Can Solar Energy Fit Your Budget?
Greentips: February 2004
If you ever considered installing solar collectors on your house but chose not to follow through because the costs sounded prohibitive, it might be time to reconsider.
Solar power is one of the most environmentally benign energy sources available. Just 20 days of sunshine produces the same amount of energy as everything stored in Earth’s reserves of oil, coal, and natural gas—yet does not come close to producing the same amount of environmental damage as even one of those options.
The solar energy that reaches Earth can be captured and utilized in your home. One simple way is to design homes to take advantage of natural lighting during the day, but various types of solar collectors can store enough energy to heat and cool your home, heat your water, and generate electricity.
Converting a home to run on solar power has become much more cost-effective than when the technology was first introduced. The cost of solar power has declined nearly 90 percent over the past two decades, and studies suggest that the price will continue to fall. Although the up-front costs of conversion are not insignificant (a typical household system can cost anywhere from $10,000 to $40,000), the energy generated will meet all or part of your future energy needs, lowering your utility bills and helping to pay for the initial cost of the system over time. In fact, homes that generate more power than they need and remain connected to the energy grid may actually put that extra energy into the grid and receive a rebate from the local electric company. (Contact your utility to see if this option is available in your area, or see our map of state programs.)
Incentive programs also help make solar power more affordable. These programs can include personal, sales, and property tax incentives, rebates, grants, loans, and leasing (in remote areas). By taking advantage of these incentives, you could reduce the overall cost of solar power by 50 percent or more. The Database of State Incentives for Renewable Energy (www.dsireusa.org) offers a comprehensive listing of state and local programs, as well as incentives offered by specific utilities.
