 |
|
| |
| |
How do I compare prices among different solar contractors?
Answer: Compare apples to apples. Ask for the California Energy Commission (CEC) rating of the system that is being quoted, then take the final installed price and divide that by the CEC rating to get the true cost per kW. Be sure to compare that cost among quotes you receive for an accurate comparison. |
| BACK TO TOP |
|
Is my roof right for solar?
Answer: A solar power system can be installed on virtually any roof surface; the most limiting factor is the roof pitch or steepness. Solar panels are usually installed parallel to the roof surface and require approximately 100 sq. ft. for every 1000 watts of DC array. South facing roofs offer the most annual production, while east and north will produce much less energy. However, west-facing roofs produce more power during "peak" times when power can be more expensive. This is important for utility customers who can take advantage of time-of-use metering (PG&E customers). APG SOLAR suggests that customers with older roofs have a roof expert inspect their roof surface prior to any solar installation |
| BACK TO TOP |
|
Can my roof support the weight of the solar array?
Answer: Solar panel and mounting equipment add very little load to your roof. In most cases the solar power system will add an additional 3 lbs. per sq. ft. of load to the roof. Virtually all modern construction built after 1970 is designed to support loads far greater than this. |
| BACK TO TOP |
|
Are there special loans for installing residential solar power?
Answer: Currently there are no state or federal sponsored financing programs designed for residential solar electric systems. However you can make use of any secured loan such as home equity loans (or lines of credit). These loans typically have the best terms and lowest interest rates. APG SOLAR has established relationships with several local lenders who will be happy to assist you in obtaining a loan that will work best for you. In many cases the loan payment is similar to the amount you would have been paying on your utility bill. This results in an immediate positive cash flow. |
| BACK TO TOP |
|
Are there special loans for installing commercial solar power?
Answer: There are a number of ways to finance a commercial solar power system. These include:
- Property secured loans
- Capital equipment loans
- SAFE-BIDCO energy efficiency loans
- Equipment secured loans
- 3rd party financing
Property secured loans usually offer the best terms and lowest interest rates. If you are in the process of refinancing a commercial property you should consider the purchase of a solar power system. Payments on a secured loan are often less than, or similar to, the amount that your business will save in utility bills. Therefore installing solar power could result in immediate positive cash flow.
Capital equipment loans are probably the most common method for financing solar power systems. There are many banks and institutions that offer capital equipment loans. The loan terms will depend heavily on your lender and credit rating.
SAFE-BIDCO is a state sponsored loan program. They will give loans to small businesses for energy efficiency upgrades. Solar power qualifies for these loans. The standard term on a SAFE-BIDCO loan is 5 years, with a 4% APR.
Equipment secured loans offer much shorter terms than property secured loans and usually have higher interest rates. This is a good option for businesses that do not own the property or are unable to make use of a property secured loan. |
| BACK TO TOP |
|
Is solar electricity really a good investment?
Answer: Yes. Your solar electric system will protect you against annual increases of conventionally generated electricity from your utility company as well as provide for ownership of your electric generation. APG SOLAR can assess your specific needs, calculate exactly what your return on the investment will be, and the amount you will save over the life of the system. |
| BACK TO TOP |
|
Is utility power really cost-effective?
Answer: No. Your utility company charges are based on tiered rates, in addition you are billed for transmission, surtax fees, etc. Utility rates are constantly increasing, and have increased on an average of 8% annually during the last 30 years. As you pay your utility bill you do not gain equity in an asset. Paying for utility power is the equivalent to renting your home instead of purchasing. |
| BACK TO TOP |
|
How long until my system realizes net savings?
Answer: If you finance your system as recommended, you may experience net savings as early as the first year. Instead of paying your monthly utility bill, you will make monthly loan payments for your PV system, best-case scenario equal to your average annual monthly utility bill. Systems will usually have a payback period of between 7 - 11 years. Your exact payback will depend on your electrical usage, electric rate schedule, performance and cost of your system. In general, the larger your electric bill the greater the return on investment and the faster the payback. |
| BACK TO TOP |
|
How does solar electricity benefit Utility Providers, our Government, and the environment?
Answer: Your system will reduce the demand on existing fossil-fuel power plants and their distribution networks, reduce dependence on foreign oil, and reduce pollutants and global-warming emissions (a 3 kw PV system will eliminate approximately 7,000 pounds of annual CO2 that would have been emitted had the electricity been generated conventionally). |
| BACK TO TOP |
|
How much does a solar electric system add to the value of my property?
Answer: According to The Appraisal Journal- Evidence of Rational Market Evaluations for Home Efficiency, The Appraisal Institute- Why is a Solar Electric Home Worth More?, and The Wells Fargo news and tips- What remodels offer the most payback?, a $1 decrease in your annual energy bills results in a $20 increase in your property value. |
| BACK TO TOP |
|
Will my property tax base increase?
Answer: No. Despite the fact that your property value will increase, there is legislation that prevents your property taxes from increasing. |
| BACK TO TOP |
|
Can I really offset my loads & eliminate my monthly utility bill with a properly designed/installed solar energy generation system ?
