Solar panel lending or a PPA agreement basically means you are renting the solar panel from the manufacturer and that the manufacturer still owns the solar panel. On the other hand, if you install your solar panel system on a loan agreement, then it belongs to you. It can be pretty difficult to make the decision whether to loan or lease your solar panels.
Pros and Cons for Solar Renting
This write-up will examine the pros and cons of both methods and provide you with all the information you need to know to help ease your decision.
The financial implications of a lease or loan agreement: both the lease and loaning of the solar panel help you save money. Both the leasehold agreement and the loan agreement lead to a reduction in your energy expenditures. In both forms of solar panel agreements, you pay less than your usual electricity bills. The loan agreement, however, saves you more money than the leasehold agreement. This is so because you pay for the panel loan over the course of 7 to 15 years, whereas, you have to continue paying a leasehold agreement all through the term of the agreement. Solar panel owners get a solar investment tax credit (ITC) which is the value of 30% of the cost of solar installation and some states also provide Renewable Energy Certificates (SRECs). Interest accrued on a solar panel loan can be tax deductible.
Cost of maintenance of the solar panel: solar panels generally do not need much maintenance, but when maintenance is required, a loan agreement means the owner of the solar panel has to pay for such maintenance while the manufacturer pays for maintenance of the leasehold agreement since the solar panel is still a property of the manufacturer.
Does the amount payable increase over time in leasehold or loan agreement? : The answer to this is “yes” for the former and “no” for the latter. The premium paid monthly on a leasehold agreement increases annually based on the initial agreement reached or changes in company policy, while the agreed premium on the loan agreement is fixed during the duration of payment and cannot be increased.
Processing time involved in leasehold or loan agreement: leasehold agreements typically do not take time and can be concluded in just a visit whereas the opposite applies for the loan agreement. The loan agreement usually takes time to be concluded.
Ease of selling buildings with solar system leasehold or loan agreement: for you to sell your home with a solar panel leasehold agreement attached to it, you have to either buy out your leasehold agreement or transfer the new lease to the new owner of the building. In the case of a loan agreement, your options depend on if the loan is secured or not. It is far easier to sell a property with a solar loan agreement than that of leasehold agreement.
Ease of obtaining a leasehold or loan agreement: All fifty states in the U.S. allow for the loan agreement of solar panels ownership, while some regions and state frown upon the leasehold agreement of solar panel ownership. Washington DC is one of the regions that allow for a leasehold agreement.
These are the factors you should consider before opting for either leasehold or loan-based agreement.
In recent years,
third-party sun-based renting has become extremely popular, which has played a
major role in propelling rooftop sun-based systems into the prevailing current
thought. According to the SEIA, at the beginning of 2014, solar
renting/PPA financed about 50% to 90% of the rooftop sun based system
installations based on the state. It can be said that the U.S. sun-based system
industry has changed radically from solar renting.
But is renting
sun-based system always the best thing to do? As a smart sun-based system
shopper, you should be careful since these financial mechanics are still
comparatively new. This point can be further seen in the recent attempts of
quite a number of individuals of the national legislative assembly to give a
better understanding on how solar renting is promoted to consumers for both the
interest of those in the market and also for the solar industry as a whole.
Is solar a beneficial bargain? An example
of a solar rent marketing promotion
The advantages of solar rent are mostly marketed this way: You get a sun-based power system on your roof for a small amount of money or even no money at all (based on the type of solar rent), and the organization will sell the electricity to you at a rate which is much lesser than what you normally pay for electricity. You spend less on your electricity bill without having to pay to have your system to be set up. Apparently, both you and the solar organization benefit from this.
Merely looking at it, it seems like a cool bargain, but as discussed earlier, ‘free sun-based power systems’ are not precisely free. You indirectly pay for the power that the panels generate, and in so doing, over the period of your 10 to 20 years contract, you pay for the system.
It’s important for you to consider if signing a solar renting contract will save you money in the long run. Without considering a solar rent marketing promotion, what exactly are you getting when you sign a solar rent contract?
Are some sun-based power system companies
not been truthful about solar renting?
An issue of interest about potentially misleading marketing patterns by some solar rent suppliers was raised last month by 12 members of the House Republicans, which was led by Paul Gosar from Arizona. In a letter written to the Chair of the Federal Trade Commission, the representatives identified a number of refutable practices that solar shoppers should bear in mind and that the FTC should look into.
Some of these
practices are:
It has been made
known that some firms are using possibly misleading marketing methods and
exaggerating potential savings to get consumers to sign prolonged rents for
rooftop sun-based power systems. According to reports, consumers are being
lured by some solar renting firms who offer no rent money for a 20-year rent
agreement. The marketing presentation, notwithstanding, supposedly amplify
power grid rates. If these accusations are true, these potentially deceptive
rents could be a grievous threat to consumers as they are bound to our
citizens’ homes and have the possibility to induce substantial damage to the
solar industry.
In a similar move
the previous month, four House Democrats who were all from Arizona (one of
America’s major solar markets) asked the Consumer Financial Protection Bureau
(CFPB) to look into it whether it is possible for consumers to be harmed by the
sales practices.
