and suddenly feel like canceling the lease, it’s still okay. There are many reasons why this could happen. It could be you are selling your home and the new owner is not interested in the solar system, or you just want to opt-out and hire another provider. In any case, you shouldn’t have any trouble transferring your lease to the new homeowner. If that isn’t something the new homeowner is interested in, you could purchase the remaining value of the equipment. 

Depending on where you are in your lease, this may be an option that is listed within your lease. And if there isn’t a date laid out for when you can do this, many leasing companies will let you get out of the contract by buying the equipment at fair market value. If this is an acceptable option, you can look forward to the price going down the longer you are in the lease.  

Not only is the market price taken into consideration, but so is the time that the system has been used. Both of these points factor in the final total cost of the buy-out option, so you may not have to pay as much as you are thinking.

Canceling Before Installation

If your solar panel system has yet to be installed, you may have recourse for getting out of your lease with the leasing company. Many of these companies have windows that allow you to cancel your contract before the installation begins. Furthermore, if you act within a reasonable amount of time, you shouldn’t have to worry about being penalized in any way.

The timeframes differ among each leasing company. But on average, your window for getting out of your lease is somewhere around 30 days after you have signed the contract. It’s also important to point out that most leasing companies’ contracts tell you what is allowed for breaking your contract early.

Always be sure to thoroughly examine your contract before signing so that you know what to expect. You may have rights that allow you to cancel your lease early.

After finding out your reasons to opt-out of a solar lease agreement, the next question is how do you get out of a solar lease.

How to Get Out of a Solar Lease: Everything You Need to Know

In this segment, we’re going to express different scenarios and the options that favor you as you opt-out.

When Moving to a New Location

When you’re selling your property, depending on the contract agreement when you negotiate a solar lease, you have a few options for meeting the lease obligation before the termination of the contract. Such options include the following:

Purchasing the Solar Panel at the Current Market Price

Did you know that buying a solar panel is the best option? It may be expensive initially, but in the long run, it saves you a lot of money. Many lease contracts do not precisely indicate an amount of purchase; however, they state that an experienced examiner will designate the fair market value at the period of purchase.

Hence, it’s necessary to look into the entire period your solar system has been in use, as well as the present market options. Please keep in mind that your system is tied down to an asset of generating power, so the amount of purchase might be higher. If you find it favorable go on and do the purchase. Remember that owning a solar system will save you much more than leasing.

Solar-adds-home-value

(Source: Science Daily)

Buyout of a Solar Lease Contract

If you have a few years left to end your solar lease, you may consider prepaying the balance on the outstanding lease and have the solar panels either left at or lifted from the house. Your solar company must have included a buyout price and period in their contract.

Nevertheless, this might not often be the case. Typically, a buyout is granted after five to seven years of the lease. We would recommend that you carefully read your lease agreement for more information. 

It also stems from the initial process while hiring the leasing company. There are many mistakes that buyers do hence ending up with unreliable service providers. You should stay on the safe side that benefits you.

Transfer a Solar Panels System from One Residence to Another

In case you are relocating, some leasing firms offer an alternative to transferring a solar panel system from one residence to another. However, before the start of the process, you should ensure that the new rooftop is in excellent working condition to reinforce a rooftop solar system securely.

Plenty of solar leases come with an additional charge for the removal and reinstallation of the system. Fundamentally, you’ll require the confirmation of your homeowners’ association, utility firm, or local government commission, to set up a solar system on a new rooftop.

Transfer of a Solar Lease

Alternatively, you may consider transferring the lease to a new homeowner so that you can get out of the solar contract. So how do you do this? Several solar companies have a service transfer specialist who will assist you throughout the entire procedure of ensuring your lease is passed on to the new homeowner.

Regardless, some buyers are always reluctant to accept this solution. But, the good news is that you can minimize the selling price of the property by the amount of the transfer and wrap up the sale.

On the whole, you might want to look at a buyout first if you have plans of selling your residence soon. If you have the potentiality of a quick buyout, you can settle your lease and possess the solar panel system yourself. See why it is a good option to spend more and own the solar panel? It will save you the trouble when you need change. 

In addition, if you own solar panels, your home value goes up which is an advantage for you while selling. Normally, people are looking to purchase homes that have already installed solar panels to avoid the hustle of self-installation.

Meanwhile, if the amount of buyout is considerably less expensive compared to the lease period’s monthly payments, it’s an economically acceptable option to opt for.

