Shedding some light on home solar

Consumers shopping around for home improvement projects may be leaning toward overhauls that can reduce energy consumption and save them money in the long run. This is a driving factor behind a growing number of homeowners investigating solar energy for their residences.

How does it work?

Solar power harnesses the sun’s energy and converts it into electricity that can be used in homes. Many people are familiar with photovoltaics (PV), which are the panels that absorb sunlight and create an electric field across their layers. Another solar technology, known as concentrating solar power, is primarily used in large power plants and is not appropriate for residential use, according to Energy.gov.

According to the Office of Energy Efficiency & Renewable Energy, hundreds of thousands of solar panels have been put in use across the United States since 2008.

The cost

The upfront expense of solar panels is significant, costing anywhere from $10,000 to $14,000 for initial installation. However, comparatively speaking, homeowners can spend $1,500 or more per year on electricity, so solar panels will pay for themselves over time. Keep in mind that costs may vary depending on energy needs and how many panels will be required to service the system. The electricity factor

The Federal Trade Commission, which provides consumer advice, says that the amount of power generated from a solar energy system depends on a few factors:

1. The average number of hours of direct, unshaded sunlight your roof gets each year;

2. The pitch (angle), age and condition of your roof, and the compass direction it faces;

3. The size and strength of your system; and

4. Environmental factors such as snow, dust or shade that may cover the system.

More savings

Consumers can contact their utility companies to find out if they provide homeowners who produce solar power with net metering. This program pays the homeowner money or gives credit for excess power the system produces and returns to the electric grid. Individuals also may be eligible for energy tax credits or other benefits.

Homeowners may find it worthwhile to explore solar energy, particularly if they consume a high amount of electricity.