In the November 19 letter, they emphasized their support for the flourishing rooftop sun-based power industry. They also stated the need to address a number of issues to ensure consumers considering solar are not deceived by solar salespeople who deliberately omit essential information or skip over the disadvantages of solar rent.
They asked the
CFPB questions like:
What actions has
the CFPB taken to look into the possibility that deceptive marketing methods
are being used in the rooftop solar industry?
What measures are
put in place to guarantee that consumers who are looking at entering into solar
renting for a prolonged period are made fully informed of the long-term
implications of these proceedings? For instance, studies suggest that
third-party rents may lead to an escalation of prices to house sellers with the
outcome that other buyers will not want to purchase the sun-based power system
or cannot assume the rent, therefore making real estate transactions complex.
What actions has
the CFPB carried out to look into the displeasure that has developed from the
marketing methods being used by some rooftop solar renting companies?
Has the CFPB
thought of doing an employee reappraisal of third-party-rents in the rooftop
sun-based power industry and giving advice on how consumers considering these
transactions can be educated?
The CFPB is yet to release anything a response to the Democrats’ letter as at the time of this writing, and the FTC addresses nothing in particular to third-party solar rents on its website. It’s definitely just a matter of time before all these changes are made. Even though politics has a role in the ongoing discussion, the fact remains that there is a need for robust competition and transparency in the market for an industry to be a workable, sustainable one. If the CFPB and FTC intervene to regulate the sales practices of solar rent suppliers, it will definitely result in amelioration on both these fronts for the absolute benefit of both the consumers and the solar industry.
Can we safely conclude that solar renting is not a good idea?
No! It only requires that you do your own research to ascertain that you are getting the best available bargain on solar. You should also bear it in mind that deals differ and some deals are more beneficial than others. You need to be wise when shopping for solar. Below are some helpful points to help you choose wisely when shopping:
Assume your rooftop is an asset that solar renting firms want to possess. The amount of money these firms make is dependent on the amount of power your panels produce.
Think of a solar rent just like any other major purchase: Be proactive; do not just consider the fact that you may not pay anything up-front.
Try to get the best deal by comparing varieties of options from different companies. There are a number of competing companies that offer solar renting bargains; use this for your advantage.
As an alternative to solar renting, consider a solar loan. Solar loans offer almost the same advantages as solar renting with the additional benefit of you owning the system when the loan is paid off.
If you have enough money, then you should consider buying a solar system. For those who can afford it, it’s often always better to go for the up-front buying of the solar system.
The sun has always had the potential to be of solar benefit to mankind. Ever since humans knew that the sun has energy in it that can be used to our benefits, we have been looking into ways by which this can be achieved. It began in the 17th century when the Greeks and Romans used mirrors to tap energy from the sun in other to light fire. The Chinese were said to participate in this feat as well. Monks were said to design mirror plates for cooking purposes. These mirror plates, facing the sun concentrated the power of the sun toward the cooking utensils. This will produce a certain amount of heat needed to cook. This technology was also used according to history to heat up an oven. This heat was hot enough to melt metals. An innovation that was used for ages and is still been used today is the concept of the sunroom. This is usually a room in the building were huge mirrors windows were positioned to concentrate the sun heat to the room. All of these concepts and methods of tapping solar energy show to us that solar energy can be used for multiple purposes. This spurred the continuous research work along that line.
Types of solar
panels:
Many years later, it was discovered that the sun could actually provide us with electricity. This is as a result of the discovery of the Photovoltaic effect (PV effect) which is the production of electricity by placing two metal electrodes in a conducting solution. The idea was then used in the development of selenium. Selenium is the first element used in the production of solar panels. This is because selenium produces electricity when exposed to sunlight. This idea was then used to produce the very first set of solar cells produced from selenium wafers. Today, solar panels are produced out of silicon because it is a very durable element and it is in abundance. The general idea is the same as when selenium was used. Using silicon, the solar panel production endeavor has evolved in so many ways.
We now have the solar panels in two major types which are:
Monocrystalline solar panels (mono) and
Polycrystalline solar panels (poly)
Solar panels are a modern-day invention which, away from the use of mirrors, is the medium of converting solar energy into electricity. Both the mono and poly solar panels perform the same purpose. They take the sunlight energy and convert a portion of it into electricity. Many solar manufacturers of solar panels produce two types. The difference between the two lies in the way by which the silicon in them is arranged. In the mono panels, the silicon is arranged in bars while in the poly panels, the silicon is melted and arranged into fragments. Both can be a good choice for your home or commercial building. However, there are certain features that differentiate the two types of technology and these can serve as an instrument in making your decision. You, therefore, need to understand these differences before you make your final decision.
Difference between monocrystalline and polycrystalline solar panels:
The mono panel is usually thought to be the premium solar product. They have higher efficiency and more sleek aesthetics. They are more efficient than poly solar panels. Though they can be expensive, however, their rate of efficiency covers up for this deficiency. They look black in color. They have the general characteristic of a long lifespan of about 25 years and above.
The poly panels, on the other hand, generally have a lower efficiency than the mono panels. This means that the rate of conversion of sunlight to electricity is low compared to mono panels. They, however, are sold for less. The lifespan for a mono panel stands at 25 years and above. The blue hue is the signature color for poly panels.