Revoking Your Solar Lease Before the Setup Process

In case you wish to get out of a solar lease because you have regrets getting one, you might be able to revoke it before the solar panel system installation. The period to revoke leasing without any costs primarily relies on the policy of the solar company. That is why you should be very keen on the terms of the contract before signing.

Remember that the solar system is valuable in saving you electric costs by the use of renewable energy. When purchasing, most buyers ask what is a solar lease? While you may be duped into signing a lease, we’d love you to know that it is not the best long-term option. Whether to lease or buy solar should be your choice as a buyer. 

While revoking your lease, the time frame is 30 days after you subscribe to the solar lease agreement.

If you have signed the solar lease agreement just to realize later that you need to fix the roofing, what do you do next? In this case, the solar firm allows the end of the contract under the stipulation of “unforeseen and unanticipated additional costs.”

Substantially, before signing a solar lease, it is essential to consider all the options. Be sure to thoroughly go over all the details so that you can weigh all the options and be well-informed as to whether going solar is right for you.

Conclusion

It’s important to shop around as much as possible. Many times, it just takes finding the right company to work with. If you have a reputable installer, excellent solar panels, and great financing, chances are you will be happy with your service and you won’t want to get out of your contract early. However, if things go wrong and you want to opt out, it’s important to find out how to get out of a solar lease. 

It will help you analyze the solar lease agreement and see what option works best for you. We find that there are many solar lease disadvantages compared to the advantages. While hiring a solar provider they should give you all the options on whether to buy or lease solar and you decide. The goal is to get yourself premier solar that will be sufficient for your energy consumption and lower your electric bills.

A solar lease calculator will help you determine whether you will go for a lease or purchase the solar panels. First, you should be able to understand how the solar lease works.

If you need a reliable solar provider, then don’t, look further because Enlightened Solar is here! We have reliable services and have built our credibility over the years. Our clients in Orange County, California have testified to the best services that we offer. We understand all things solar and we shall give you the best advice and installation services at an affordable price.

Contact us today for a quote!

Can Solar Panels Perform in Adverse Weather Conditions?

Are you looking to invest in solar energy and concerned if it will be efficient even on cloudy days? 

Do solar panels work on cloudy days? Worry no more because we have the entire analysis.

When weather rolls into the area, homeowners looking to go solar wonder how well solar panels work on cloudy days. 

Some of the questions often asked to include; how much energy can my solar system generate during cloudy days? What about rainy days? Will my solar system still produce solar energy in overcast conditions? And what about at night; can solar panels work at night?

Despite solar panels needing sunlight to produce energy, it’s important to learn how cloudy conditions can affect the efficiency of solar energy generation. In addition, factors such as partial shade and tree coverage can impact your solar system power output. This is the only disadvantage of solar panels on roofs hence a need for regular checks and maintenance.

In short, solar panels still work in cloudy weather. They just might generate less power, depending on the quality and efficiency of your panels.

Your outdoor solar panel’s performance and efficiency matter. That’s why you want to know if solar panels will work in adverse weather conditions, such as cloudy days, rainy days, or snowy days. This is an important question to ask your solar consultant, as these weather conditions can affect your PV module energy production, and as a result – dampen the return on investment for your solar panels.

Let us examine:

  • Do solar panels work on cloudy days?
  • How well do solar panels work on cloudy days
  • Do solar panels work on rainy days?
  • What is the solar performance on snowy days?
  • What you should do if you live in a cloudy or rainy environment
  • How to Store Solar Energy to Use on Cloudy Days and at Night

Do Solar Panels Work on Cloudy Days?

Solar-panels-on-cloudy-day

(Source: SEIA)

The first thing you should know is that your solar panels will indeed perform in cloudy environments, during rain, and in the winter if and when there is snow. 

How well do solar panels work on cloudy days? They work but the downfall is that they will have lower performance levels.  What matters is how much solar light is being prevented from reaching the solar panels since solar panels need sunlight and solar radiation to function properly. 

For now, let’s explore by taking a closer look at how solar panels can perform better during each of these environmental conditions. You will understand how your solar energy system might be affected by the difference in adverse weather conditions, and the subsequent impact on solar panels efficiency.

How Well Do Solar Panels Work on Cloudy Days?

