In our last blog post, we discussed the benefits of going solar and how it can help you save money and contribute to a cleaner environment. This month, we’re diving deeper into the process of switching from traditional energy to solar power. We’ll guide you through what you need to know before your energy contract renewal, the differences in rates, the potential savings, and the overall process. So, let’s get started!
Step 1: Research Your Options Before Energy Contract Renewal
Before your energy contract is up for renewal, it’s essential to explore all available options to ensure you make the best decision for your home or business. Solar power is an increasingly popular choice, as it provides clean, renewable energy and can significantly reduce your energy bill. Take the time to research local solar providers, read customer reviews, and compare prices and packages to find the perfect fit.
Step 2: Understand the Difference in Rates
When comparing traditional energy and solar power, it’s crucial to understand the difference in rates. Traditional energy is typically billed using a price per kilowatt-hour (kWh) basis, which can vary depending on factors like the time of day and energy demand. On the other hand, solar power systems have an upfront cost for installation and equipment, but they generate free electricity for the lifetime of the system, which is usually 25-30 years. When comparing the two, consider your energy consumption and the potential savings over time with a solar power system. You may also be eligible for federal, state, or local solar incentives and rebates, which can significantly reduce the overall cost of your solar installation.
Step 3: Assess the Potential Savings
Switching to solar energy can offer significant savings on your energy bill. By generating your own electricity, you can lower your monthly bills and may even eliminate your reliance on traditional energy sources. Additionally, solar power systems often include net metering, allowing you to earn credits for excess energy that can offset your energy bill when needed.
Consider this sample scenario:
Sally wants to lower her electric bill. Her traditional energy plan averages $200 per month, costing $2,400 annually. She decides to purchase a solar power system for $26,000. After fees and incentives, her initial investment is $23,114. Sally finances her solar system, resulting in a monthly payment of approximately $153, or $1,836 annually.
With solar power, Sally’s system generates enough electricity to cover 100% of her energy needs. Her combined energy costs (solar loan payments and grid energy costs) for the next 12 months amount to $1,836, saving her $564 compared to her traditional energy plan. By switching to solar energy, Sally saves money on her annual energy costs, benefits from net metering, and contributes to a cleaner environment. Her savings will increase even more over the 25-30 year lifespan of the solar power system as it continues to generate free electricity after the loan is paid off.
Step 4: Making the Switch
Once you’ve decided to switch to solar energy, the process is relatively straightforward:
1. Select a solar provider: Choose a reputable solar provider with a track record of excellent customer service and high-quality installations.
2. Site assessment and system design: Your solar provider will assess your property and design a solar power system tailored to your specific needs and home’s energy consumption.
3. Solar financing and incentives: Discuss financing options and available incentives with your solar provider to make the most of your investment.
4. Permitting and installation: Your solar provider will handle all necessary permits and coordinate the installation process with a team of skilled professionals.
5. Inspection and activation: After installation, your system will be inspected by the local utility or a third-party inspector to ensure it’s up to code. Once approved, your system will be activated, and you can start enjoying the benefits of solar energy.
Make the Switch Today!
Switching from traditional energy to solar power can be a smart, cost-effective decision that not only lowers your energy bill but also contributes to a cleaner environment. By researching your options, understanding the difference in rates, assessing the potential savings, and following the steps to make the switch, you can harness the power of the sun to light up your life. Get in touch with Longhorn Solar today to learn more about how we can help transition your home to solar energy.