Is Solar Worth It

No matter your electricity consumption in Australia, solar panels will be worth purchasing in 2021.

Many factors can impact the cost, savings, and payback of solar panel systems, but the bottom line is that they are an excellent investment. Solar panel systems typically payback in 5-6 years. It is not unusual for them to be paid for within 4 years.

A good solar power system will save 25-years if you do your homework.

In 2021, savings, cost and solar panel return back

A 6.6kW solar panel system will be the most popular system in 2021. It can save you between $1,200 and $2,000 depending on how much you use and when. A quality system will cost between $6,000 and $8,500. The payback times depend on how much electricity you use and other factors like where you live, tilt and roof orientation.

These are the typical results for a system of 6.6kW in 2020

  • Cost: $6,000 – $8,500
  • Save $1,200 to $2,000
  • Payback 4-7 years

What is the monthly savings from solar panels?

A typical 6.6kW system can save you between $300 and $500 on your quarterly bills. You may be wondering why there is such a wide price range. It all depends on how much and when you use electricity.

There are two ways to save money.

You can save about 30c per kWh or whatever rate you pay for electricity by using the solar power you produce directly from your panels. You will be credited for any excess solar energy fed back into the grid. Feed-in tariffs can vary from one state to the next, but they are generally around 10c per Kilowatt.

Self-consumption

Self-consumption of solar power is a great way to save more. The difference between the 30c savings you get by using solar power and the 10c you get by selling it back off the grid is significant. This explains why there can be so many savings.

Other factors can also affect the solar power generation on your property.

Payback and savings results vary by state.

The results of solar power systems vary depending on where you live. All solar systems installed with CEC-approved panels are eligible for the Australian government’s solar rebate. You may be eligible for the Victorian rebate if you reside in Victoria. This rebate can help you save up to $1,850 on the cost of your system. The Victorian rebate can significantly reduce a system’s payback.

How do I get precise results for my property?

Our solar power calculator is the best way to decide if solar panels are worth the investment. The calculator takes into account all variables that can affect your property’s cost, payback, and savings, as well as your electricity usage habits.

Considerations when considering solar power

Think about lifetime solar savings

While it’s great to consider the short-term and calculate the payback period, or the savings you can make on your next electric bill, a quality system should last for 25 years. You should consider the lifetime savings your solar panels will provide. Our solar panel prices are based upon high-quality systems built to last. Cheaper solar panels are more likely than expensive to fail and will need replacement in a shorter timeframe. They are also less reliable, but they are still a good investment.

Common myth: I don’t need to pay electricity bills if I go solar

Going solar won’t eliminate your electricity bill in most cases. While you will reduce your electricity bill substantially, some of it will still need to be paid. This article will explain how solar panels work and buy and sell electricity from the grid.

Ost / West orientation

Solar panels are a great investment, even if your roof is not facing the north. Because your panels produce power during peak periods, it is possible to have an east-west orientation. These periods are when you are more likely to be home and use your power, as well as when electricity is at its most expensive.

Users who consume low energy

You might wonder if solar panels are worth the cost if you’re a low-energy user. In most cases, the answer is yes. It is better to purchase a bigger system than you need. Despite your ability to save solar energy being slightly lower, you can still pay your system off faster with higher feed-in tariffs.

How about the system size?

A system size calculator shows that either a 5kW or 6kW system will suit most households. We conclude that buying a larger system for low-energy users is better as the extra kWs will pay back much quicker.

Do I need to wait before investing in solar panels?

Are solar panels going to be a better investment than other investments in 2021? Although we don’t have the best information, these are some things that we do know.

  • You will pay slightly more each year you wait for the federal solar rebate to decrease (down 9% in 2020).
  • The Victorian rebate may be reduced or modified if you reside in Melbourne.
  • Solar panels are becoming more efficient every year, decreasing costs. However, the curve is flattening.

Solar is a great investment because you can save money on your next bill. And, of course, renewable energy is better for the environment.

Is it worth buying a battery for 2021?

Solar batteries usually have a payback period of around 10 years. This is roughly the same as the battery’s life. Many people view buying a solar battery as a lifestyle choice rather than an economic decision. Many people see battery storage as a way to provide power backup.

There are currently no signs that battery prices will drop significantly over the next 2 to 3 years. Therefore, it is not worth waiting for the battery prices to drop before you invest in solar panels.

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