HOW MUCH WILL IT COST TO INSTALL SOLAR ELECTRIC (PV) ON MY HOME OR BUSINESS?
The answer to this question is not as simple as is seems. There are many variables starting with your goals and desires. The first question to ask yourself is what kind of solar photovoltaic (PV) system do you want? There are three primary types of solar PV systems (the kind that generate electricity).
The first type of solar PV is what we call a grid-tie or grid-connected system. This is by far the most common and least expensive. Your solar system is connected directly to the grid so your meter actually turns backward when your system is producing more power than you are consuming and turns forward when you are using more electricity than the system is producing. At the end of the month the utility company only bills you for the “net” amount of electricity used. If your system produced more electricity than you used during the month then you can elect to have the utility pay you for that excess power or have it collect in your “solar bank” to be used at a later date. This type of system is pretty much maintenance free (solar panels have a 25 year warranty) and there is no need for batteries since the grid provides power to your home or business when the sun isn’t shining.
The second type of solar PV is an off-grid system. This type of system is used primarily for homes where grid power is not available or in situations where you simply don’t want the utility to provide your power. These types of systems require a battery bank and can get pretty expensive depending on your electric loads (how much power you will need). Basically the batteries provide all your power and the solar panels keep your batteries charged. Therefore the more power you use the larger the battery bank (and solar array) will need to be. These systems can get pretty expensive over time because the batteries need to be replaced about every 6-8 years, if properly maintained.
The third type of solar PV is a hybrid system. This is usually a grid-tie system with a battery backup and is used by those who are concerned with power outages or grid failure. These are by far the most expensive since we are creating a “smart” system to determine where the power is coming from (solar, grid, batteries, generator, wind turbine, etc.) and where it is going to (your electric loads, to charge the batteries, or fed back into the grid). These types of systems have several additional components and unique requirements that are not necessary with the other types of solar PV systems. The primary advantage to these types of systems is that you are able to have power even if the grid goes down. However, the primary disadvantage is the upfront cost and maintenance expense.
Since 95% of all solar PV systems being installed today are grid-tied, we will begin by first answering the “what does it cost” question for this type of system. We typically take one of three different approaches to designing a grid-tie system depending on what your goals and objectives are:
- The first approach is to design a system to eliminate your electric bill;
- The second approach is to design a system to maximize your roof space;
- And the third approach is to design as large of a solar system as we can within your budget.
We will discuss each of these three approaches in our next three blog posts… so stay tuned!! In the meantime, please check out our website at www.altewindandsolar.com and our Facebook page at http://www.facebook.com/pages/Alt-E-Wind-Solar-Ltd/196202797091314 or give us a call at 970.482.SOLAR (7652).