Residential Solar Financials
The Motives:
Environmental concerns are fully sufficient motivators to seriously consider residential solar power. But for most homeowners, solar economics come first and foremost. The pleasant surprise, however, is that installing residential solar will more than pay for itself. Sale of your earned solar certificates, or SRECs, can yield a substantial revenue stream above and beyond your utility savings.
How Residential Solar Saves and even Makes Money
Most homeowners are understandably befuddled by how installing residential solar makes financial sense in this economy. Yet for many it does. The state of New Jersey offers ample financial motivation, albeit in its own not-too-easily-understood way. Installing solar photovoltaic panels can go well beyond utility savings and actually make you money.
SRECs - Solar Renewable Energy Certificates: In addition to saying goodbye to your electric bill, your system will earn SRECs for 15 years. Every megawatt of power your system produces earns you one SREC. Utilities are state mandated to buy SRECs and they currently sell for over $600 each. At first they help you pay for your system and keep your cash flow positive. Once you reach your break-even point your system becomes a cash cow, still producing SRECs and PROFIT for you. After year 15 you cease earning SRECs but continue to enjoy little or no electric cost.
New Jersey Solar Rebate:
New Jersey's solar rebate program has been thrown into question by
Governor Christy. We can still apply for rebates, but their
certainty is no longer guaranteed.
Buy Residential Solar With Little Money Down:
All NJ utilities have programs which assist paying of the
substantial purchase of a PV system.
PSE&G, for example, has a solar loan program which lends between
40 - 60% of your installation cost. You then repay with your SREC revenue.
Bottom Line:
Let us show you how your residential solar installation can pay for
itself in just a few years. We'll also show you how you
can pay off your
solar loan using your SRECs as
payment if you're a PSEG customer. After payoff, you sell
your SREC's and your system becomes a profit
generator through year
15.
Run the Numbers with this Residential Solar Financial Example
The First Steps Toward Residential Installation
The first step is to assure your residential solar system will meet the New Jersey state mandated 80% efficiency requirement, without which your system will not qualify for state financial incentives. This is purely a matter of having sufficient mid-day sun. If your roof is unshaded from 9am - 3pm you'll have no problems.
It all starts with a phone call. Contact New Jersey Solar Consulting to discuss your solar photovoltaic system at 201-736-9388.
Solar installations for most homes go up
in a few days. Systems pay for
themselves in 3 - 5 years and then
produce profits due to SREC
sales in
addition to the electric savings.