While the environmental benefits of solar electricity are well established, many homeowners are surprised to learn that solar is also a smart financial investment. When Point Loma homeowners Carl and Kathy Darnell installed a 2.1-kilowatt solar system on their home in June, they did so for financial reasons.
“What motivated us to invest in solar electricity was a combination of environmental awareness and a desire, as we near retirement, to protect ourselves from future rate increases from SDG&E,” said Carl Darnell. “What made it possible is the California Solar Initiative (CSI) rebate and the federal tax credit. With those two offsets, we need to save less than $50 each month to pay for the system.”
Many homeowners who invest in solar electricity realize a positive cash flow from Day 1. This is because the payments to finance the system are often lower than the homeowner’s monthly electricity bill. The extra cash that is freed up by the monthly and yearly electric bill savings can be set aside for college tuitions, family vacations, retirement or other needs.
“We are ecstatic with the decision to go solar thus far,” said Carl Darnell. “Every time I glance at the digital readout that shows how much electricity we’re generating, or watch our electric meter running backward, I know we made the right decision.”
For many, the most attractive benefit of solar electricity is locking in their future electricity rates. Homeowners who opt to use solar energy protect themselves against future rate increases and lock in their cost of power at the current rate over the long run. Solar energy is also a great option for families, because with a fixed cost of electricity it helps many parents plan their monthly bills.
A solar electric system on a typical residence eliminates 8,474 pounds of carbon dioxide ” the equivalent to the emissions of a car driving 9,372 miles in one year. 1.2 acres of mature trees would be needed to absorb this amount of carbon dioxide.
The size of a solar electric system (measured in watts or kilowatts of energy production capability) depends on the number of solar panels and can range in size from 10 panels to over 100. The number of panels needed is determined by the electricity usage of the home and the amount of electricity the owner wants to offset with the system. A solar electric system can be designed to produce all of the power consumed by the home, thereby eliminating the electricity bill altogether or it can offset only a portion of the bill.
Many Peninsula-area residents are encouraged to invest in solar electricity because of the building restrictions it places on their neighbors. According to the California Solar Rights Act, a homeowner with a solar electric system has the right to full access of the sun. As a result, their neighbors are legally banned from building homes or other structures that would possibly cast shading over the solar electric system. This is appealing to homeowners who want to preserve their views and prevent their neighbors from building tall homes that cast shade over their house.
Shade dramatically reduces the efficiency of solar electric systems, and thus all systems are designed to incur minimal shading throughout the day. The California Solar Rights Act also prevents your HOA from denying you permission to install a solar electric system.
Most homeowners and business owners are able to afford solar electricity because of the generous state rebates and federal tax credits that offset about 30 percent of the out-of-pocket cost. At today’s current electric rates, a typical system takes between 8 to 12 years to pay for itself in savings. However, as the electric rates continue to increase, the payback time will also shorten significantly.
For information on California rebates, visit http://www.gosolarcalifornia.ca.gov/index.html.
Inspired by generous rebates offered by the government, increased popularity of green building, and SDG&E’s constant rate hikes, residents of Ocean Beach and Point Loma are beginning to seek alternative solutions to the problems caused by increasing energy consumption and skyrocketing bills. With San Diego enjoying over 300 days of sunshine annually, the opportunity to tap into solar electricity is enormous and Peninsula-area residents are starting to take advantage of this proven technology.
” Maxwell Dworkin represents the San Diego division of REC Solar (www.recsolar.com), the nation’s leading installer of residential and small commercial solar energy systems.