As long as the sun is up during daytime hours, and your solar panel is exposed to direct sunlight, your solar panels will work on cloudy days. However, the performance of the module will be reduced depending upon how much of the sun’s light is prevented from reaching the solar cell.

It is estimated that a solar panel will typically produce 10% to 25% of its rated wattage during a cloudy day. This does assume the clouds are obstructing a high amount of sunlight. Of course, a solar panel will most likely perform better during partly cloudy conditions, or when it is cloudy only for a short period.

It is important to note, solar panels may have times of increased efficiency during cloudy days. This is caused by a “silver lining” effect, which happens when the sun’s light passes over the edge of a cloud, which results in magnifying the sunlight. This in turn causes the solar panel to experience a temporary boost in performance and power output. Days with rain and snow can experience the same phenomenon as well.

Solar panels will work on cloudy days, just with less efficiency than on a clear and sunny day. That is why you should use batteries to store energy produced during sunny days so that you can use it at night. If you ask, ‘can solar panels work at night?’. Yes, they work at night using the energy accumulated during the day. Further, the extra energy can be sold to the grid. 

In addition, remember to apply some energy-saving tips that will help you maximize electricity usage while still saving. Having solar does not mean that you should have all the lights on when not in use, nor leave the electric appliances on all the time. Saving energy means that you will have more left to use on the days that the production is low.

Solar-Panels-Efficiency

(Source: Green Match)

Do Solar Panels Work on Rainy Days?

Similar to cloudy days, solar panels do also work in the rain but the efficiency is low. This assumes that while it is raining it is heavily clouded outside as well. If this is a sun shower for example, then solar panels may still perform fairly well with low obstruction.

Coincidentally, rain may also wash away built-up debris like dirt and dust that may hinder your solar panel’s performance over time in normal sunlight conditions. So, a little rain may help your solar panel efficiency.

Solar panels can work on a rainy day, with likely temporary hindered performance. 

What is the Solar Performance on Snowy Days?

During the winter season, there is a continuous accumulation of snow on the roof and outdoor solar panels. Once enough is accumulated, snow will vastly hinder the performance and efficiency of solar panels. If the glass window is covered in enough snow, sunlight cannot make it to the solar cell thus vastly decreasing or halting energy production altogether.

Did you know that cold conditions can improve your solar panel’s output? As with most electronics, the cold temperatures can improve performance. Once the temperature drops below 77 degrees F, which is standard for most solar panel ratings, their voltage increases. Although if it’s winter, then your PV array is most likely already producing less energy due to shorter daylight sun hours. 

While it’s snowing, module performance is usually slightly impacted, it’s only when snow piles up on the module that it prevents energy gathering by the solar cell.

However, clearing the module and having snow surrounding the area can reflect more light thus causing the solar panel to exceed its total standard output and effectively producing more power from the increased sunlight.

Solar panels will work on snowy days unless enough snow gathers upon the module and blocks sunlight.

Solar-Pros-and Cons

(Source: Electronics and You)

What You Should Do if You Live in a Cloudy or Rainy Environment

Note that when you go shopping for a solar panel, you will find that a solar array is designed and sized to consider your local weather patterns, sun hours, shade analysis, and more. That is why it’s important to connect with professional solar panels providers for advice according to your location. 

However, if you live in California, you are lucky to enjoy long sunny days, hence a favorable place to invest in solar. A solar energy system with all of these factors taken into account will perform just as well on an annual basis.

How to Store Solar Energy To Use on Cloudy Days and At Night

During days of peak sunlight, your solar panels generate more power than you need. This surplus power can be used to provide extra electricity on cloudy days or at night.

But how do you store this energy for future use? 

Solar batteries

When you have a solar battery in your residence, any excess electricity can be collected and used during hours of suboptimal sun exposure, including during the night and exceptionally cloudy weather.

So, Do You Need Electricity for Solar Panels?

Yes, you need electricity to balance when the solar system produces low energy such as the winter season. You should keep in mind that with a good net metering policy, the days of cloudy weather, rain, snow, or low sun hours will be balanced out through your electric company. Offsetting your energy usage seasonally will effectively keep your electric bill at zero or reduce by how many kWh your system can produce each year assuming it’s less than your total electric needs.

Now, the electricity prices forecast shows that electric prices are rising daily, solar panels come in to help you lower the bills. Another advantage is that you can earn money from the extra energy produced by your solar panels by selling them off the grid. Isn’t it amazing getting a check from your utility company instead of paying them?

