How long will the system last and what should I know about warranties?

Standard Warranties are between 20-25 years for all California Energy Commission approved Photovoltaic Modules. Some companies have in recent years decreased their warranty from 25 or 30, to 20. This is not due to module failure. The warranty guarantees 80% output efficiency at 20 years. It is the nature of Silicon Conductors to slowly lose efficiency over time; however, it amounts to less than 1% annually.

What factors should be considered when sizing a system?

The rate structure that the proposed building is to be billed at is a good place to start. However, the installation of a Solar System is likely to provide a measure of flexibility in choosing a rate structure to fit the needs of the facility. Southern California Edison has a number of Time of Use rate structures that may increase the effectiveness of a (PV) system in lowering or eliminating the bill.

What to consider when forecasting future electric utility rates?

Utility prices are a factor of generation, transmission, and distribution costs. America’s power-generating infrastructure is aging, which requires and will continue to require investment. According to a study done by the Edison Foundation, “The Energy Information Administration (EIA) and the North American Electric Reliability Council (NERC) both project that more than 50,000 megawatts (MW) of new power plants will be needed to meet demand growth through the year 2014.” Along with soaring prices of inputs such as coal, oil, natural gas, and uranium, the price of electricity has reason to climb further.

Is a 6.5% annual increase a reasonable estimate of future utility rates?

6.5% is what most Solar Installers estimate when calculating a payback period for customers. 7% is an accepted historical rate of increase for electric utilities. Given the current state of Energy, along with global demand and movement in prices, a 6.5% annual rate of increase used to estimate the payback period may be considered quite conservative.

What about rate increases specific to SCE?

Southern California Edison has increased rates at the top tiers for residential customers by 13% since 2000. SCE has recently proposed to raise rates an average of 12.1% starting October, 2009.

How much space does the system need?

A typical system requires about 7 to 8 square feet for each dollar of your electric bill. This figure varies depending upon your electric rates.

What happens when the utility has a power outage?

Most systems we sell are “clean power” systems, without batteries. These systems do not generate power when the utility is out, even if it is sunny. If backup power is desired, a battery system can be added. This increases the complexity and cost. Most people find that a grid-interactive system without battery back up is the perfect way to go. Some areas where residents experience blackouts frequently, as in Palos Verdes, may opt for a battery backup system.

What is Net Metering?

Net Metering is the regulatory ability to get credit for electricity you generate with solar energy and send backwards through your utility meter. Exact provisions vary with each state, but the effect is to allow you to generate excess power during the day, and use it at night, without needing batteries.

If I sell my property, what effect does PV have on the sale price?

Energy conservation and renewable generation adds value to a home. The Appraisal institute along with supporting surveys have shown that for every $1,000.00 saved per year, $20,000.00 is added to a home's value. Solar energy can be one of the best home improvement investments you make.

Contact us for a free Solar Evaluation today, and find out how you can lower energy bills and save up to 50% on a solar power system that uses clean, renewable electricity generated by the sun!