What does solar power really cost

What does solar really cost?

If you are considering going solar in 2022, don’t make any decisions until you read this article.

Solar misconceptions

The most frequently asked question that we receive from customers is “how much will solar cost?” This seems like a straightforward question, which we can certainly answer for them. However, many customers just want a quick price over the phone without provided us with any information outside of the general square footage of their home. Customers will get frustrated when I ask for the details needed, maybe they think we are trying to pull one over on them, but that can’t be further from the truth.

What are the two cost drivers in the price of a solar system?

  1. Configuration (panel type, batteries, add-ons like an MPU, etc.)
  2. System size (how many panels and/or batteries are needed to meet the customer’s goals)

What Solar is not

Solar is not an item that you buy off amazon or off a shelf at Wal-Mart. It’s not a commodity that has a single cost that is the same for every household, every design and every installation.

What Solar is

Solar is a construction project. Like all construction projects there are multiple materials that need to be factored into any project. There are specific location requirements that will vary project to project, such as permitting requirements, inspection requirements, HOA guidelines, etc. There are environmental conditions such as location, weather impacts, the location of trees, shade, and sun access. Perhaps there are preferences that the customer has on the location, like roof top versus ground mount. All these factors need to be considered when pricing a solar system, otherwise you end up with change orders or additional costs that the customer ends up paying from what they originally agreed to.

All Solar Texas giving an in home solar consultation.

What information is needed and why we need it

Our job is to get an understanding of the customers goals for going solar first, is it just to save some money, is it to eliminate or reduce your power bill, is it to go off-grid, etc. Next, we need to know how much electricity specifically the homeowner uses each year and what plans they have for the future that may change their energy profile. This is where the monthly usage (in kwh hours) and the total annual usage becomes critically important. Without this information we cannot properly size the system to meet the customer’s goals. If you overbuild the system too much, then the customer is essentially overpaying. If you under build the system, then the customer still has a power bill each month. To accomplish this, we need a copy of your most recent utility bill and, preferably, the last 12-months of electric usage. We also need to know about your future for the home and any changing dynamics within the household, such as adding another child to the family or moving grandma and grandpa in the home once they get too old to care for themselves. All these factors will impact the price. We also need to know what utility you have currently and what you are paying for power now, so that we can estimate cost savings properly

Are There Hidden Costs?

With All Solar Texas, there are no hidden costs. We show you everything that the project entails and how much it is going to cost you. Our job is to find a solution to help you meet your energy goals while factoring in all your requirements as a customer, such as budget, time, and energy profile. We even walk you through any costs that the utility, co-op, or municipality will charge you in addition to your solar payment, so there are NO SUPRISES

What are the cost drivers of solar?

You have panel options; some panels are more expensive while others are cheaper. Some panels are more readily available than others, thanks to the supply chain issues we are seeing. The main distinctions are warranty, aesthetics, efficiency, the panel size in watts and the degradation forecast. You have inverter options, add-on options such as batteries, back-up generators, interlock switches, main panel upgrades, etc. You have location preferences, is the solar going on the roof, do you prefer a ground mount, do we need to do any trenching. Then you have financing cost drivers, such as interest rates, dealer fees and pay-back terms. Lastly, you have any special requests that customers have such as they want to keep the solar off one side of the roof, which may look better but have less production capacity, or maybe they want the solar panels to be all black, which limits our options for solar panels

Summary

At All Solar Texas, we are very transparent about our costs, which like everywhere else are going up rapidly. Our job is to work with you to build you the system that will meet your energy goals while also aligning with your budget.

Please let us know if you have any additional questions about what solar costs, we’d love to hear about it, so drop a comment below. Thank you and God bless!

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