As a homeowner, using solar energy is a great way to lower your carbon footprint and save money on your electric bill. Solar energy provides several long-term advantages for the environment and your wallet, despite the fact that solar panels often cost you thousands of dollars to buy and install upfront. Solar panels are a long-term, low-risk investment that may help raise the value of your house.
Given that Orange County, California experiences more than 280 sunny days annually, you may be wondering whether solar panels are worthwhile in California’s third-largest county.
To determine how soon you may repay the cost of installing a solar panel system, you specifically want to know how much money you will save on your power bills over time.
Solar panels in this location may pay for themselves in as little as four years, which is excellent since it means a larger return on investment. What else do you need to be aware of before going solar in Orange County?
In Orange County, California, the cost of a solar panel as of September 2022 is $2.77/W. An average solar installation in Orange County, California costs between $11,772 and $15,928, with the average gross price for solar in Orange County, CA coming in at $13,850, assuming a solar panel system size of 5 kilowatts (kW). The net cost of going solar can decrease by thousands of dollars if the 30% federal investment tax credit (ITC) and various state and local solar incentives are taken into account.
It’s important to note that these expenses are standard for consumers comparing solar estimates. When you compare solar panel estimates, you might anticipate paying up to 20% less than if you just worked with one solar company.
Average Solar Panel Price by system size in Orange County
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In Orange County, California, solar energy is indeed worthwhile. In reality, solar panels pay for themselves in the majority of locations, while specific elements, such as the price of power, available subsidies, the climate, and sun angle, will all have an influence on how soon you break even in comparison to other locations.
If you install a 5 kW solar system in Orange County, where the average cost of power is 31 cents per kilowatt-hour (kWh), you may expect to save $111,600 over the course of 20 years (assuming you pay upfront with cash). If you decide to finance your system with a $0 down loan, you may start saving right away (though your long-term savings will be less).
There are a number of factors that affect the cost of solar:
Your solar panel system will cost more the bigger it is. Importantly, the average cost of solar energy per unit falls as system size rises.
Brand and quality of the panel
The quality of solar panels can vary greatly depending on the brand, just like any other product or equipment.
Installing monocrystalline, polycrystalline, or thin-film panels has a direct influence on the installation’s overall quality. Greater quality equates to higher costs.
The price of installing solar panels includes more than simply the cost of the hardware. If your roof is complicated, your system may cost extra since your solar contractor may add an extra charge for how hard the installation was.
The labor prices charged by various solar providers vary. You might decide to spend extra for a provider with a higher reputation, better customer reviews, and a quicker installation schedule.
Permitting and interconnection
Paying for permits and your interconnection fee to the grid will somewhat increase the final cost of your solar installation, however, it won’t be a significant influence.
The annual power output of a solar system and the cost you would have paid a utility to obtain the same amount of power determine its return on investment (ROI).
You must take into account the expenses of setting up solar panels in the area as well as the income the system would generate in order to figure out a typical payback period and investment return in Orange County.
Solar is a big investment that sometimes comes with a lot of complications. In light of this, the majority of US solar buyers evaluate two to five solar quotations before making a choice. Why? You may save money by comparing different solar quotes.
Comparing many solar rates might help you save money for two main reasons: competition, and transparency. The competition effect suggests that each extra solar quotation you obtain will help you in finding the ideal solar panel system at the ideal cost. It can be more difficult to place a premium on transparency, but in an industry that has historically been transparent, understanding the equipment that will be installed on your roof and its caliber can help you acquire the greatest solar solution for your requirements.
Companies that finance solar energy provide loans with simple conditions, including 0% down payments.
Requesting a loan from a nearby solar firm is typically the simplest approach to obtaining a solar loan. Due to their agreements with solar finance providers, solar installation businesses may offer you financing with short approval periods.
The Home Energy Renovation Opportunity (HERO) Financing Program in Orange County offers property-assessed clean energy financing for solar installations as part of renovations. This debt is transferrable and is included in property taxes.
Solar panels can provide an exceptional return on investment in Orange County because of the high cost of utility power and the region’s plentiful sunshine.
The utility company you use, how much energy you use, whether you’re paying cash or using a loan, and even the design of your roof all impact your exact expenses and savings, so it’s important to consider all of these elements when determining the payback time you’re likely to experience.