With the cost of a installing a residential solar system 43% less than just 12 years ago, it’s never been easier to use clean, green solar energy. Still not certain if your home needs solar? Here are seven signs that home solar will change your life.

To get pricing on systems in your area, click here.

1. Your Electric Bill is Skyrocketing

A recent analysis of government data conducted by USA TODAY revealed that households paid an average of $1,419 for electricity in 2010. The increase marks the fifth consecutive year that costs have risen. Households pay 20% more for electricity than they did just five years ago. According to the study, about $1.50 out of every $100 of after-tax income goes to pay for electricity.

For this reason alone, solar power is an enormous relief on yearly energy costs. By going solar, you’ll see savings on your bill immediately–savings that will only increase as electricity costs rise in the years to come. Many homeowners see at least 40% savings on their electricity costs right off the bat.

2. You Want Protection Against Future Electric Costs

Continually rising energy costs are here to stay, reversing a 25-year trend when costs remained stable, even when usage increased. Electrical companies say the rate increases are necessary to replace old power plants. Widespread use of residential solar systems lessens the need to build those power plants that derive their energy from fossil fuel, a win-win for the environment and homeowners alike.

3. You Live in a Sunny Climate

In areas with ample sunlight, a residential solar system is a no-brainer. Solar panels operate at their highest efficiency in direct sunlight, often generating more power than the home is using. In most states, whenever that happens, the surplus energy goes back into the electrical grid, and the homeowner is either paid or credited for it.

Best of all, even with a small solar system, you may experience months when your conventional electricity bill is negligible or offset altogether.

4. You Want to Take Advantage of Incentives

Right now, solar rebates offer you substantial savings on solar installation costs. The federal program alone saves you up to 30% off the cost to install a PV system. Most incentive programs have an expiration date, however, and in today’s political climate, continuation of many programs are uncertain. Fast action is recommended.

To see how much you can save with solar incentives, click here.

5. Your Consumption of Electricity is Climbing

According to a 2005 Energy Information Administration report, by 2035, energy consumption is expected to nearly double. Although energy-efficient appliances have become more widespread, residential consumption of electricity is still increasing. Larger homes, more electronics and a wider use of air conditioning are driving the increase in consumption.

But solar offers unique solutions to these problems. Besides reducing your fossil-fuel consumption, it was recently proven that solar panels actually cool your home, simply by absorbing heat and providing another layer of insulation for your roof. The savings from extra insulation are equivalent to getting a 5% discount on your system.

6. You Like to Be Kind to the Environment

The last dozen years have seen 10 of the warmest years on record. The oceans of the world absorb much of this heat, transforming sea environments and raising sea levels. Since 1995, the rate of glacier retreat has accelerated the world over, from the Rockies to the Himalayas, threatening critical freshwater supplies and increasing the risk of widespread flooding.

Solar is our best chance at widespread renewable energy implementation from the ground up.

7. You Want to Promote Personal Responsibility

Many Americans are anxious to do what they can to make the world better for the generations that follow. Residential solar systems show a desire to accept personal responsibility for a personal expenditure of energy–an investment that’s honorable beyond compare.

If you’ve been thinking about installing a residential solar system on the roof of your home, but are wondering if the system will save you enough money on your monthly electrical bills to make it worth the investment, we can help you decide if solar is right for you. How? Read on to find out.

Free On-Site Evaluations

The best way to determine if your home is a good candidate for solar is through the help of a solar installer. A professional solar contractor will conduct a free on-site evaluation of your home. The benefits of an evaluation are many, namely that you’ll receive information about:

• The specific location of your home
• Its orientation to the sun
• The size and strength of your roof

A solar contractor will then assess your current electrical usage, and will analyze all the data before giving you an estimate, not only for the costs and size of the proposed PV system, but for the amount of monthly savings that you can expect from going solar.

To get a free solar estimate in your area, click here.

Monthly Electrical Bills

Generally, if you are spending more than $200 per month on electricity, adding solar panels is a good option. If you’re spending more than $250 per month, you will most likely enjoy substantial savings with a residential PV system. When determining if you’ll save money with a PV system, however, sometimes it’s not how much you’re spending on electricity each month but at what rate.

