Electricity: How a Solar Power System Can Help Reduce Your Bill

The discovery of electric power in the 18th century paved the way for many later revolutions that transformed industries and people’s lives. Today, every home needs electricity to run almost everything from lighting to our heating & cooling systems. However, with it comes the ever-rising utility bills that hit our doors every end month. 

But changing this can be as easy as 1, 2,3! We’re this confident because we have seen many homeowners cut their electricity bills from hundreds of dollars to just a few bucks with a home solar power system. This article will cover the problems associated with utility bills and how going green can help you mitigate each.

Grid Power is Costly

For the electricity to reach residents, utility companies buy it from the wholesale marketplace and then resell it to consumers at retail prices. The amount of bill you part with is dependent on the specific utility company, the amount of energy you use per month, and other fees payable to the company, including fuel and maintenance.

Additionally, you pay a higher rate per kWh you use during peak hours, plus some utility companies also charge an even higher rate when you exceed usage above a certain level. With the average home in the U.S. using 10 kWh of energy per day, the electricity bill, therefore, takes up a considerable percentage of the family income at the end of the month.

Choosing to go green by installing a solar PV system can help you avoid these expensive bills. Solar energy is free from sunshine, and you can even choose to store it with Tesla Powerwall to use it during peak hours (especially at night) when the utility rates skyrocket.

Rising Electricity Rates

Year-in-year-out, electricity rates continue to rise in the U.S. This report shows just how the rates have changed in the last one year in each state. The surging effect on electricity bills is partly due to the aging U.S. grid infrastructure. This means that utility companies spend a lot of money on upgrades, maintenance, and expansion, which translates to increasing the rates, so they can recover those expenses and make a profit. The trend is far from over, and many residential and commercial consumers see an early installation of solar panels as the long-term answer.

With solar power, you only pay a one-time upfront cost for installation. Thanks to Solar Tax Credit, you can claim 26% of the installation cost during federal tax returns if you choose to install your solar system between now and 2022. Thereafter, there is little-to-no maintenance needed, as the panels will continue generating power every day.

Besides, with solar energy storage options, you’re in control of your home’s power, and you’re further masked from the more frequent and costly grid outages. The net-metering policy in some states also means that you can help utility companies towards greener power generation targets, hence offsetting the global carbon emissions.