Comparing
Mono-crystalline and Polycrystalline solar panels:
The question of which of the two are best and
which should be chosen remains open. This is because of certain factors that
are consequential to choosing any of the two major solar panel designs. Your
choice of any of the two should be based on a personal decision, the quantity of
space available, and the financing options available to you.
Personal
choice: two things can influence your personal choice. One is the color
of the panel. Since both panels appear differently on the rooftop. Mono panels
appear looking black on the roof while poly panels appear looking blue in
color. Whichever one you prefer will influence your choice. Secondly, the place
where the panel is manufactured matters more for some people. Some prefer
panels that are locally made for reasons best known to them.
Space
available: panels with high-efficiency rate will cover a lesser quantity of
space. This is because a single panel is not enough to power your building; you
will need to combine panels in multiples. The quantity of electricity you need
to power your building will determine the number of panels you need to combine.
Using a panel with high-efficiency rate means you will need a fewer numbers of
panels to reach electricity generation goals. You will need more panels that have a lower-efficiency rate. The number of
panels you need to combine will translate to the quantity of space you need. If
you have limited space then you might want to consider using panels with a
high-efficiency rating.
Financing
options: the cost of installing a solar system can be expensive. This is because of the cost of solar panels. And, you
have to purchase them in multiple numbers depending on what you need. If you
have enough financial capacity or financial support, you might want to go for
the mono panel which is more expensive. Otherwise, you will have to go to the
poly panels. But remember, poly panels are less efficient which means, given
the same condition, you need to combine them in more numbers than mono panels
in other to make up the lack in efficiency.
It is recommended that you explore your options with both the mono and poly panels in other to make the most appropriate decision.
Your specific financial objectives
determine your choice on how to finance your sun-based power system.
The primary difference between purchasing and renting a sun-based PV system is in possession. Purchasing a sun-based power system (either by paying directly with cash or paying off a solar system loan) gives you full ownership of the system. The sun based power system is owned by a third party if you rent the system or consent to a PPA (Power Purchase Agreement).
This difference
affects your sun-based power system’s investment, maintenance cost, terms,
savings and degree of profitability. Moreover, not all organizations offer
solar renting as well as PPA so do well to ensure that your selected supplier
offers the financial option which you desire. Note that PPAs are not lawfully
allowed in many zones.
It is best for you to acquire a sun-based
power system with money or financing a solar loan purchase if you….
Need to maximize the budgetary advantage of introducing a sun-based power system, instead of taking advantage of the ecological benefits of the system alone;
Are qualified through bureaucratic venture charge credit to decrease your government and state charge risk;
Are business and you can take advantage of tax cuts by regarding the sun-based power system as a depreciable resource;
Need to expand your home’s market estimation by introducing a sun-based power system.
Your best solar alternative is to rent or
PPA when you…
Are basically interested in taking advantage of the
ecological benefits of the system as opposed to maximizing
the budgetary advantage of introducing a sun-based power system;
Need to stay away from the obligations of upkeep or fixes
for sun based power system;
Are not qualified by investing in a sun-based power system
to decrease your government and state charge risk;
Cannot wait till the next year for the budgetary advantage
of tax credit.
Carefully analyze: Purchasing VS renting
solar
There are a lot
of distinctions in the cost, upkeep, terms, financial offset opportunities, and
investment savings/returns which all depends on your choice of financing.
Cost of solar installation
Solar rent/PPA
A sun-based power system can be gotten for little
money or even nothing.
Only the third party owner of the system can receive
incentives, refunds, and tax credits so you won’t eligible for all those.
Solar
loan/purchase with money
Before refunds and incentives, the sun-based power system
can cost between $15,000 and $30,000.
You can get up to a 50% reduction in the total cost of
cash purchase. Majority of the solar installers will deal with the
administrative work and modify the price tag to reflect the total cost.
Solar Maintenance
Solar
loan/purchase with money
You are responsible for the upkeep of the system because the system belongs to you. Solar equipment lasts for a long time and often comes with warranties so there is less upkeep for you to do.
Your purchase might not include an application to track your system’s framework execution.
Solar rent/PPA
The obligations of upkeep are solely by the solar company because they own the system.
Most of the time, you get an application that tracks your system’s framework execution.
Terms
Solar loan
Loans are commonly accessible for terms of 10 to 20 years
at an interest rate of 3% to 8% provided you have a 640 or higher FICO rating.
Solar rent/PPA
Solar rent/PPA is commonly for a period of 20 to 25 years
after which you can decide to renew the agreement or buy the system directly.
Investment savings/returns
Solar
loan/purchase with money
Based on your property as well as the incentives in your
zone, you can spare up to 40% to 70% on power cost throughout the lifetime of
your sun-based power system.
You get free electricity throughout the lifetime of your
sun-based power system (which usually ranges from 25 to 30
years).
Solar rent/PPA
Based on your property as well as the incentives in your
zone, you can spare up to 10% to 30% on power cost.
Before making your decisions on whether
to purchase or rent your sun based power system, thoroughly analyze your
financing options.