Tiered Rates

Utilities usually charge electricity on a tiered system. The base tier is established by how much electricity the utility expects a home to use. Typically, this is 10 kilowatt hours per day. When your home uses more than the base amount of electricity during a day, you are charged a higher rate. Even a small solar system can significantly reduce electrical bills by allowing you to stay within the lower base yet.

How Much Electricity is Your Home Using?

A single kilowatt-hour of electricity represents 1,000 watts of electricity being used for one hour. A 100-watt incandescent light bulb left on for 10 hours will consume 1 kilowatt-hour. A computer may consume the same amount in about four hours. You can check your monthly electrical bills for the total kilowatt-hours that your home uses each month.

The average American home uses around 908 kilowatt hours each month. A average solar system typically saves homeowner 45 percent or more on monthly electrical bills. To calculate how much you can expect to save with a residential solar system, a solar contractor will need to know how much electricity your home uses annually.

Some utilities include this number on monthly electrical, but for most, you’ll need to contact the utility and ask for the information. A professional solar contractor will be happy to assist you with assembling the data you’ll need to ascertain just how much money you can save by adding a residential PV system to your home.

Click here to search solar contractors in your city.

Photo by SunWorks Solar

American homeowners no longer need to make a large investment to go solar. A broad spectrum of technological advancements, financing options and incentive programs are making residential solar energy systems more affordable than ever. Here are steps you can take today to make cheaper, greener solar a part of your life.

Get Price Quotes

A must for inexpensive solar? Cost estimates. The best way to determine if you can afford to go solar is to get estimates from multiple solar contractors. Knowledgeable solar contractors will be able to break down your government incentives and/or leasing options.

In addition, a professional evaluation of the specific location of your home, its orientation to the sun and your roof’s strength and layout will establish which residential solar system is most practical and affordable for you.

To get pricing on a solar system in your area, click here.

Take Advantage of Rebates and Tax Credits

A large number of incentive programs can make residential photovoltaic (PV) systems more affordable. The federal government offers a tax credit that pays up to 30 percent of the upfront home solar costs. Many states offer generous solar rebate programs. The funding for these programs are limited, so it’s important to apply for them as soon as they become available.

Other states work with public utilities to offer per-watt rebates. Taking advantage of these programs can cut your installation costs by around 50 percent. The programs have been a huge success, not only by decreasing solar costs by 43 percent over the last dozen years, but by serving to expand the solar industry as well.

As solar companies grow, they are able to invest in more research and development that results in further cost-saving technologies. Incentive programs triggered a cycle that has proven to be successful, but as the political climate changes, some programs have been discontinued. Others are under siege. Homeowners need to act soon to take full advantage of rebates and tax incentive programs.

Check Out Grant Programs, Too

Low-income homeowners may be eligible for low- or no-cost solar systems. Several states and public utilities offer special grant programs that enable low-income homeowners to participate in the solar revolution. Qualifications are generally determined by measuring the family’s income against median incomes in the area, as defined by the HUD. Annual funding for these programs disappears quickly. You should hurry to get applications ready for next year’s programs.

Other organizations, like the high-growth GRID Alternatives nonprofit headquartered in Oakland, California, selects low-income homeowners in need of renewable energy solutions for their homes. They then train local volunteers to install solar panels on homeowners’ roofs for minimal (or no) costs. Teams like GRID are working to change the landscape of solar, making it accessible like never before.

Consider Financing Options

From the moment that a home solar system becomes operational, the energy costs for running the home decrease. Electricity generated from solar power is not only cheaper, but stable. Over the last 12 years, the cost of conventional electricity has doubled in most areas, and is predicted to double again by the year 2023.

Homeowners needn’t own solar panels system to enjoy monthly savings on their electric bills. Many solar contractors now lease residential PV systems. The company installs the system, maintains and insures it, and the homeowner pays the company for the electricity that the systems produces. Solar leasing is a simple, easy and affordable way to reduce monthly electrical costs, with little or no down payment.

Start Small

Solar panel systems are modular. Homeowners can start small and add additional panels as their family and energy needs grow. Starting small is a good way to take advantage of all the incentive programs that reduce the cost of the initial installation while they’re still available.

Re-Roof Your Home with Solar Shingles

Dow’s new solar shingles are now available in Colorado and will be sold nationwide starting next year. Re-roofing a home with solar shingles is more affordable than re-roofing with conventional shingles and installing a PV system. Dow expects the cost of installing solar shingles to be recovered in the first part of its intended life.

