What is your opinion on using a photovoltaic system to offset/eliminate the cost of buying grid power?

I’m taking a poll on the attitudes of consumers towards alternative energy, namely solar energy. A photovoltaic system converts sunlight into electricity. At current, the efficiency rating of most commercially available panels is somewhere between 15-19% depending on the type you buy. An efficiency rating is a measurement of how much of the available sunlight a pv panel is able to convert into electricity. (NASA uses panels with a 40% efficiency rating)

My opinion is they are great. Who cares what the efficiency rating is etc. Those kind of numbers just confuse people. Here are the numbers that are important to me. My system cost $26K I got a $10K rebate from my utility and a $2K fed. tax credit. My system offsets at least $2K per year of my electricity costs. I will break even in my 6th year. Electricity rates increase an average of 5% annually, in my area it has been more like 7% for several years. I will save over $50K with less than a $16K investment over the life of the panels. In about 15 years we will be paying double the rate we are paying today for electricity. Without the system that would mean a $200 dollar increase in my summer rate, instead it will mean a $20 increase.

This entry was posted in photovoltaic solar energy. Bookmark the permalink.

4 Responses to What is your opinion on using a photovoltaic system to offset/eliminate the cost of buying grid power?

  1. whsgreenmom says:

    My opinion is they are great. Who cares what the efficiency rating is etc. Those kind of numbers just confuse people. Here are the numbers that are important to me. My system cost $26K I got a $10K rebate from my utility and a $2K fed. tax credit. My system offsets at least $2K per year of my electricity costs. I will break even in my 6th year. Electricity rates increase an average of 5% annually, in my area it has been more like 7% for several years. I will save over $50K with less than a $16K investment over the life of the panels. In about 15 years we will be paying double the rate we are paying today for electricity. Without the system that would mean a $200 dollar increase in my summer rate, instead it will mean a $20 increase.
    References :

  2. roderick_young says:

    I think it totally makes sense, for those living in the right location. The up-front investment is generally high, and payback takes years, but that doesn’t mean it isn’t a good deal. It takes years to pay off a mortgage, but that doesn’t mean that it isn’t a good deal.

    After conservation, a solar is generally the only other opportunity to save money on energy for most urban and suburban homeowners.

    Ifficiency isn’t a limiting factor for residential applications. Most houses, if they have a suitable roof face at all, have more than enough space for panels, even at 10% efficiency.
    References :
    We have photovoltaic panels.

  3. Thomas A says:

    I am in favor of solar electric, but at current prices of the panels, and the relatively low efficiency, the payback time to recover your investment is rather long. At this point, I am trying to maximize my energy efficiency.
    References :

  4. Smiley says:

    It’s funny you bring up efficiency percentages, because that’s what is the deal killer for me right now. You always feel like better products, if not cheaper, are right around the corner.

    Just look at micro inverters, they have made it better all ready, if not safer.
    References :