Make sure you explore
all the available financing options before making your decisions. All scenarios
are not the same so there a quite a number of factors to consider to determine
what is best for you.
Since the introduction of solar power into the modern world, many reasons have been generated in support of the idea. Promoters of the ideas have tried to come up with several reasons why we need to go solar. A benefit of going solar that affects us all is that it protects the environment. Because of the carbon emission that is associated with the other sources of electricity, this tends to affect the environment in certain negative ways. The emissions pollute the air, causing climate change and some other environmental diseases. Climate change has been identified to be the cause of many natural disasters such as tsunamis. This is why people and organizations who are concerned about environmental issues embrace the idea of going solar. The electricity that solar panels give is totally free of emission.
Those who are into real estate use the installation of a solar system in the building they are trying to sell as a means to increase the value of the property. Studies have shown that people tend to buy more quickly and pay more for homes that have solar systems installed in them. Another specific benefit of solar system installation offers is that you have the opportunity to be energy independent. With the use of a solar power system, you begin to provide yourself with electricity totally free from any form of electricity bills. This is the most striking aspect of the “going solar” idea.
Because of the fact that solar energy is renewable energy, it makes it possible to independently generate electricity over many years for free. Solar energy is gotten from the sun, and the sun is a free gift of nature. No one will bill you for tapping energy or generating electricity from the sun. You are an independent generator of electricity. This brings us to take a look at this major benefit. Should you consider the option over electricity that is generally provided? Which is more expensive: paying electricity bill of paying the cost for solar system installation?
Electric Costs
vs. Solar Costs
In considering if you should go for solar
electricity generation for your home, there are two major factors that you need
to put into consideration. You need to know:
The cost of solar system installation and
The rate of your electricity utility bill.
The decision to go solar can only make sense if
the cost associated with the solar system is less than that of the cost you pay
for grid electricity.
For solar energy, the cost of solar panels, which is the major cost you will incur when going solar, has proven over time to come down. The cost of solar panels when it was first discovered is not the same as it is today. In the past, many could not afford to make the purchase because of the high cost involved. Today, solar panels have commercial value as a result of the reduction in cost. Many homes now use solar systems since they can afford it.
For electricity, the cost of grid electricity has
over the years fluctuated, rising more times than it has fallen. If it has been
this way over the last ten years then its only makes sense to predict that in
the years ahead, the cost of electricity will keep rising. Therefore, the idea
of going solar is a welcome idea.
Key facts about
Electric Costs vs. Solar Costs
The rate of retail electricity has fluctuated over the course of 10 years. Statistics show that it went up more times than it came down. This trend is not likely to change over the years ahead as the cost surrounding the production of retail electricity keeps rising. For example, the cost of natural gas has increased and as it does, the electricity rate will also increase.
When you install a solar system in your home, the cost of electricity in your home will be totally free.
The solar system pays itself off over the years. It is true that it is costly to install a complete solar system in your home. However, since the system has a lifespan of over 25 years, it will pay itself off in about 5 to 10 years after installation. You know this by calculating how much your electricity bill would have been over those years if your home was without the solar system. Therefore, paying the cost of solar system installation is like paying your electricity bill in advance. If you made the installation with a loan, you would eventually pay off the loan in the lifetime of the solar panel.
You save money in the long run with the solar system. This because the cost of solar installation will not be paid in the entire lifespan of the solar system. You will still have some years left after the solar system has paid itself off.
What should you
expect after going solar?
Your electricity bill will certainly be reduced or entirely go extinct.
You might continue to pay stipends over the years to cover the cost of the solar panel if you financed the installation through loans. This means the freedom might not be immediate but you will eventually get to consume electricity for free. It’s only a matter of time.
If electricity pricing rates eventually go down, you may temporarily find yourself paying more than you would have if you stayed with retail electricity. Chances are that the price will eventually go back up. Statistics back it up. You, therefore, have nothing to worry about.
The competition between solar and retail electricity is already concluded. Going solar has been and will continue to be a viable choice.
According to a recent study by the Lawrence Berkeley National Lab (LBL), the installation of panels for solar powergeneration can cause a major appreciation in the value of your property. A report titled “Selling into the Sun: Price Premium Analysis of a Multi-State Dataset of Solar Homes”, says that in California, the homes that have panels for solar energy are more expensive than others that do not.
Is value added to a house because of
panels for solar?
Panels for solar power increases home value. If you are considering buying a solar power generating system for use in your home, the information found in the LBL study will show you that a reasonable investment is being made. The LBL study discovered that homes in states including California, Connecticut, Maryland, New York, Massachusetts, Florida, and Pennsylvania with solar panels enjoy benefits from a ‘solar premium’ if sold as a result of the willingness of buyers to pay extra for homes with solar panels.
What value does solar power add to homes?
Example: A 5
kilowatt (KW) system of solar (the nation’s average) offers power worth 5,000
watts. LBL declares that each solar watt adds approximately $4 to the value of
California homes and approximately $3 for a unit watt in other states. Hence,
solar homes ought to be sold for approximately ($4 x 5,000W =) $20,000 higher
in California or ($3 x 5,000W =) $15,000 higher outside of California.