Over 75% of American homes have roofs that could be replaced with solar shingles. Homeowners who solar shingle systems are eligible for the many of the same incentive programs as traditional PV systems, including the federal 30-percent tax credit.

Many still view residential solar systems as a long-term investment, one that requires coming up with a large amount of cash at the outset. Statistics prove otherwise. In California, over 50 percent of the photovoltaic (PV) systems installed upon rooftops throughout the state in the last year were not purchased at all, but leased.

California and other states are also offering special incentives for low-income homeowners as well. Below we’ll dive into these two popular avenues for going solar, as well as offer free solar contractor referrals and additional information.

For pricing on a home solar system in your area, click here.

Solar Leasing

Solar leasing has changed the solar equation, offering opportunities for many more homeowners to go solar for little or no money down. With a solar lease, the solar provider purchases the system, and then arranges for it to be installed on your roof. The solar provider insures the PV system and maintains it. You pay for the electricity that the PV system generates. Since solar electricity generally costs less than conventional power, your electric bills are reduced by 10-30%.

Leasing solar panels is an easy way to cut home energy costs, and allows homeowners to participate in the movement to wean the country off fossil fuels. Going solar lessens the need to use taxpayer money to build more power plants. Leasing also offers opportunities to increase the number of green jobs, keeping Americans working towards a sustainable future.

Leasing keeps the solar industry growing, too, providing the funds needed to continue to develop technological innovations that are driving down the costs of components and manufacturing. Investors are betting on the benefits of leasing. Utility companies are increasingly investing in solar leasing programs.

This year Google invested $75 million in leasing as well, in a program operated by the Clean Power Finance investment firm. Google’s goal is to add 3,000 leased residential PV systems.

Low-Income Incentives

Several states offer grant programs for low-income homeowners, some from the states themselves, others from public utilities. Low-income qualifications are typically established by measuring the area’s median-family income, as determined by the Department of Housing and Urban Development. Funding for some of these popular programs has been exhausted for this year, such as those for Pennsylvania, but may become available again next year.

Those states still offering generous incentive programs for low-income homeowners include Vermont, which offers a rebate up to $7,500, and California. Low-income homeowners who are served by California’s three major public utilities, and whose incomes fall between 50- to 80-percent range of median-family incomes, may receive rebates between $4.75 to $7.00 per watt (essentially a free solar system in California).

Chances are that if you own a home, you can afford to go solar, either by leasing or by taking advantage of all the incentive programs that can greatly reduce upfront costs. Almost every homeowner who invests in a residential PV energy system will see a significant return on the investment.

Savings begin immediately, through lower monthly electric bills, and once the initial investment has been recouped, electricity is virtually free for years to come.

Click here for a free contractor referral in your area.

From the water wheels that powered riverside mills for centuries, to modern hydroelectric power plants that provide electricity to millions, river currents have long been used to generate energy. Although tide mills have been used in the past, harnessing the power of the sea’s tidal flows to produce electricity is a more recent innovation. Ideas for tidal energy to generate electricity gained traction during the last century, but few got further than the drawing board.

One exception is the world’s first tidal power plant, completed in 1966. Located in La Rance, France, the plant has a 240-megawatt capacity. Today, there are a half dozen tidal power plants operating around the world, and another half dozen under construction, none of them in the United States. Finally, the U.S. stands poised to join the tidal energy community, with an application by private company Verdant Power to install a tidal power plant in New York’s East River under consideration by federal regulators.

Tidal energy technology usually employs underwater turbines that make use of the kinetic energy of tidal currents to generate power. Concerns over whether this technology would harm marine life have proven unfounded. Since water is much denser than air, turbines can turn slowly, yet still produce as much energy as wind turbines. A two-year environmental study conducted during Verdant Power’s preliminary installations showed no impact on fish life or migrations. The fish simply avoid the blades.

Tidal barrage systems are proving to be far more harmful to the environment than turbines. Essentially, tidal barrages are dams built across a tidal estuary. France’s tidal power plant uses the barrage system, and the La Rance plant has been the most studied for environmental impact. Research has found that barrages pose the same kind of threats to the environment as large dams, with some species disappearing, while others moved in, causing a major shift in diversity.