Solar-Energy-Conversion-Process

(Source: Research Gate)

There You Have It; All The Information About Solar Panels Efficiency on Cloudy Days. 

Electricity prices forecast a continuous increase in electricity pricing. Therefore, each homeowner is looking to go solar in order to save money. Real time electricity prices are one of the stressors for US residents. Having your outdoor solar panel can be a great saver on your electric bills

Do solar panels perform on cloudy days? If this is your worry, we believe the article has shown you the possibility of solar performance in adverse environments. Some solar panels are also specifically built to perform in low irradiance environments. So, if you live in a northern sun hour zone that receives less solar radiation, then it may be beneficial to consider installing modules.

Most homeowners looking to go solar ask,’ do you still need electricity if you have solar panels?’ We have explained above that net metering enables your home to remain connected to the electric grid, your system will feed excess energy produced to your utility and will generate credit for you. Can solar panels work at night? Yes, the extra energy stored can serve you at night and also when there is a power outage. 

Now that you know solar panels can work even when the sun isn’t directly shining and that there are ways to store your energy for times your panels aren’t producing electricity, you may be more interested in installing your system.

As you go solar, make sure to look at Enlightened Solar, a solar installation company with many years of creditable experience in Orange County, California. We can advise you and answer all the questions you may have on solar panel installation. Visit our website and let us give you a quote!

Our team will visit your home for an assessment to make sure that we advise you on the best possible solutions according to your consumption levels.

Contact us today!

Monocrystalline vs. Polycrystalline Solar Panels: What You Should Know

Have you wondered whether you should go for mono or poly solar panels? Worry no more because we are here with a solution. We are going to give you all the knowledge you will need on solar cells to make the best decision. Sounds good! But first….

The sun provides us with energy all day long—sunlight powers solar panels through the absorption of heat that produces energy. The amount of energy received depends on many factors, such as where we live, how much cloud cover there is, and even the time of year. If you live in California, you are lucky to have the long sunny days. The definition of solar panels means that they produce electric energy from the sunlight. 

What is a solar array?

The solar array starts with solar cells or photovoltaic cells, then gets grouped to make solar panels.

In this article, we’d like to highlight solar cells. When installing a solar power system for a home or business, choosing between monocrystalline vs. polycrystalline solar panels is an essential step in planning. But how do you decide which is right for you?  If you plan on buying a house with solar panels, it’s a great choice. First, however, take a keen interest in knowing the type of solar cells.

In this article, we will break down the difference between monocrystalline vs. polycrystalline solar cells and amorphous solar panels. We will look at the costs, aesthetics, efficiency, and more to help you determine the best choice for your solar installation. You’ll get to understand which solar cell is best for commercial-grade solar panels as well. Let’s get into the content and learn about poly panels, silicon solar cells, and poly vs. mono solar panels. 

Let’s examine: 

    • Defining Monocrystalline and Polycrystalline Solar Panels  
    • Monocrystalline Solar Panels 
    • Polycrystalline Solar Panels
    • Key Differences between Monocrystalline Vs. Polycrystalline Solar Panels
    • Solar Panel Cost
    • The efficiency of the solar panels
    • The Temperature Coefficient of solar panels
    • The lifespan and Appearance of solar panels
    • Amorphous Solar Panels
    • So, Are Monocrystalline or Polycrystalline Solar Panels Best for You?

Defining Monocrystalline and Polycrystalline Solar Panels  

Monocrystalline vs. polycrystalline solar panels are the two most common solar energy systems. They both work using photovoltaic cells made of silicon, the same material used in chips for electronic gadgets. The difference between monocrystalline vs. polycrystalline solar cells is in the making of silicon solar cells.

  • Monocrystalline solar panels: Each solar PV cell comprises a single silicon crystal. These are sometimes referred to as ‘mono solar panels.
  • Polycrystalline solar panels: Each PV cell comprises multiple silicon crystal fragments melded together during manufacturing. You may see them called  ‘poly panels.’

Both types of solar panels have the same purpose: converting sunlight into electricity. However, the crystalline silicon structure of individual solar cells affects their performance and appearance. You can identify the type of panel by simply observing the shape and color of its solar cells. 

