Solar investments are not only beneficial for the environment, but they also improve the overall quality of our lives. Solar smart investments also hold the key to lessening the weight of the financial cost of electricity bills on our pockets as well. According to the United States energy information administration, an average American spent usually 120 dollars per month on utility bills. The solar investment gives the homeowner complete control over his electricity generation hence slashing the impact of utility grid power production on his home.
According to the United States department of energy, residential solar systems are sixty-four percent cheaper now than they were a decade ago. This means that a person would have access to solar energy cheaper now than ever. So, how solar investments are financially profitable? Through Solar investments a person could tap into resources like solar investment tax credits, cash back, property tax exemptions, waived fees, and expedited permits which could lower the financial burden on an individual.
What are the main reasons for solar investments in the post-pandemic era?
There could be a lot of reasons to invest in solar energy now. From curtailing climate extremities to lessening your financial energy cost. It boils down to your motive that why you want to invest in solar energy. But the main reasons why you should put your money into solar investments are as follow:
- Renewable source of energy:
“Renewable sources are those sources of energy that could be used again and again without the concern that they might diminish over time”. Like solar, wind, hydro, and biomass energy sources. Energy production through renewable resources is usually clean because they don’t generate by-product gases like methane, carbon dioxide, and nitrogen dioxide. Clean energy is needed now more than ever. Because one, non-renewable sources like fossil fuels are depleting faster than expected and second, the by-product gases from non-renewable sources are increasing the global warming phenomenon. Due to global warming extreme weather conditions like drought, storms, and floods could be seen around the globe. This could be avoided by switching to a renewable source of energy.
- Beneficial for the environment:
Solar investments are not only beneficial for an individual’s financial condition and could also help us to create a safer and healthier environment. Solar PV modules usually use incoming solar radiation to generate electricity using P-N junctions. Hence, creating a healthier atmosphere to live in. According to research, breathing in poor-quality air for one day causes lung damage equivalent to smoke thirty cigarettes in a day. Solar investment credit is not only a way to produce electricity without disturbing the earth’s climate pattern, but it also keeps us safe from lung cancer by improving the air quality we breathe in.
Financial benefits of investing in Solar Systems:
- Access to bill credits through Net metering:
Solar investments are the best way to tap into resources like Net metering. “Net metering is the process of inculcating excess electricity produced by individual solar modules back into the utility grid in exchange for bill credits or renewable energy certificates”. In summer, residential solar modules produce excess electricity due to longer days. A person can send that extra electricity back into the grid station in exchange for bill credits. In winter, solar PV modules are incapable to meet the electricity of a household due to shorter sun days. These bill credits are then used to maintain the steady flow of electricity.
- Access Solar Tax credit by the federal government for residential solar systems:
To promote solar investments, the federal government has offered tax reliefs for those who believe in the creation of a clean and sustainable environment. These tax reliefs are in the form of tax credits also known as Investment Tax Credit (ITC). ITC is thirty percent of solar panel installation costs.
- Solar investments increase the value of a person’s property:
According to a survey, houses with solar installation have seen a four percent increase in their property value. Houses with solar panels sell faster on the market as well. In the twenty-first century, people are looking for reliable, clean, and independent ways to power their houses.
- Property tax exemptions:
Solar investments also gave their investors some property tax relief as well. Some states like California and Taxes offer their residents property tax relief on their initial solar installation.
Originally Published on: https://solarsme.com/solar-investments-a-good-option-in-the-post-pandemic-era-or-not/