Took the plunge. Finally going solar!

[fordmantpw]

We put in a 11.7kW system that went live on 12/9/2016 (grid-connected, net metering system). We are a year in now and it saved us right at $1500 in that year, and based on the cost, it is a 15 year ROI. For the expected lifespan of 30 years, that means it will save us about $20k in electricity if electric rates stay exactly as they are.

We have 36, 325W Panasonic panels with SolarEdge optimizers and inverters.

Knowing what I know now, I would do it again.

 

[deezler]

Does your total system cost include the interest you'll be paying back?

Not trying to pick it apart. Trying to justify it in my pocket book.

Here in Indiana, the point is moot, as they changed the laws and anyone not in by the end of this year won't be able to get the benefits of net metering like they used to. The utilities have a good point, to some degree. The more people using net metering and not buying electricity, the fewer customers paying for the infrastructure that they still have to maintain. Kinda like the gas tax for road use. The more fuel efficient or electric cars, the less gasoline purchased, the less gas tax paid, the less money for road repairs.

The point is not moot. What % of households make any power that goes back onto the grid? Less than 1%, probably. Having distributed power generation actually REDUCES strain on the grid. And solar production peaks during the day and late afternoon when total consumption is highest. It makes total sense to let thousands and thousands more people connect grid-tied solar systems without penalizing them for trying to produce clean energy. Not to mention, having a grid tied solar system offsets your kWh rates, but you still pay connection fees to the utility every month.

They tried to make this change in Michigan, too (to kill net metering) and thankfully enough opposition arose to squash it.

Edit to add: I just did solar too, up in cloudy Michigan. 5.3 kW system, 16 panels on the roof. Projected payback was 7-8 years, but thats probably pretty optimistic. I took a 10 year loan for it anyway, so thats my payback. $16k total installed system cost, or $11.2k after 30% tax credit. Solar is definitely a wise long-term investment in almost every state in this country.

 

[kcassidy]

We have SRECs in Mass that further incentivize solar beyond net metering and the Fed and state tax rebates. For every 1MwH produced, we get a an SREC certificate. The utilities are required to produce a large amount (forget exactly how much) of "green" energy that they can not produce so they have to buy these certificates for ~$300 - 400. My house has had solar since 2012 and the system has now paid for itself. The state allows a system to generate SRECs for 20 years so now it's all profit.

 

[houstonscott]

Yes, it is the very definition of a net metering system From: Net Metering | SEIA

With net metering there is no need for batteries, you are using metering like a battery that's free and 100% efficient.

 

[Soldier415]

With net metering there is no need for batteries, you are using metering like a battery that's free and 100% efficient.

I don't have any batteries. As stated in the OP the power wall is an OPTION in the future for on site power storage

 

[MossRoad]

The point is not moot. What % of households make any power that goes back onto the grid? Less than 1%, probably. Having distributed power generation actually REDUCES strain on the grid. And solar production peaks during the day and late afternoon when total consumption is highest. It makes total sense to let thousands and thousands more people connect grid-tied solar systems without penalizing them for trying to produce clean energy. Not to mention, having a grid tied solar system offsets your kWh rates, but you still pay connection fees to the utility every month.

They tried to make this change in Michigan, too (to kill net metering) and thankfully enough opposition arose to squash it.

Edit to add: I just did solar too, up in cloudy Michigan. 5.3 kW system, 16 panels on the roof. Projected payback was 7-8 years, but thats probably pretty optimistic. I took a 10 year loan for it anyway, so thats my payback. $16k total installed system cost, or $11.2k after 30% tax credit. Solar is definitely a wise long-term investment in almost every state in this country.

You come down here to Indiana and get the law changed, and that'll un-moot it for us.

 

[MossRoad]

The point is not moot. What % of households make any power that goes back onto the grid? Less than 1%, probably. Having distributed power generation actually REDUCES strain on the grid. And solar production peaks during the day and late afternoon when total consumption is highest. It makes total sense to let thousands and thousands more people connect grid-tied solar systems without penalizing them for trying to produce clean energy. Not to mention, having a grid tied solar system offsets your kWh rates, but you still pay connection fees to the utility every month.

