Considerations and Preparation for Home Based Solar Energy - By Anthony Ricigliano

Considerations and Preparation for Home Based Solar Energy - By Anthony Ricigliano

Articles by Anthony Ricigliano: Some advance planning for the installation of a solar energy system in a home can go a long way toward getting clean energy solution that fits within a budget and while delivering plenty of power. Not surprisingly, the cost of the system will be directly related to the power requirements of the home. Due to the expense of a system as power requirements increase, reducing a home's energy load by switching to energy efficient appliances, heating, and/or air conditioning can make a material difference in energy usage and reduce the cost of the solar energy system prior to its installation.

Rebates and tax credits provided by state and federal agencies, while not as large as they once were, can also shave expenses on a solar energy system. The biggest consolation here is that advances in the systems have reduced prices considerably. Still, the systems are relatively expensive, even after rebates and tax credits are applied. Costs for systems run, on average, at about $10,000 per kW with a medium sized home using approximately 1.5kW's. The amount of credits and rebates roughly equates to one third of the total cost of the system, taking a typical cost of $14,000 to $15,000 down to approximately $10,000. A more expensive system servicing a higher demand load would see reductions of approximately the same percentage.

Additional considerations:

* Energy independence in the form of a solar energy system puts a greater price tag on the resale value of a home and is increasingly preferred by buyers.

* Financing of a solar energy system may be included in the purchase price of a home.

* As energy prices rise and the cost of panels and other equipment decreases, solar energy systems look better as an investment.

* Solar systems used for water heating purposes are relatively inexpensive, running at $2,000 to $4,000.

The overall cost of solar energy systems means that homeowners looking to add them are doing it for environmental reasons first with investment reasons ranking a distant second. Advances continue to bring equipment costs down and the cost of the fuel for the systems will always be free, so there's good news on that front. The biggest challenge for mass adoption of solar energy systems is that their cost per kW is still very high relative to the cost of traditional electricity.

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