Reasons to Go Solar in the Bay Area
Keep reading if you’re in the Bay area and haven’t gone solar. Here are several reasons you want to go solar in the Bay area.
There were 6 gigawatts (GW) of residential solar installation last year in the United States. That is 40 growth over 2021. Total installed solar capacity now tops 140 GW and is showing no signs of slowing.
The explosion of residential solar has much to do with the many advantages it affords. If you are considering solar in the Bay Area, there are many incentives to do so. These include the potential for massive long-term savings on your utility bills.
Below are the main reasons you should go solar. Keep reading to find out why solar power may be the right choice for your home.
Offset Electricity Costs
The average American household spends more than $3,000 a year on energy costs. According to the U.S. Energy Information Administration, we can only expect those numbers to increase as energy prices continue to rise.
Solar energy can substantially offset these costs in the short and long term. How much depends on several variables, including your local energy rates and the efficiency of your solar panel system.
Historically, the amount of roof area exposed to the sun had a lot to do with how viable solar was for any given home. That is less so the case today.
Of course, your home needs some access to sunlight. But, due to innovations in solar panel technology, almost every home today has the potential to leverage solar power, if it has the right equipment. A reputable solar installation company will be able to recommend solar panels that fit your energy needs and budget.
Tax Incentives
The Investment Tax Credit (ITC) allows you to deduct 30 percent of the total solar installation costs on residential properties from your federal taxes. So, if you install a $12,000 system, you are eligible for a $3,600 tax break. Besides increasing the tax credit percentage, the Inflation Reduction Act also made it so that the cost of solar battery storage qualifies for tax credits as well.
California no longer has a state solar tax credit, but there are other financial incentives you should consider. Solar installation significantly increases your home’s value. That’s good news, but Californians understand full well that this translates to much higher property taxes.
Fortunately, the state has an Active Solar Energy System Exclusion that applies to all rooftop systems installed before the end of 2024. This provision ensures that the installation does not impact property valuations, so adding solar to your roof will not increase your property taxes.
Finally, California operates a Property-Assessed Clean Energy (PACE) program. It allows homeowners to finance the entire cost of their solar installation and pay for it through increased assessments in their annual property tax bills. This can be advantageous for anyone reluctant to install solar panels due to upfront costs.
More Reliable Energy
Electrical outages are a big reason people are considering residential solar throughout California. Solar panel systems allow your home to remain operational even with the grid is down. This can be a huge convenience for anyone, but especially those who rely on electricity for medical equipment or in-home transportation devices.
Note that you need battery storage capacity for this to be the case. Solar energy batteries have come a long way in terms of capacity and affordability.
They also have other benefits besides energy reliability though. They make your system more versatile, even with grid power on, by allowing you to use more of the energy you produce year-round.
Low Maintenance Costs
Another reason to consider solar energy for your home is that quality systems require minimal upkeep. Quality solar panels are built to last and perform for 25 to 30 years or more. They are easy to keep clean and are much more durable than panels made just a decade ago.
Net Metering Benefits
Net metering is a billing mechanism that allows owners of solar panel systems to sell the electricity they are not using back onto the grid. Utilities can offer these incentives on their own, but they are most often the result of regulatory mandates.
California’s net metering program applies to anyone who is a customer of the state’s three main utilities. California’s current net metering policy, NEM 2.0, will expire this year and be replaced by NEM 3.0. Under this new tariff, customers will receive about 75 percent less per kilowatt of electricity that utilities buy back.
The good news is that there is still some time to leverage the benefits of NEM 2.0 and lock in those buyback rates for the next 20 years. You must act fast though––you must apply to the Utilities Commission by April 14, 2023, to be grandfathered into NEM 2.0.
Environmental Impact
A final reason to consider installing solar in the Bay Area is the positive environmental impacts it will have. Solar energy has played an important role in reducing greenhouse gas emissions and curbing our reliance on fossil fuels as a primary electricity source.
Beyond combatting global warming, solar energy eliminates the need for mining and drilling for fossil fuels. This helps improve air quality and reduces water use from electricity production.
The Next Steps to Getting Solar in the Bay Area
Now that you know the reasons to go solar in the Bay Area, you can determine if it is the right choice for your home. It is important to weigh all the options, but there are significant advantages to not waiting too long to begin saving on your energy bills and leveraging the other benefits of solar.
At Semper Solaris, we bring the discipline and dedication we gained in the military to our solar projects. We offer solar installation (including battery storage) in most areas of the state. Reach out to us today to learn more or to schedule installation.