Potential buyers who consider whether panels for solar power appreciate the value of homes was pleasantly surprised. The amazing thing about the figures is their closeness to what a brand new solar system can be purchased for today.
Our price
analysis of a system of solar of 6KW in California shows many of the more
costly systems are above $4/W. And be conscious that you would pay for the cost
before taking the magnanimous 30% incentive of federal tax which is available
Cheaper power from solar is your optimal
investment in California
The feeds state that the distinction between the California premium panels for solar and non-Californian states is ‘not significant by statistics’: Premiums that are lower may be as a result of “estimates of income and net costs that are lower” that are in other states. In other words, non-Californian states premium deals with installation of solar prices and rates of electricity that are lesser instead because the valuation of solar there are lower.
All these imply
that if your house is sold quickly after the installation of a system of solar,
most or every of your investment will be recouped while money from your bills
of power is saved. This is a confirmation of what we have stated earlier: Power
from solar system’s periods of payback is not something of excess concern.
Either the value
of your home will be significantly increased by your system of solar if you
make the decision to sell your house off, or by itself, it would pay off
through the savings of power bills, before moving out. In either case, a good investment
is solar.
Other fascinating points in the feeds
include:
The premium for solar for homes that are newly built was a little bit lower than homes that are older, showing that installations of solar that are retrofit are equivalent to systems that are built into the house.
Homes with bigger systems have a smaller $/W premium, showing the possibility of an effect which is known as ‘green cache’. As stated in the report, “Purchasers may be desirous to pay a specific amount for owning a PV system of any size on their homes and increment that is more dependent on the system’s size”.
The writers propose that homes which opt for solar via leases or programs of PPA should be future research areas; the recent study scrutinize only homes that have systems that are owner-owned.
The process of harnessing solar energy is not just as straightforward as we have sunlight. This is why a lot of research has gone into the development of this technology. Every penny spent in order to achieve this aim is worth it because, as it has been said, there is no need to spend on renewing the source. Once a system of harnessing the power has been gotten, it remains a fixed asset unto us and we need not spend to keep or maintain the source. It is this knowledge that has made those who spent endless to keep spending and funding the research work. Not until recently when it became clear how solar power can be a source of electricity and how it can be mass produced and consumed in mass. Our doubts have now been cleared. Ongoing projects now focus more on the improvement of solar panels and how solar panels can become more efficient and less costly, this is so that a majority can have and make use of it. Since solar panels are the major component of the solar power system.
It has been said that the
amount of energy the sun produces in an hour is more than enough to supply the
world with power for more than a year. If this is true, why not then harness
it? Harnessing solar power is not a new concept. However, there has been a
great development in recent years that has helped us put solar energy to more
use. The solar system built around the generation of electricity is a recent
development. It is an advancement in technology.
Solar panels are the major component of the solar power system. In the early stages of the development of solar panels, the cost of getting one was way over the financial capacity of many, making it almost impossible to fully gain commercial value. However, over the years and with consistent research and adequate funding, the cost of solar panels has drastically reduced. The use of solar panels has now become less costly when compared to a traditional electricity source. As a result, many homes have turned to the use of solar energy as a source of power. This in turn, has given rise to the birth of many companies that manufacture solar panels. East Asia has become the hub for the manufacturing of solar panels. Manufacturers build their production plants in a country like China even if raw materials are sourced from some other places.
Does it matter where solar panels are made?
Should the place where a solar panel is
manufactured matter in any way? The answer to this question is simple. To
someone who wants to go solar, creating a balance between the cost and quality
of the solar panel should matter more than where the panel is produced. In
other words, it should matter more to you as a homeowner to go solar with
efficient, long-lasting and durable solar panels.
What if I am concerned about the country of solar manufacture?
The country of production is definitely important. We all have what we prefer. You may prefer to purchase products manufactured in your country for patriotic reasons or maybe because you trust products made in your country more and this is good. However, it should not be a compromise on quality and cost. Striking the balance between these two should be of more importance. Some solar companies have their headquarters in the States and their production facility is based in another country. This, however, does not change the company’s product quality. In summary, one thing is certain and remains undisputed: there is little or no interrelationship between a company’s country of manufacture and the company’s product quality, which should be the most important factor in your decision-making process.
The amount of solar energy the sun offers on an hourly basis is beyond what we can consume in a year. The energy that comes from the sun is important to us in many ways, including providing us with electricity. However, the sun will not automatically power our house. There needs to be a mechanism made available to tap this energy and convert it to electricity that will then power your home. Technology will grow over the years, and the majority of our appliances will be solar powered.
Homes will become independent by producing their own electricity. The exciting aspect is that it will not just stop there. Homes will soon become inter-dependent. This means that homes will begin to supply each other electrical power. The development in net-metering law allows a home to supply electricity to other homes and building if it produces more energy than it can use. This service to others will be rewarded in the form of a credit on your utility. This system gives you retail value for the power that you generate in excess.
Why you
should go solar:
There are other benefits you stand to gain from the use of solar energy. Let’s take a look at these other benefits.
Going solar is better for the environment: this is one major reason solar energy has become popular. The fact that it is renewable energy which has no harm to society when it is been consumed makes it a welcomed idea. The traditional source of energy like coal and gas emit substances that are harmful to the environment. Solar energy is not in that league.