Monocrystalline Solar Panels 

Monocrystalline solar panels are characterized by their black PV cells with rounded edges. They have a higher conversion efficiency than polycrystalline panels, which produce more kilowatt-hours of electricity. If you install solar panels yourself, but your space is limited, monocrystalline panels will be more productive per square foot. However, if you buy a house with solar panels, get to know the panels used and if they are efficient for your needs.

While monocrystalline solar panels are the efficient ones, they are also the most expensive since the manufacturing process of single-crystal silicon solar cells is more complex.

Polycrystalline Solar Panels

Polycrystalline solar panels have blue-hued PV cells with straight edges. Therefore, they have a lower efficiency than monocrystalline panels to reach the same power output. However, polycrystalline panels also have a lower price since they are more straightforward.

Polycrystalline panels, also known as poly panels, are very durable. However, they also tend to last for a slightly less period of time than monocrystalline panels. High temperatures also affect them more, which reduces their productivity on the hottest days. Therefore they cannot be counted on as commercial grade solar panels. 

To properly know the definition of solar panels, you need to understand a solar array. The solar array starts with solar cells, then gets grouped to make solar panels.

Solar-system-process

(Source: Semantic Scholar)

Key Differences between Monocrystalline vs. Polycrystalline Solar Panels

Now that you know the basics of mono vs. poly solar panels let’s see the performance of each type of solar panel technology. The following table summarizes the most crucial difference between monocrystalline and polycrystalline solar cells. 

FactorMonocrystalline Solar CellsPolycrystalline Solar Cells
Silicone ArrangementOne pure silicon crystalMany silicon fragments melded together
CostMore expensiveLess expensive
AppearancePanels have a black huePanelsThishave a blue hue
EfficiencyMore efficientLess efficient
Lifespan25-40 years20-35 years
Temperature CoefficientLower temperature coefficient,

making them more efficient in heat

Higher temperature coefficient,

making them less efficient in heat

Solar Panel Cost

The cost of the solar panels is mainly determined by the silicon structure of each solar panel. To produce polycrystalline panels, manufacturers must simply pour molten silicon into square molds, then cut the resulting wafers into individual cells. 

On the other hand, to produce single-crystal solar cells, the solidification of silicon has to be controlled very carefully. Moreover, the complex manufacturing process makes the mono panels more expensive.

There are some things  that you should keep in mind regarding the cost of solar panels; 

  • The cost of inverters, wiring, electrical protections, racking, and labor is the same for both solar panel types.
  • Monocrystalline solar panels have a higher cost when compared to only the panels.
  • Because monocrystalline panels are more efficient, you may get a better return on your investment.
  • As a homeowner, you are eligible for the federal tax credit and incentives whether you choose mono or poly panels.

Solar-Cells-type

(Source: Research Gate)

The Efficiency of the Solar Panels 

As you’ve read above, monocrystalline solar panels have higher efficiency. However, this does not mean that polycrystalline solar panels are inferior products. You can find high-quality solar panels of both types. Here are facts about the efficiency of mono and poly panels;

  • The higher the efficiency of solar panels, the more significant percentage of sunlight is converted into electricity.
  • As of 2021, researchers found polycrystalline panels to have typical efficiencies below 20%. The best monocrystalline panels are approaching 23%.
  • Since their efficiency is lower, you will need more polycrystalline panels to reach a specific kilowatt-hour output per month.
  • All solar panels suffer a temporary efficiency drop when their temperature increases, but monocrystalline solar cells are less affected by heat.

The Temperature Coefficient of Solar Panels

The temperature coefficient of solar panels indicates how many solar panels are affected by temperature. All solar panels are factory-tested under the same Standard Test Conditions (STC) to ensure a fair comparison.

In general, polycrystalline solar panels tend to have higher temperature coefficients, which means they lose more productivity when they heat up. However, as technology improves, affected output solar boards of both types have low-temperature coefficients.

Solar panel efficiency is not a critical factor when plenty of space is available. Since polycrystalline panels have a lower price, installing more to compensate for the lower efficiency is not a problem. However, installing more panels is not an option when you have limited space, so monocrystalline panels will maximize electricity production in the available area.

The Lifespan and Appearance of Solar Panels

Their silicon structure also determines the appearance of solar cells since it picks how they interact with sunlight and how they are perceived by human eyesight. The single-crystal design of monocrystalline cells gives them a black color, while polycrystalline cells are blue.

Both solar panel types have a long lifespan, with a 5-8 years payback period. Solar manufacturers usually offer a 25-year power production warranty, but some brands now come with 30-year warranty coverage.