While Russia and South Korea currently have working tidal power plants, with more plants under construction, the rest of the world is struggling to catch up. China and Canada each have one tidal power plant. Britain, the Philippines and India have plants under construction. The United States is late in joining the party.

In comparison with solar energy, tidal energy is still in its infancy. The technology has great potential, but it will take time for governments to accept it as a viable option, let alone build the power plants. Solar power plants encounter the same time constraints, but unlike tidal energy, solar energy can be generated in small installations over a much broader area. American homeowners needn’t wait for tidal power to promote green technology. Residential solar energy systems are available nationwide.

For solar pricing in your area, click here.

The results of the study conducted by the Lawrence Berkeley National Laboratory released earlier this year illustrates how far the solar industry has matured. In just the last dozen years, home solar costs have fallen by 43 percent. The figure is even more striking when you consider that the trend is accelerating, with a 17% reduction in price from 2009 to 2010, and an 11% reduction in the first half of this year alone.

Is it any wonder then that opponents to renewable energy overreact to the closure of a single solar utility? When it comes to solar power, there’s just not that much to get negative about. True, solar hasn’t yet achieved grid parity with conventional power (except in Australia!), but it has become increasingly obvious that day is coming, and coming sooner than many expect.

The publication Scientific American recently examined the numbers, extrapolating data from the Department of Energy’s National Renewable Energy Laboratory, collected over the last 30 years, to project a timeline for grid parity. Should the current trend continue, they predict that the entire nation could reach grid parity in just nine years, adding that if conventional electricity prices continue to rise, as it seems certain they will do, parity could come even sooner.

Where do solar prices stand today?

In general, data can be difficult to find for home solar costs, as they vary widely depending on city and state rebate programs, which have been known to expire or run out of funding.

However, you can get pricing in your own area by clicking here.

In sunny California, where in some areas, time-of-use metering systems have already made solar power cheaper during peak demand periods, Scientific American predicted that grid parity may be reached as early as 2015.

They point to the Moore’s Law of computing that correctly predicted the accelerating advancements in computer technology. Technological advancements are driving solar as well, with the industry learning how to reduce production costs, even while they make the technology more efficient.

Better financing options accelerate affordability

Industry studies show that financing options are also accelerating the use of solar, with major companies like Google investing millions into purchasing PV systems to lease to homeowners. Solar leasing options are expected to drive the residential solar sector, as more homeowners choose to simply lower their monthly bills with leased panels, rather than purchase them.

Currently, the fastest growing sector of the solar industry is utility installations, as bigger players take advantage of the decline in module prices. Investments in solar farms shows are growing. Players in this sector are working toward establishing predictable models that will attract even more investors.

Government-driven policies in the way of solar incentives and investments are responsible for much of the growth of the solar industry. That the rate of growth has exceeded expectations proves that these policies are sound.

Consumers are beginning to understand that public money spent on solar is a better investment than funds spent on fossil fuel energy. With installation costs continuing to fall, and with solar energy fast approaching grid parity, it appears certain that millions of Americans will soon be joining the solar revolution.

You can determine how much a solar panel system will reduce your energy bills, but you’ll need to know some important factors, including how large the photovoltaic (PV) system will be, how much electricity your home consumes, and whether the system will get enough direct sunlight to be a worthwhile investment for you.

The cost to install a residential solar system varies from about $10,000 to $30,000, after taking advantage of rebates and incentive programs offered at the federal, state and local levels. The return of investment for an average system is often less than 10 years.

However, because of the differing availabilities of local rebate programs, system costs vary widely from state to state and city to city.

To get pricing on a solar system in your area, click here.

In general, solar systems last about 25 years. Once the installation cost of a PV system has been recouped, solar electricity is virtually free for the remainder of the system’s life, with little or no maintenance costs.

These averages do not take into account the Solar Renewable Energy Certificates (SRECs) that can dramatically cut down the payback period of a residential PV system. For every megawatt of solar electricity a residential PV system generates, homeowners are awarded one SREC.

SRECs serve as a financial instrument that can be sold to utilities on an open market to help utilities meet mandates to invest in renewable energy. SREC prices vary from state to state, and range from $200 to $700 each. The average solar homeowner can generate about three to five SRECs each year, earning cash from the utility.