You will save some money on your utility: aside for the cost of purchasing the solar panel, you will not have to pay money for electricity anymore. Since the energy power is from the sun and the sun is a free gift of nature; nobody will charge you for tapping energy from the sun. You have the possibility of providing energy to others in retail value which is another benefit of going solar as explained above.
A solar power system is a combination of several solar energy generating components. Components such as the photovoltaic (PV) panels, the DC to AC converter usually an inverter primarily make up a solar power system. There are others such as the energy storage battery, the voltage regulator and so other mini accessories. How all these work to provide you with electricity is that the PV panels, combined in multiples arrays, capture the photons that are generated by the sunlight. These photons are then converted into electrons which will generate the direct current (DC). The inverter receives it and converts it into an alternating current (AC), which powers your home.
When choosing your solar panel, you need to choose carefully since it’s a major component of the success of solar power generation. There are two major types of solar panels: polycrystalline and monocrystalline. Polycrystalline panels are sold at lower prices, however, they are sensitive to high temperatures, have a shorter lifespan, and are less space efficient. Mono-crystalline panels are expensive to buy but they are highly efficient, suitable for commercial use, and have a longer lifespan.
Solar Efficiency
The features of solar panels you are to be concerned about are its solar efficiency, the cost, the warranty on it, and technology type. This brings us to the discussion about solar panel manufactures. The current top three solar panel manufacturers are JinkoSolar, Trina Solar and Canadian Solar. However, there have been changes in the last few years which have seen the introduction of some new entrants into the solar manufacturing industries. Also, old solar manufacturing companies are now gaining market. Because of the increase in demand for solar power, companies now can compete.
Solar Power Components
Let’s take a deeper look into the major and minor components that make up a proper solar power generating system.
Inverter: this is the system that helps convert
the DC to AC which is needed by the homes.
Performance Monitoring Device: this device helps
to check the health of the system. It will also indicate how much electricity
is generated and indicated when there is a change.
Storage options: this is in the form of rechargeable
batteries which can be installed to help store up energy for future use. In
some places, your excess energy is sent to the grid in exchange for credit.
Solar panels: this is the most important
component of the solar power generating system. It is this component that
adsorbs power from the sun. Without it, there will be no solar power
generation.
How to
choose a Solar Panel
When choosing your solar panel, you need to choose carefully since it’s a major component of the success of solar power generation. There are two major types of solar panels: polycrystalline and monocrystalline. Polycrystalline panels are sold at lower prices, however, they are sensitive to high temperatures, have a shorter lifespan, and are less space efficient. Mono-crystalline panels are expensive to buy but they are highly efficient, suitable for commercial use, and have a longer lifespan.
The features of solar panels you are to be concerned about are its solar efficiency, the cost, the warranty on it, and technology type. This brings us to the discussion about solar panel manufactures. The current top three solar panel manufacturers are JinkoSolar, Trina Solar and Canadian Solar. However, there have been changes in the last few years which have seen the introduction of some new entrants into the solar manufacturing industries. Also, old solar manufacturing companies are now gaining market. Because of the increase in demand for solar power, companies now can compete.
Choose the Best Solar Manufacturing Company
The question now is, is it a must that the solar company you buy your solar panel from must be one of the top manufacturing companies? It is important you know that the quantity of sales made is the major determining factor for ranking solar manufacturing companies and not necessarily the quality and cost-benefit the customers derive. Therefore, if you are choosing to go for one of the top manufacturing companies, be sure you are not just purchasing from them because they are a top company but also because they offer you quality in exchange for money. Your solar panel is supposed to be effective and last you at least two decades of use.
An announcement was made by the Trump administration on the 22 of January to place 30% tariff on photovoltaic panels and cells brought into the States. As a result of the announcement, lots of concerns were elevated about the solar marketplace. One of the major concerns raised was where one can discover American made solar panels.
A lot of the solar jobs in the United States take advantage of imported solar panels, but there are additionally numerous U.S. producers. Some of the making firm’s headquarters are not positioned in the United States. Below are some solar companies that manufacture all or the majority of the solar panels in the U.S.
Manufacturers of photovoltaic panels in the U.S. (2019 )
Tesla/Panasonic- at Buffalo, NY (U.S.
manufacturing center).
SolarWorld Americas at Hillsboro, OR.
Silfab Solar at Bellingham, WA (U.S.
manufacturing facility).
SolarTech Universal at Riviera Beach, FL.
Mission Solar at San Antonio, TX.
Seraphim at Jackson, MS (U.S. headquarters).
Solaria at Fremont, CA (U.S. head office).
Heliene at Mountain Iron, MN (U.S. production
facility).
Various other remarkable solar panel business:
SunPower at San Jose, CA.
Solar Electric America at Richmond, VA.
SolSuntech at Virginia.
Prism Solar at Highland, NY.
MiaSolé at Sunnyvale, CA.
First Solar at Perrysburg, OH.
JinkoSolar at Jacksonville, FL.
Hanwha Q CELLS at Dalton, GA.
GreenBrilliance at Baltimore, MD.
