To go solar, or not to go solar? That is the question many homeowners are asking themselves today.
Although the decision can seem daunting if you’ve never looked into solar before, there are many benefits to adopting a photovoltaic (PV) energy system. A solar installation can help lower your utility bills and carbon footprint with increased energy independence and can even provide sustainable access to electricity during local power outages.
In this comprehensive guide, we break down the benefits of solar to help you meet your energy goals and design the optimal PV system for your home.
Understand the three key advantages of solar energy
With immediate and long-term benefits, solar energy can be a rewarding decision for several reasons. Today, a solar installation can help you reduce your home’s electricity costs and environmental impact, all while lowering your dependence on grid-supplied power.
1. Financial benefits of solar energy for homes
Perhaps more than any other motivator, homeowners go solar to save money on utility bills, including protection against rising electricity rates. Whenever electricity is generated by your solar energy system, it can be consumed on-site or shared with the grid and redeemed for utility bill credits.
Therefore, the amount of money you can save with a solar energy system is directly proportional to your ongoing electricity expenses. After going solar, the average American homeowner saves approximately $1,500 per year on avoided electricity bills.
- Solar power for home appliances: Solar power systems can greatly reduce electricity bills associated with running high-energy demand devices, such as heating systems, air conditioners, or EV chargers. Your solar savings can go even further as you reduce your property’s electricity consumption with energy-efficient home improvements.
- Solar return on investment (ROI): As you look at project costs, it’s important to remember that solar energy is a long-term solution, and systems can last for 25 years or more. An outright purchase can typically minimize your total long-term energy expenses, with average solar ROI payback periods between 7 and 10 years nationwide. To avoid upfront costs, you may be able to choose from several solar financing options, including loans, leases, or power purchase agreements (PPA). It’s also important to explore national and local solar tax credits, incentives, and rebates for which you may qualify.
- Increased home value: Multiple studies have shown that when selling a home, solar panels can increase your property value if they’re still actively generating electricity. However, the added value to your home can depend on your system’s age, local energy prices, and the details of your solar contract.
- Battery storage benefits: A solar battery can enable greater control of your solar power and potentially boost your long-term savings with increased self-consumption of the electricity you generate on-site. In some locations, solar battery owners can also be rewarded for exporting stored power to the grid during periods of high energy demand with cash rebates or substantial energy bill credits.
2. Environmental benefits of solar energy for homes
PV solar panels do not emit any harmful pollutants while harnessing sunlight and generating new electricity on your roof. Solar energy systems produce dramatically lower lifetime greenhouse gas emissions when compared to fossil fuel resources like coal and natural gas.
Consider that about 60% of U.S. electricity is produced by fossil fuels. Going solar can help you offset potential carbon emissions, lower pollution levels, and improve air quality in your area. Even further, energy production accounts for around 40% of water withdrawals in the U.S. Therefore, going solar can also aid ongoing water conservation efforts in some of the country’s sunniest states like California, Arizona, Nevada, and Utah.
While the production, development, and disposal of solar energy systems have some environmental impact, the technology is becoming increasingly greener and remains essential in meeting local, national, and global emissions goals. In the 2020s, the solar industry is witnessing increasing levels of domestic manufacturing and responsible end-of-life processes to continuously improve the technology's total environmental impact.
3. Energy independence
The installation of solar panels with battery storage and backup can increase your energy independence from utility electricity—including the potential to sustainably power your essentials during local grid outages. Across the U.S., homeowners are electing to incorporate backups into grid-tied solar systems at increasing rates, while some batteries can even enable complete off-grid operation.
As aging infrastructure, wildfires, and severe weather events—like hurricanes, storms, and snow—can compromise ongoing access to grid-supplied power, energy independence is one of the greatest long-term benefits of solar. Some of today’s premium solar batteries can also directly communicate with other home generators to optimize all of your property’s independent power sources.
It’s important to talk to your installer about battery storage when going solar—learn more about how it works and what energy capacity will work best for your home. The ideal battery for your property may depend on your primary energy goal and whether you want to maximize financial savings, minimize your carbon footprint, or keep systems running during local power outages.
Is it worth it? Weigh the pros and cons of solar energy
A solar installation will almost always be worth it to reduce your carbon footprint or secure ongoing access to clean electricity at home. Financially, going solar can also lead to significant long-term savings on home energy costs. This depends on many factors, including your current and future electricity expenses, your property’s solar suitability, and the specific details of your contract and system.
Most importantly, a home solar installation is an opportunity to stabilize your property’s electricity costs ahead of rising energy rates. While most homeowners have traditionally had limited electricity options beyond grid-supplied power and backup generators, going solar can help you secure low, long-term rates for your property’s ongoing energy expenses.
To put the value of solar in perspective, let’s consider an example: What if you could lock in the price you pay for your vehicle’s gasoline for the next 25 years? With the right contract, going solar is kind of like doing this, but for your home's electricity. While many would jump at this fictional opportunity for stable gasoline prices, in reality, going solar can help you fuel your personal transportation at minimal expense, as it’s one of the most cost-efficient ways to charge an electric vehicle.
On the other hand, there’s not much to lose when looking into a solar energy installation, as most companies will offer free estimates for interested homeowners. Although there may be significant costs associated with going solar, both tax credits and solar financing options can help reduce or eliminate upfront expenses, while weighing variable contract options from multiple professional solar installers will enable you to determine the best overall solution for your home.
Key takeaways
Between cost savings, environmental impact, and energy independence, there are many reasons to go solar today.
Although not every home is suitable for an installation, you can determine your potential solar energy savings with the help of a professional who serves your area. Then, you can lock in your electricity costs and associated carbon emissions with compounding benefits for the next several decades.
To maximize the benefits of your solar energy installation, an Enphase Home Energy System includes industry-leading warranty coverage, high-performance hardware, and smart software to optimize electricity generation, storage, use, and savings.
Benefits of solar energy FAQs
How much can I save with solar energy?
The amount you can save with solar energy depends on your ongoing electricity expenses. Solar energy savings can dramatically reduce your annual electricity bills, and systems usually pay for themselves in utility expenses avoided—sometimes twice or three times over.
Is solar energy effective in cloudy climates?
Yes, modern solar panels and inverter systems are designed to work efficiently in all U.S. climates, including those with frequent overcast or cloud cover. Although solar energy systems work less efficiently in cloudy conditions, they are still worth considering for homeowners who want to reduce long-term electricity costs across the U.S. with proper installation.
How does solar energy impact my home's value?
According to a 2019 Zillow study and a similar report conducted in 2022, functional solar energy systems can increase your home value by between 4.1% and 6.8%. However, it’s important to know that a solar energy system will not always increase home value to this degree—like if the new buyer must inherit a future lease, PPA, or system payments.
What maintenance is required for solar panels?
In general, solar panels require minimal maintenance, though some cleaning and inspections can help ensure optimal performance. Solar panel cleaning should be performed every year or two—sometimes more frequently in dry, dusty, or heavily polluted areas—and professional inspections are recommended every five to seven years. However, if you notice that your system’s performance declines dramatically, contact immediate professional help to diagnose and fix the issue as soon as possible.
Are there incentives for installing solar panels?
Yes, there are many incentives for installing solar in the U.S. Nationally, the Residential Clean Energy Credit (RCEC) is a federal income tax credit program worth up to 30% of solar energy system costs. Locally, you may be eligible for several additional financial incentives based on where you live, with tax credits, rebates, and programs often available through state and city governments or energy utilities.