States establish their own programs for SRECs. In some states, utilities enter into agreements with customers to purchase SRECs at a set price. Other states allow utilities to use net metering to purchase the excess energy produced by residential PV systems that flows back into the grid.

Utilities that use net metering may also use time-of-use billing, which can provide additional opportunities for homeowners to earn money through their PV systems. In time-of-use billing, conventional electricity costs more during peak demand periods, the time of the day when solar energy systems are most efficient.

By using solar energy during peak periods, and conventional energy during off-peak hours, homeowners can cut their energy bills even further.

The U.S. Department of Energy states that the average 1- to 5-kilowatt system is generally sufficient to meet the energy needs of most residential homes. That statement may be a bit optimistic. Homeowners used an average of 908 kilowatt-hours per month in 2009, according to the U.S. Energy Information Administration. An average system generally meets about 45 percent of the typical home’s electrical needs.

Some homeowners can actually save more over time by installing a larger system. As the variables in calculating expected solar savings depends so much upon the particular location of a home, and so much upon individual state policies, a solar energy quote or inspection is the best way to determine potential savings.

Click here to get an estimate from a contractor in your area.

While the world waits for leading consumer advocates to offer clear reviews of solar panels based on scientific research, homeowners are left trying to sift through piles of conflicting data to discover the best solar panels for their homes.

Residential solar systems have an assortment of ratings that measure voltage, power, heat and efficiency. Many solar panel ratings are technical in nature, and not so user-friendly. Fortunately, a few key ratings can help you choose a photovoltaic system at an affordable price that will efficiently provide power for years to come.

To get pricing on solar in your area, click here.

The rating most touted by solar panel manufacturers is the efficiency rating, which measures the percentage of sunlight that hits a solar panel that is converted into electricity. This may seem like a straightforward formula, but a solar panel’s efficiency is also affected by a number of environmental factors, such as the tilt of the panels or the unit or air temperature.

To establish a standard rating, solar manufacturers use Standard Test Conditions that measure the panel’s efficiency under uniform sunlight, angles, air mass and temperature circumstances. Today’s solar panels typically range from 13 percent to 18 percent efficiency.

STC ratings are conducted by the solar panel manufacturers themselves. Many states require independent testing before allowing a solar panel to be marketed. PVUSA Test Conditions (PTC) ratings use more stringent criteria and rate many different solar panels at once, under the same conditions. PTC ratings are measured in watts. A 190 watt solar panel, for example, may be given a 172 rating.

While the PTC and STC ratings are important factors to consider, cost per PTC ratings give a clearer picture of what a panel’s efficiency costs. High-efficiency solar panels are usually more expensive. The cost per PTC number is a better indicator of how much homeowners pay per watt actually produced by the panel.

Solar panel arrays can last 25 to 30 years or longer, but their efficiency does degrade over time. Solar panel manufacturers generally offer warranties that cover only a portion of the power output of the systems. The longer the warranty and the greater the percentage of the output covered, the more likely it is that the system will perform well over the long run.

A 20-year warranty covering 80 percent output is good, a 25-year warranty of 90 percent is better. Confusingly, some manufacturers refer to the amount of energy lost, rather than retained, known as a negative tolerance rating. In those cases, the lower the number the better.

The amount of voltage available from a panel can vary as well. For safety concerns, some may wish to compare open circuit voltage ratings that measure the maximum possible voltage of a panel. As there are limited electrical current devices in a PV system, short circuiting is not generally considered a safety hazard in PV systems.

Some solar panels have received certification from Underwriters Laboratories, a global consumer safety organization, a better indicator of a product’s safety.

In Hampton, Virginia, resident Ben Cuker never pays the local power company more than $8.25 a month. What’s more, several times a year the utility sends him a check for $200. His neighbor, Max Buzard, enjoys a similar arrangement.

Both Cuker’s and Buzard’s homes are powered by solar energy systems, systems that provide all the electricity they need.

“Dominion charges us about $8.25 a month for staying tied to the electrical grid,” said Cuker, a professor of marine and environmental science at Hampton University.

The potential to earn extra income with residential systems isn’t some futuristic dream. For photovoltaic owners like Cuker and Buzard, it’s happening now.

The two are teaming up to spread the word, becoming part of this fall’s annual National Solar Home Tour, organized by the American Solar Energy Society, a non-profit organization that promotes green energy. Cuker and Buzard will be on hand to answer questions about the Solar Renewable Energy Credit (SREC) program.

