Electricity has become an indespensable part of our lives. We can’t imagine our life without it. A reliable electricity supply is essential to run a household. Every gadget, appliance and electronic stuff needs electricity to function. However, our ever-increasing demand for electricity is putting an unbearable burden on the traditional energy sources. Fuel that is used in traditional electricity sources is scarce. Not only are our reserves rapidly decreasing but our environment is getting choked as well.
Green energy like solar energy is emerging as the most acceptable alternative to traditional electricity. This clean energy has a lot of potential. Learn what are the advantages of solar rooftop plant system for your home:
- Reduced Electricity Bills
Savings in electricity bill amount is one of the most prominent rooftop solar benefit. Reduced electricity bills motivate homeowners to make the switch to solar. With the right capacity of a home solar photovoltaic (PV) system, you will start saving on your electricity bill from day 1. The solar energy generated by your rooftop solar plant can power your entire household.
As your home’s majority of the electricity requirement is met through solar power, you pay for only that electricity which you import from the grid. This is also reflected in the monthly electricity bills that you get. You can reduce your bill by upto 90% with a solar plant.
- Opportunity To Earn Solar Credits
Where net metering is present, home solar panels can give a higher return on investment. Without net metered conection, you are not leveraging the full economical potential of home solar systems. And the surplus solar energy units generated by your solar panels are lost unless you store them in solar batteries. By connecting your home solar plant to the grid, you export excess solar electricity units back to the grid not consumed in your home or used for charging solar batteries. You will be compensated for the exported units either in solar credits or you can redeem those units in exchange for a agreed tariff.
Net metering is a billing mechanism that can amplify the financial advantages of an on-grid solar system. The key function of this process is to track the flow of solar energy between your home solar system and the local government grid. When you draw electricity from the government grid due to insufficient solar energy production, the bill will show charges as per the rate set under the net metering regulations, and it can even be zero if no grid electricity is consumed.
When your solar energy production exceeds your home’s electricity requirements, unused solar power is fed to the grid. Your home’s electricity meter will measure such exports of solar power from your home and reflect the same in your monthly bills. You will receive solar credits as per the rate set under the net metering regulations. The solar credits can be used to purchase additional electricity whenever solar energy productions fall below the standard. Considering these possible financial gains, you are able to reduce your annual electricity consumption cost to zero.
- Short Payback Periods and Long-Term Savings
These are the biggest financial benefits of putting solar panels on homes. For home solar panel systems, the estimated payback period for solar panels ranges from 6-8 years. The payback period defines the tentative amount of time your solar panels will take to generate enough cost savings on bills whose total will finally overweigh the initial solar investment amount. The exact payback period is determined by several factors, including the size of your system, the efficiency rating of solar panels and the method of payment chosen when purchasing solar for your home.
Once your home solar panels have covered their initial cost, the electricity produced for the rest of the system’s lifespan (total lifespan being 25 years) will be free for your home. This free solar electricity combined with any solar credits you might earn will eventually accumulate to become an enormous long-term saving for your home.
Solar energy is one of the clean sources of energy. Sustainability and reduced carbon emissions are the biggest environmental benefits of residential solar panels.
Traditional power sources such as coal, oil, and natural gas release a lot of toxic emissions into the air during the energy generation process. These emissions are largely responsible for global warming and thus, climate change and impacting our health. As more and more homes are upgrading to solar-powered homes, the nation as a whole can cut down its dependence on conventional energy sources.
As the burden of electricity demand reduces on the power companies, their electricity generation based on non-renewable energy sources will also reduce. This will ultimately bring down greenhouse gas emissions that result from these activities.
Solar energy is generated from the sunshine using solar photovoltaic (PV) technology and can help reduce the rising air pollution levels. A cleaner atmosphere and water bodies will undoubtedly improve our overall health and combat climate change. Hence, installing a home solar system will not only make your home energy-efficient and energy-independent but also help you do your bit for saving the environment.
- Solar Subsidies
To encourage solar adoption in the residential sector, the Ministry of New and Renewable Energy (MNRE) is amplifying the benefits of on-grid solar systems through solar subsidies. The financial aid is intended to reduce the upfront solar cost, making it more budget-friendly for you. The CFA (central financial assistance) of up to 40% of the benchmark cost of the RTS (rooftop solar system) is available for homeowners selecting a rooftop solar system of up to 3 kW capacity.
If you go with a rooftop solar system of a capacity over 3 kW but below 10 kW, you can apply for a 20% CFA of the benchmark cost of the RTS system. You are eligible to apply for the solar subsidy irrespective of the solar vendor you choose to buy and install your home solar system as long as the selected RTS system works on a grid-connected framework.
- Solar Financing Options
Solar loans, solar leases and solar power purchase agreements (PPAs) are some popular solar financing options for budget-conscious homeowners. A solar loan is an amount taken out of the bank to quickly finance your solar system purchase and installation. Depending on your financial circumstances, you can be sure to find even zero-down payment solar loans that come with various interest rates, payment options and term lengths. Solar loans are part of home redevlopment projects as well, so you may even get reduced interest rates on these loans.