LG Solar USA at Huntsville, AL.
Lumos Solar at San Jose, CA.
Auxin Solar at San Jose, CA.
Global Solar at Tucson, AZ.
CSUN at McClellan Park, CA.
CertainTeed Solar at San Jose, CA.
Two points should be kept in mind concerning the listing of the American manufacturing solar panel business over.
First, these companies collect some or every one of the parts of the solar panel and generate the key elements from other nations. All the components that are imported are typically positioned under the solar toll, though the very first 2.5 gigawatts (GW) are omitted from the solar toll for every year. (For even more understanding, the U.S. linked 12GW of solar in 2017, for which a calculated value of 2.5 GW solar panel was made in the U.S.).
Secondly, the checklist of all the business’s headquarters above is not totally located in the United States. For instance, Heliene has its headquarters somewhere else. Some like SolarWorld Americas are subsidiaries to worldwide producers. However, they will create a lot of their solar panels in the United States.
Check out for additional information on some business
associated with making photovoltaic panels in America.
SolarWorld Americas and Suniva.
Update January 2019: Suniva declared bankruptcy in 2018 and
also is presently going through procedures.
These two recognized firms, though on the list have been seen a current of late asking the U.S. government to reassess the levy placed on global photovoltaic panel companies.
There is a disagreement in the solar panel market relating to the tariff and if it will help the manufacturing of the solar sector in the long run. Some anticipate an unfavorable impact on the solar market in the U.S. due to the rise in the cost of manufacturing. The Association of Solar Energy Industry calculates that there will certainly be a loss of jobs in solar panel setup field and also a great rise in tasks in the generating industry.
In the short term, SolarWorld introduced they will certainly
be boosting the degree of solar panel manufacturing in the U.S. Suniva did not
make any kind of public news on the strategies.
You can experience the testimonials on SolarWorld and Suniva
for a much better understanding of their solar panels.
Heliene Solar.
Heliene lies in Sault St.Marie, Ontario, Canada, and the majority of the solar panels are produced there. Heliene also has a production center in Minnesota. Heliene solar panels are appropriate for the made in Minnesota solar reward program, which provides financial value to Minnesota solar panel proprietors that connect the photovoltaic panels in the created state.
After the White House news of the solar toll, Heliene stated
that it was buying a fresh line of devices at the facility in Minnesota.
Mission Solar.
Mission solar is a San Antonio, Texas-based solar company where the setting up, making and engineering of solar panels is done. They are additionally associated with the production of large-and-small- range solar panel projects.
Like a lot of sectors on the listing, Mission Solar said
that they will be boosting production in 2018, though their strategies have
actually been in production considering that 2017 because of boosted production
and also not as an item of the profession case.
Seraphim.
Seraphim Solar USA is the U.S. possessed partner of Seraphim Energy Group, which is based in China. Seraphim Solar USA produces all of its photovoltaic panels in the United States at its industrial structure in Jackson, Mississippi.
Silfab Solar.
In 2018, Silfar Solar got the U.S. panel producer Item
Energy. Silfab Solar makes modules in Washington State as well as Toronto,
Canada.
For further information worrying the business’s items, red
the complete Silfab Solar review.
Solaria.
Soloria is a U.S. based business that produces solar panels both in South Korea as well as Fremont, California. Soloria proclaimed that they had actually allocated $23 million to extend producing capacities at the beginning of January 2018.
Read even more details on the business’s items on Soloria
review.
SolarTech Universal.
This photovoltaic panel generating firm is based in Riviera
Beach, Florida. The company anticipates a great influence on business as a
result of the toll and likewise considers that over time the gains will
certainly be exceeded by the costs or purchases.
SunSpark Technology.
Sunspark Technology is a Californian business found in
Riverside, California. Its founding company is positioned in China. Sunshark
has actually not made a general discuss the tariff.
Tesla/Panasonic.
Tesla Energy has actually partnered with Panasonic to
produce solar panels in the United States at the Tesla Gigafactory 2 in
Buffalo, New York. At the beginning of January 2018, the company openly
revealed that the production of solar cells had commenced at the center for
both Tesla solar roof covering and Panasonic photovoltaic panels.
Panasonic creates all of its photovoltaic panels overseas; they have actually not been able to satisfy the demand of Tesla’s energy. Both companies anticipate boosting production in the coming year. Although Tesla discussed the toll in 2017 however also restated its commitment to the U.S. government after the tariff start was made.
An announcement was made by the Trump administration on the 22 of January to place 30% tariff on photovoltaic panels and cells brought into the States. As a result of the announcement, lots of concerns were elevated about the solar marketplace. One of the major concerns raised was where one can discover American made solar panels.
A lot of the solar jobs in the United States take advantage of imported solar panels, but there are additionally numerous U.S. producers. Some of the making firm’s headquarters are not positioned in the United States. Below are some solar companies that manufacture all or the majority of the solar panels in the U.S.
Manufacturers of photovoltaic panels in the U.S. (2019 )
Tesla/Panasonic- at Buffalo, NY (U.S.
manufacturing center).
SolarWorld Americas at Hillsboro, OR.