For each megawatt hour of renewable energy production, homeowners earn one SREC. Utilities are mandated by law to invest in renewable energy. They meet that mandate in part by purchasing clean power generated by residential solar.

Some utility companies enter into an agreement with residential customers to purchase the SRECs. Otherwise, the homeowner can sell the SRECs on the open market.

Prices for SRECs vary from state to state. In New Jersey, SRECs can sell for as high as $700. In Virginia, SRECs sell for about $200.

And although Cuker’s home consumes almost all the electricity that his PV system produces, Dominion still pays him for it. “The fact that it was done without burning dirty fuels is what is traded,” he said.

For pricing on a solar system in your area, click here.

Other utilities purchase renewable energy using an arrangement based on net-metering. When homes with solar systems produce more energy than a home is using, it flows back into the grid, making the electric meter run backward.

Many states mandate utilities to buy this net excess generation, or NEG, from homeowners, typically at the same rate as conventional electricity.

Buzard, who sells solar panel systems through Royer Technical Services in Hampton, stated that a 10-panel PV system, after installation rebate and tax credit incentives, along with annual SREC sales, would cost about $14,000 and pay for itself in 10 years.

The PV systems at the homes of Ben Cuker and Max Buzard are about twice the size of the average system. Their systems already provide all the electricity they need. Once they’ve recouped their initial investment, those SRECs become sheer profit.

Since PV systems last from 20 to 30 years, that’s at least a decade of free electricity, and at least a decade of $200 checks every few months from Dominion.

So, what do you think? Want to see how much you can save with solar? Talk to a contractor today.

At the end of 2009, California-based Akeena Solar entered into an agreement to manufacture, market and install photovoltaic (PV) systems under the Westinghouse brand. Akeena’s subsidiary, Andalay Solar, became Westinghouse Solar. This week, Westinghouse Solar announced a new “all-in-one” product, do-it-yourself home solar kits.

The new kits represent an evolution of the Andalay DIY kits that have been available through Lowe’s home improvement store for nearly two years under the Westinghouse label. Westinghouse Solar’s new product is an advancement of the former model, with improved energy efficiency. The new panels produce 235 watts compared to the 185 watts of the older models.

While most solar panel systems require an inverter device that converts photovoltaic DC current into conventional AC power, the Westinghouse systems feature panels with micro-inverters contained within each individual panel, making them easier to install.

For pricing on solar systems in your area, click here.

The systems feature others built-ins as well, including racking, roof flashings and panel splices. Panels in most PV systems must be wired together to make a system. Westinghouse Solar’s panel snap together with no extra wiring involved.

Barry Cinnamon, former CEO of Akeena Solar and now Westinghouse Solar CEO, has seen solar technology’s advances first-hand. “Since the beginning, we’ve worked consistently to make solar more mainstream,” Cinnamon said.

Executive vice president of sales and marketing, Jeff Kiel, said that they are seeing a lot of consumer interest in solar panel installations, both from homeowners and from contractors. “What we learned was that the two key issues were, obviously, cost — but also ‘out of the box,’” Kiel said.

The Westinghouse PV kits have definitely tackled the cost component. The company is offering kits with one, four or 20 panels.

In Hawaii, where incentive programs are even more generous than in other states, a 4-panel DIY solar residential installation costs less than $1,500, after incentives. The system would provide about 15% of the home’s electrical needs, save about $660 a year on electric bills, and recoup the cost of the initial outlay in two years.

In New York, the 4-panel system would cost less than $900 after incentives. The same kit would cost about $2,300 in California, after the federal incentive program. While California’s state incentive is generous, the state program mandates that solar systems be installed by approved contractors, leaving the DIY folks out in the cold.

Having a contractor install the DIY kit might be a good idea, anyway. While a 50-page, detailed set of instructions are available from Westinghouse Solar for the DIY kits, the document contains several warnings that those who are not qualified to work with AC voltages should not undertake the project themselves.

For those among the DIY crowd comfortable with roofing and electrical projects, the new Westinghouse Solar kits may be the most affordable solar solution yet.

With 80% fewer components to install, which means shorter installation times and less labor, having a professional install the kits may be an affordable option as well. The new DIY kits are the closest the solar industry has to plug-and-play technology yet.