Answer: Provided you have enough physical space ( roof or ground mount ) for a full load array design, proper orientation, good performance, & sunshine you can own a photovoltaic system that will produce as much electricity as you use. However, you can expect a small amount of charges from PG&E in the name of transmission & surcharge fees. Note* continue to expect natural gas billing |
| BACK TO TOP |
|
Why should I borrow money to pay for solar?
Answer: You must pay a monthly utility bill for energy. You are already essentially financing an indefinite, variable rate loan from your utility company. Installing a solar power system allows you to refinance this loan at a fixed rate and term, pay less every month, and have your loan payments go towards ownership of a valuable asset. |
| BACK TO TOP |
|
Will the utility company really pay me for my solar electricity?
Answer: No. Upon installation of your solar electric system, you enter into a Net Metering Agreement with your utility company. Throughout the year, you are given credit for every kWh that you produce. This credit is worth exactly what you would have been charged for that same kWh. At the end of the year, if you have produced as much as you have used, you will have essentially reduced your electric bill to zero. You will only be responsible for paying the minimum charges for renting a meter, transmission & surcharges. However, you will not be paid for any credits remaining on your account after your 12 month billing cycle. |
| BACK TO TOP |
|
What happens to the solar electricity that I do not use?
Answer: Any excess solar electricity produced will go back into the grid through your meter, running it backwards. You are credited for each kWh produced at the same rate that you would be charged. |
| BACK TO TOP |
|
How will my PV system perform on a cloudy day or at night?
Answer: Your solar electric system will not produce electricity without direct or diffused sunlight. On cloudy days and at nighttime, you will draw electricity from the grid. The inverter ( component that converts DC current outputted from the solar array to AC current that can supply loads or fed into the grid via your service) must disconnect from the service in order to satisfy UL1703 listing & enable qualification for rebates & other incentives. |
| BACK TO TOP |
|
Are the rebates for real?
Answer: Yes! The rebates pay for a portion of the installed cost, approximately 20%. As of Jan. 1, 2007 these programs are administered under Senate Bill 1, California Solar Initiative by the local Utility providers currently PG&E (Pacific Gas & Electric), SCE (Southern California Energy), & SDG&E (San Diego Gas & Electric). These rebates will not be around forever. In addition, the rebate levels decrease every six months. The sooner you install your solar system, the larger your rebate will be. |
| BACK TO TOP |
|
Are there any tax incentives?
Answer: Yes. Homeowners may claim a 30% Federal tax credit capped at $2,000. Commercial customers may claim the entire 30% federal tax credit (no cap). Commercial investments are also eligible for MACRES depreciation. APG SOLAR recommends contacting your CPA regarding all tax related issues. |
| BACK TO TOP |
|
How does solar electricity work?
Answer: The sun's energy in the form of photons release electrons from their bonds in the crystalline silicon semiconductors cells. When these cells are placed on substrate, framed with extruded aluminum, covered with low iron glass lenses, and backed with EVA they become PV panels that make up modules and finally form an array. The flow of these electrons from an array makes up the current that will ultimately be utilized to provide power to your home or building. |
| BACK TO TOP |
|
What are the major components of a solar electric system?
Answer: A grid-tied solar electric system requires solar modules and one or more inverters. AC and DC safety disconnects are the other necessary BOS (balance of system) components. |
| BACK TO TOP |
|
What does the inverter do?
Answer: The electricity produced by the solar modules is direct current, or DC. The inverter converts this electricity to alternating current, or AC. Most electrical devices in homes and businesses run on AC electricity. |
| BACK TO TOP |
|
Do I need batteries?
Answer: You do not need batteries if you are tied into the public utility grid. Essentially your utility company stores your solar electricity for free. Batteries would only be necessary if you need power during blackouts or if you are not connected to the grid. |
| BACK TO TOP |
|
Which appliances and loads can I power with my solar electric system?
Answer: You do not designate electricity to any specific loads (or appliances). The electricity produced by your solar system functions in the exact same way as the electricity from the grid. Your solar electricity will provide power for all of your uses. |
| BACK TO TOP |
|
Will my solar electric system provide heating?
Answer: Most homes use natural gas or LPG for heating. If your home has a heat pump, the solar system will provide power to it. |
| BACK TO TOP |
|
Is it true that solar modules are still not very efficient?
Answer: Silicon solar cells have conversion efficiencies of 10 to 14%. Your car, at best, converts gas at a 20% efficiency rate. The difference is that gas costs more than sunshine. The cost per kWh of energy produced is a more relevant factor. Other considerations are the space required and the total cost. |
| BACK TO TOP |
|
How much power do I use?
Answer: You can find out how much electricity you use by looking on your utility bill or calling your electric utility provider. It is very helpful to get the last 12 months of electric usage in kilowatt hours (kWh). |
| BACK TO TOP |
|
Do I need a stand by generator?
Answer: You do not need a generator if you are installing a solar electric system. A generator can be integrated to work with solar to power your house as a back up energy provider. APG offers Westerbeeke in various sizes and fuel requirements for your generator needs.
|
| BACK TO TOP |
|
| |
|