A solar lease, on the other hand, works quite like a car lease. If you get solar via solar lease, you will not get the ownership of your rooftop solar plant but enjoy all the solar rooftop benefits. For fixed lease payments, you can have solar panels that generate solar electricity to power your home and reduce your electricity bills. The lease payments are typically lower than your past monthly electricity bills.
Similar to solar leases, solar power purchase agreements (PPAs) also require no upfront payment for getting a home solar panel. A solar PPA is a financial agreement where the manufacturer handles your entire solar installation process on your rooftop, from design and permitting to financing and installation. In such an arrangement, you will have to pay for the electricity bills but they will be lower than the electricity bills that you get from DISCOM.
- Reliable Energy Source
Tired of unpredictable, prolonged and frequent power cuts in your city? Using solar energy will help you reduce and even eliminate reliance on the grid-supplied energy. This is one of the many benefits of solar panels for your home. Rooftop solar panels generate solar electricity by absorbing sunshine during the day and the energy generated is consumed in your house. Living in a home that produces its own low-cost, clean electricity reduces your grid imports.
The world still meets the majority of electricity demand from the electricity produced from non-renewable energy sources. Coal, natural gas, oil and other traditional sources are likely to become depleted soon given how extensively we are exhausting them to fulfil our ever increasing energy demands.
With home solar power systems, you can be assured that you will always have a dependable source to obtain energy from. The sun will continue to rise every day and bring a renewed amount of sunshine. This means that you have an inexhaustible energy source minus the discomforts of power outages or high monthly energy bills. In addition to being good for the environment, it is good for the future of humanity and its ability to meet the power needs sustainably. In a country where power outages still happen in most of the rural areas and even in some cities, having your own solar system with battery storage gives you freedom from grid and makes you truly independent.
- Low Maintenance Costs
A common misconception among homeowners about solar systems is that they require excessive maintenance. In reality, home solar systems are super easy and cost-efficient to maintain – one of the incredible benefits of solar rooftop systems. Solar panels are manufactured to have a sturdy and durable build with no moving parts, lasting for over 25 years when installed correctly and under the right conditions. More often than not, solar panels will function efficiently for many years before requiring any maintenance.
Homeowners are only required to keep up with a no-hassle upkeep routine to ensure the maximum efficiency of solar panels. Washing or wiping off the dust and dirt accumulating over your panels a few times a year is important so that you always get maximum solar energy output from your system.
The other components in your home solar systems will require you to schedule a professional inspection, maintenance and repair as may be required or suggested by your home solar system installer. Most solar companies provide solar AMC maintenance packages to cover your recurring service requirements.
- Increased Home Value
Are you considering solar power for your home but think you might sell your home down the road? Here is what you need to know. Topping your home with the benefits of solar panels on the roof also boosts your property’s value. Investing in solar is a smart home upgrade that will also pay you off in the form of high resale value. This means that if you decide to put your home out on the real estate market, buyers will find your home more attractive and a smart real estate purchase for the fact that it generates its own low-cost electricity. This idea of living in an energy-efficient home will attract high-paying buyers to you.
Like repairs and improvements are essential to increase the value of your home, adding a home solar plant will also have a similar effect while giving you savings on electricity bills for the duration you continue to live in the house.
- Ease of Installation
Ease of installation is one of the benefits of putting solar panels on homes, and they can be installed on most houses with ease. Home solar systems are available in different sizes, making solar energy a flexible and versatile energy source for homeowners with any budget. If your home requires a high-capacity solar system to accommodate your daily energy requirement, you can still begin with a small-scale home solar plant. Over time, you can choose to upgrade your solar energy generation capacity by adding more panels as you acknowledge the financial gains of having a solar-powered home.
If you are living in a far-off location, home solar systems are an incredible power source. A stand-alone off-grid solar system can do the job of generating ample solar power independently in remote locations. Solar energy can bring electricity to homes in villages and other areas that don’t have access to the grid. The installation process is quite easy and less time-consuming. Most installations are completed in a day with solar production starting right away.
- Guarantee of High Performance
Another advantage of rooftop solar plant system is guaranteed performance. With most home solar system vendors, you can expect to receive a lengthy performance warranty of 25 years to give you long-term peace of mind. The performance warranty on solar panels ensures that you receive optimal solar energy units for a very long time. Although solar panels are impressively sturdy and can withstand harsh weather conditions, unpredictable circumstances that may arise can cause serious damage to your solar panels, either due to external factors or failure of the module mounting structure (MMS). The warranty will have you covered against any required or replacement requirements free of charge for this duration.
To ensure that your solar installer stays in business to honour this extended warranty period, it’s important that you do your due diligence and select a reputable and experienced solar system company. So, make sure you go with a solar energy company which is in business for a long time and has a great past track performance record.