They tried to make this change in Michigan, too (to kill net metering) and thankfully enough opposition arose to squash it.

Edit to add: I just did solar too, up in cloudy Michigan. 5.3 kW system, 16 panels on the roof. Projected payback was 7-8 years, but thats probably pretty optimistic. I took a 10 year loan for it anyway, so thats my payback. $16k total installed system cost, or $11.2k after 30% tax credit. Solar is definitely a wise long-term investment in almost every state in this country.

Does that include the interest you pay on the loan?

 

[deezler]

Does that include the interest you pay on the loan?

My solar contractors figure of 7-8 year payback? no, I guess not. My ten year loan has monthly payments just a touch higher than I normally spend on electricity, so I guess my payback will be 10-12 years. I am kinda frustrated to have installed the system in the fall, because I got great output for about a month before the weather clouded up, now today there is 4" of snow on the panels. So I didn't "bank" any credits from high summer output. If the summer output is as high as I am hoping, I will be able to charge an electric car for free as well and my payback time will plummet, but we'll see how that pans out.

None of this payback calculation factors in the 30% tax credit, either. If I plow that back into my loan and reduce payoff time to 6 years instead of 10.... then it's even better.

But here's the logic that finally swayed me to go solar: If you can get a low-interest loan with monthly payments at all close to your regular monthly electricity bill, and know you will produce enough to be cover all consumption (or get close, anyway).... then solar is basically free. I cringed a bit at getting such a long-term loan (10 years) and I know some people do 12 or even 20 years loans. The equipment typically has a 25 year warranty (to still have 80% or more of rated power). During the loan, you've traded energy bills for a loan bill, and after the loan, your power is free. Just need to flex a little credit up front and jump into some more debt (the american dream, haha). And if you want to think REAL irresponsibly about it: you trade your elec bill for a loan bill and then POCKET the 30% tax credit, so.... you actually get paid to go solar (thanks, taxpayers..?)

edit: I even forgot about the REC (renewable energy credits) that kcassidy mentioned. Mine were projected at about $150 payment to me every year, we'll see.

 

[Soldier415]

My solar contractors figure of 7-8 year payback? no, I guess not. My ten year loan has monthly payments just a touch higher than I normally spend on electricity, so I guess my payback will be 10-12 years. I am kinda frustrated to have installed the system in the fall, because I got great output for about a month before the weather clouded up, now today there is 4" of snow on the panels. So I didn't "bank" any credits from high summer output. If the summer output is as high as I am hoping, I will be able to charge an electric car for free as well and my payback time will plummet, but we'll see how that pans out.

None of this payback calculation factors in the 30% tax credit, either. If I plow that back into my loan and reduce payoff time to 6 years instead of 10.... then it's even better.

But here's the logic that finally swayed me to go solar: If you can get a low-interest loan with monthly payments at all close to your regular monthly electricity bill, and know you will produce enough to be cover all consumption (or get close, anyway).... then solar is basically free. I cringed a bit at getting such a long-term loan (10 years) and I know some people do 12 or even 20 years loans. The equipment typically has a 25 year warranty (to still have 80% or more of rated power). During the loan, you've traded energy bills for a loan bill, and after the loan, your power is free. Just need to flex a little credit up front and jump into some more debt (the american dream, haha). And if you want to think REAL irresponsibly about it: you trade your elec bill for a loan bill and then POCKET the 30% tax credit, so.... you actually get paid to go solar (thanks, taxpayers..?)

edit: I even forgot about the REC (renewable energy credits) that kcassidy mentioned. Mine were projected at about $150 payment to me every year, we'll see.

Pretty much my line of thinking. I'm sinking the tax credit back into the loan. Probably have the loan payed off in 2-3 years

 

[davrow]

Sigh, for those of us retired folks with no Fed tax liability, 30% credit doesn't mean much. My electricity is usually under $100 a month. I can't come close to making the numbers work.