With the increasing cost of energy bills and demand for renewable energy sources, homeowners across the United States are turning to solar panels and batteries to save money and ensure they have access to power when needed. The cost to install a solar panel and battery system varies and can be high, but the long-term benefits of solar can save homeowners money in the long run. Lower energy bills, tax incentives, and rebates are just a few monetary benefits that make installing a solar system with Holu Hou Energy worth the investment.
Lower Energy Bills
The main benefit for many people considering solar panels and batteries for their homes or businesses is the reduction in energy bills. Solar panels allow for the generation of electricity from the sun, and thus properties with solar panels have less need to pull energy from the electricity “grid.” With solar, you reduce your dependence on purchasing electricity from a utility company. As electricity costs rise, you are protected from price increases by utilizing the electricity you produce with solar panels and batteries. The amount you save on payments to your power company may vary depending on the number of solar panels and batteries you have installed.
By generating your own electricity and storing it with solar batteries, excess energy production can be stored and used later. Other than reducing the cost of purchasing electricity from a power company, storing energy in solar batteries has the added bonus of protecting you through grid outages. Holu Hou Energy’s batteries are powerful enough to run your home normally, even with interruptions to the grid. Anything you don’t use during peak generation and usage time can be used when your solar panels aren’t producing, such as at night or when there are grid interruptions.
Another way solar panels and batteries can save homeowners money is through tax incentives. Although tax benefits can change over time, the federal government has provided homeowners with a solar Investment Tax Credit (ITC) since 2006. Similarly, individual states and local governments may offer tax incentives to encourage using renewable energy in their area. At least 45 states provide some opportunity for tax exemption, net metering, or loan program participation. As an example, Hawaii has a program called the Hawaii Scheduled Dispatch (“Battery Bonus”) Program that helps you get paid for your battery power after installation. Check out your state’s solar incentive offers; in most cases, state incentives are claimable on top of federal incentives.
In addition to tax incentives, some energy providers offer rebates to help lessen the initial cost of solar panels and battery installation. These rebates open the possibility of installing solar to more people, including low-income residents. Rebates can vary between providers and may be specific to solar panel system types or minimum energy usage and can be available for a limited time. Each program may also vary in the form they are offered, such as cashback or discounts; thus, it’s important to understand what is available in your area.
The benefits of solar panels and batteries are not limited to homeowners; tax credits can be claimed by businesses installing solar as well. There may be additional tax savings from the depreciation of solar panels and batteries as they are an asset and may be treated as such for tax purposes. Like residential properties, solar panels and batteries reduce energy bills and help owners avoid peak demand charges. Apartment owners may also get a boost in tenant renting interest for units that utilize renewable solar power. Sustainable living is increasing in popularity, and apartments with solar panels have lower electricity fees.
Installing solar energy storage in your home or business can be a significant step toward sustainable power and lower energy bills and can be done so economically. In addition to saving money over time, they are an environmentally friendly solution that can increase your home or business’s property value. They also give you independence and peace of mind knowing that if anything happens to the electrical grid, you have energy stored to keep your home or business running. Holu Hou Energy is happy to walk you through your solar panel and battery options and connect you with resources to understand solar incentives.