Silfab Solar at Bellingham, WA (U.S.
manufacturing facility).
SolarTech Universal at Riviera Beach, FL.
Mission Solar at San Antonio, TX.
Seraphim at Jackson, MS (U.S. headquarters).
Solaria at Fremont, CA (U.S. head office).
Heliene at Mountain Iron, MN (U.S. production
facility).
Various other remarkable solar panel business:
SunPower at San Jose, CA.
Solar Electric America at Richmond, VA.
SolSuntech at Virginia.
Prism Solar at Highland, NY.
MiaSolé at Sunnyvale, CA.
First Solar at Perrysburg, OH.
JinkoSolar at Jacksonville, FL.
Hanwha Q CELLS at Dalton, GA.
GreenBrilliance at Baltimore, MD.
LG Solar USA at Huntsville, AL.
Lumos Solar at San Jose, CA.
Auxin Solar at San Jose, CA.
Global Solar at Tucson, AZ.
CSUN at McClellan Park, CA.
CertainTeed Solar at San Jose, CA.
Two points should be kept in mind concerning the listing of the American manufacturing solar panel business over.
First, these companies collect some or every one of the parts of the solar panel and generate the key elements from other nations. All the components that are imported are typically positioned under the solar toll, though the very first 2.5 gigawatts (GW) are omitted from the solar toll for every year. (For even more understanding, the U.S. linked 12GW of solar in 2017, for which a calculated value of 2.5 GW solar panel was made in the U.S.).
Secondly, the checklist of all the business’s headquarters above is not totally located in the United States. For instance, Heliene has its headquarters somewhere else. Some like SolarWorld Americas are subsidiaries to worldwide producers. However, they will create a lot of their solar panels in the United States.
Check out for additional information on some business
associated with making photovoltaic panels in America.
SolarWorld Americas and Suniva.
Update January 2019: Suniva declared bankruptcy in 2018 and
also is presently going through procedures.
These two recognized firms, though on the list have been seen a current of late asking the U.S. government to reassess the levy placed on global photovoltaic panel companies.
There is a disagreement in the solar panel market relating to the tariff and if it will help the manufacturing of the solar sector in the long run. Some anticipate an unfavorable impact on the solar market in the U.S. due to the rise in the cost of manufacturing. The Association of Solar Energy Industry calculates that there will certainly be a loss of jobs in solar panel setup field and also a great rise in tasks in the generating industry.
In the short term, SolarWorld introduced they will certainly
be boosting the degree of solar panel manufacturing in the U.S. Suniva did not
make any kind of public news on the strategies.
You can experience the testimonials on SolarWorld and Suniva
for a much better understanding of their solar panels.
Heliene Solar.
Heliene lies in Sault St.Marie, Ontario, Canada, and the majority of the solar panels are produced there. Heliene also has a production center in Minnesota. Heliene solar panels are appropriate for the made in Minnesota solar reward program, which provides financial value to Minnesota solar panel proprietors that connect the photovoltaic panels in the created state.
After the White House news of the solar toll, Heliene stated
that it was buying a fresh line of devices at the facility in Minnesota.
Mission Solar.
Mission solar is a San Antonio, Texas-based solar company where the setting up, making and engineering of solar panels is done. They are additionally associated with the production of large-and-small- range solar panel projects.
Like a lot of sectors on the listing, Mission Solar said
that they will be boosting production in 2018, though their strategies have
actually been in production considering that 2017 because of boosted production
and also not as an item of the profession case.
Seraphim.
Seraphim Solar USA is the U.S. possessed partner of Seraphim Energy Group, which is based in China. Seraphim Solar USA produces all of its photovoltaic panels in the United States at its industrial structure in Jackson, Mississippi.
Silfab Solar.
In 2018, Silfar Solar got the U.S. panel producer Item
Energy. Silfab Solar makes modules in Washington State as well as Toronto,
Canada.
For further information worrying the business’s items, red
the complete Silfab Solar review.
Solaria.
Soloria is a U.S. based business that produces solar panels both in South Korea as well as Fremont, California. Soloria proclaimed that they had actually allocated $23 million to extend producing capacities at the beginning of January 2018.
Read even more details on the business’s items on Soloria
review.
SolarTech Universal.
This photovoltaic panel generating firm is based in Riviera
Beach, Florida. The company anticipates a great influence on business as a
result of the toll and likewise considers that over time the gains will
certainly be exceeded by the costs or purchases.
SunSpark Technology.
Sunspark Technology is a Californian business found in
Riverside, California. Its founding company is positioned in China. Sunshark
has actually not made a general discuss the tariff.
Tesla/Panasonic.
Tesla Energy has actually partnered with Panasonic to
produce solar panels in the United States at the Tesla Gigafactory 2 in
Buffalo, New York. At the beginning of January 2018, the company openly
revealed that the production of solar cells had commenced at the center for
both Tesla solar roof covering and Panasonic photovoltaic panels.
Panasonic creates all of its photovoltaic panels overseas; they have actually not been able to satisfy the demand of Tesla’s energy. Both companies anticipate boosting production in the coming year. Although Tesla discussed the toll in 2017 however also restated its commitment to the U.S. government after the tariff start was made.