Mono and poly panels are the most popular for homeowners. There is one category of panels that we want to introduce you to;

Solar-Types-Efficiency

(Source: SEIA)

Amorphous Solar Panels

You should know about Amorphous cells because they offer higher efficiency than mono and poly panels. They are your most efficient cell in the market today, although they require twice as much surface area for the same power output as a monocrystalline panel. However, they are more flexible and can handle higher temperatures better.

Amorphous cells are constructed from a fine silicon layer, enabling solar panels to be more flexible and lightweight. Compared to poly or monocrystalline cells, amorphous cells can withstand higher temperatures without output being affected.

 Amorphous cells perform better in low light conditions than even the most efficient monocrystalline panels. They can conversely absorb a wider band of the visible light spectrum due to the uni-solar triple-junction cell technology.

So, Are Monocrystalline or Polycrystalline Solar Panels Best for You?

Each type of solar panel has its pros and cons. However, you can get an excellent return on investment with both. Now that you have the differences between the mono and poly solar panels, consider the following factors when picking one for your home to make your choice easier.

If you want solar panels with color, remember that mono panels are black, while polycrystalline panels are blue. 

The exact dimensions of home solar panels depend on their brand and manufacturer. Therefore, space is essential as you shop for solar panels. The typical sizes are 65 inches by 39 inches, equivalent to 17.6 square feet per panel, but monocrystalline panels offer more watts per square foot. 

Here is how you can install more kilowatts in a given area by using monocrystalline panels:

  • You may find that a polycrystalline panel produces 300W, while an equally-sized monocrystalline panel produces 350W.
  • If you have space for 20 of them, you will reach 7 kW with the monocrystalline panels but only 6 kW with the polycrystalline panels.

Composition-of-a-solar-cell

(Source: EEPower)

Look at Your Financing Options

Polycrystalline solar panels are more affordable, but monocrystalline panels are more productive. If you have access to a solar loan with favorable interest rates, you can finance your solar installation and pay the loan off with the money you save on utility bills. In this case, the extra cost of monocrystalline panels is not an issue.

Also, make sure you compare several solar quotes. Monocrystalline solar panels are more expensive individually, but you must also consider other system components and installation costs. There may be cases in which a completed installation with monocrystalline panels is cheaper, even if a single panel costs more.

Frequently Asked Questions about Mono and Poly Panels

Which is more expensive- monocrystalline vs. polycrystalline?

When comparing the price of individual solar panels, monocrystalline products are more expensive. However, when comparing quotes for completed solar systems, you may find similar costs per kilowatt among both technologies. It is because, due to their high-efficiency rates, you’ll need to buy fewer mono panels overall.

What is the difference between polycrystalline and monocrystalline solar panels?

Polycrystalline solar panels have blue cells made of multiple silicon crystals, and they are less efficient but more affordable. On the other hand, monocrystalline panels have black cells made of single crystals, and they offer higher efficiency at a higher price.

What is the price difference between monocrystalline and polycrystalline solar panels?

The price difference between mono and polycrystalline solar panels varies depending on the exact solar panel models being compared. However, the price difference is generally comparable to the efficiency difference. For example, monocrystalline panels are around 20% more efficient, costing about 20% more.

There You Have It; You Have All the Information You Need to Know on the Different Solar Cells

Now you know the difference between monocrystalline and polycrystalline solar panels. Both monocrystalline and poly solar cells have specific pros and cons, which means the better choice for you will depend on your particular project. For example, monocrystalline panels are recommended when there is limited space and are willing to make a significant investment to achieve top efficiency. On the other hand, polycrystalline solar panels are recommended to reduce upfront costs, and when space is not limited.

Investing in solar energy adds value to your home. Most people prefer buying a house with solar panels. It saves them the hustle of installing solar panels. However, you must hire a reliable solar installation company to ensure that your solar is efficient.

When you hire a professional solar provider, they will be able to explain the mono vs. poly solar panels. To make the right decision, you have to know how much energy you use at home. It will help if you get a recommendation for solar panels that fits your needs. Then, you will apply energy-saving tips that will help save energy and hence use less electricity.

Enlightened Solar is a solar installation company in Orange County, California. We value our clients, and we have constantly built our trust with them. We understand the value solar panels bring to your home, so we make this journey valuable. 

Contact us for a quote!