How Cost-effective is it to install solar at home the Long Run?

A residential solar energy system is a smart investment that comes with the promise of guaranteed long-term savings. Despite the high upfront cost, the expenditure or you may call it an investment is offset in just the initial few years through sizable energy output, significant net cost savings, and a hassle-free maintenance experience. In addition to being a clean, renewable source of energy that eliminates carbon footprint, solar energy is actually getting more affordable and rewarding than you think.

Cost of Installing a Solar Panel at Home

The average cost of a residential solar panel installation varies from state to state in India. Several state governments are offering financial support and subsidy schemes to make the cost of rooftop solar installation affordable for as many homeowners as possible. Here is a sample of the subsidy structure by IPGCL  (Delhi DISCOM) for their last tender (May 2020) for residential rooftop solar systems. 

In earlier times, a small capacity solar PV system used to be enough to power a home. In the current times, India’s domestic energy consumption per capita is increasing and we use a lot more units of electricity today than in the past. Apart from the usual home appliances that we use, we use a lot more heating and cooling devices, smart devices, electric vehicles than before.  Hence, a 3 kWp solar system generating 12 to 15 units per day is the minimum you would need to run your home efficiently. For a bungalow with 4-5 ACs or a big farmhouse, a 5KWp system or above would be a better choice.

Maintenance of Rooftop Home Solar Panel

Routine maintenance of your solar batteries and the solar PV system will allow timely detection of potential repairs, security concerns, and signs of damage. Have your solar installer inspect the system’s wiring and electricals at least once a year. The preventive maintenance would involve inspecting fittings, electrical conduits, visible electrical hardware, and ground conductors as well. You will also need to keep your glass PV solar modules clean of any dust, debris, or bird feces that may accumulate over time. Make sure to clean your PV modules with a wet cloth once a month or every fortnight if you live in dusty areas for optimum generation. Note that the solar system should be on switch off mode when you attempt self cleaning. 

Your rooftop solar system uses a kind of mild steel rack system to be mounted. Cleaning and checking the racking for signs of damage, loose hardware, and debris accumulation should be performed once every year to prevent any uprooting of solar panels from the racking during an event of extreme weather like a storm or heavy rains.

Your solar batteries also need professional maintenance to ensure efficiency and extend their life. In addition, a little upkeep done routinely will keep your batteries in good condition. During winter, your lead-acid batteries will also need a refill of distilled water every 2 to 4 weeks. Also, monitor the battery charge, and if found flooded, apply an equalization every 90 days. 

Energy Output of Solar Panel

Power output is a key factor in selecting the right residential solar panel system. Also, when installing a solar system in your home in India, the price you pay is based on the proposed solar system capacity per kilowatts. 

Calculating the accurate electricity generated by a rooftop solar PV system can be a complex math exercise, but you can estimate it yourself for your home if you know your monthly electricity bill through various solar calculators. In the Indian scenario, for every 1 KWp of solar system,  an average of 4 kWh (units) will be generated per day, accumulating to 1,400 to 1,600 kWh in a year. This estimate may differ from the actual generation as meteorological conditions affect solar power generation capacity. Many other factors like the home’s location, the orientation of the roof, solar panel efficiency, and ambient temperature affect solar energy production, which is taken into account by the solar installers when they give you the first proposal after the technical assessment or a site visit. 

Net Savings in the Long Run

The overwhelming 6-figure cost of a residential solar panel installation keeps most homeowners on the fence. Investing in rooftop solar installation also brings attractive returns and eventually the system pays for itself with the huge cost savings in the electricity bill. With a grid-connected solar system, you will not only do away with fluctuating electricity prices but can also earn electricity unit credits via net metering by sending any excess power generated back to the grid. The DISCOM will then charge you only for the net units consumed in a particular month thus reducing your electricity bill by a great extent.  

Thanks to the little maintenance and a life expectancy of 25-30 years, you can expect a payback period of just 5-7 years on most solar PV systems available in the market. The Internal Rate of Return (IRR), expressed as the percentage of return on investment (ROI), represents the rate of returns you expect to receive on your solar panel installation cost. 

Suppose you make an investment in buying solar for your home. This investment would not only pay for itself but you get your electricity for free after the payback period is over. With advancements in technology, PV modules of higher efficiency are being developed which gives even more savings and generation through your residential solar panel systems.

Are you searching for the best solar plant installation company in Delhi or Gurgaon to start your solar journey? Check out HomeScape by Amplus Solar to get the most out of your residential solar panel installation cost. We are empaneled by DISCOM for solar subsidy in many states which will further reduce the upfront investment for you and increase your savings. 

Our well-designed solar system produces optimum output throughout the whole year. With us, you get an end-to-end hassle free solar solution with warranty-backed components and a safe module mounting structure with branded wiring and cables for your rooftop solar panel system.

Get your solar journey started today with a quick technical assessment and a customized solar quote from our industry experts.