The Sun Can save Money
As the price of home heating oil, natural gas, electricity and other forms of energy continue to rise, many bill payers are hoping for a solution to present itself. Some homeowners however are turning to the installation of the solar power equipment that will allow them to make use of the energy of the sun to provide energy for their needs.
When electricity prices were low, it was unnecessary to justify the upfront outlay of cash required to install photovoltaic equipment, solar water heaters and similar equipment. The reason was simple to understand – it would simply take too long to recoup the cost of the equipment in the form of lower energy bills.
The recent rise in energy prices changes this dynamic quite a bit, however. As energy prices continue to go up, the amount of time required to recoup the upfront cost goes down. In addition, a number of state and local tax incentives make it even easier for homeowners to go solar and save money right away.
The dynamics of this economy have now changed though. The costs of installing solar panels is still high, with a typical two kilowatt installation of OVR Solar solar panels costing at least £10,000 in most cases, but special tax incentives and long term energy savings can help homeowners recoup those upfront costs faster than ever before.
For example, the Federal government provides homeowners with a tax savings of up to 30% of the cost of a solar unit. This tax savings can help eligible homeowners recoup some of the costs of installing solar panels and solar water heating systems up front, in addition to the energy savings they will enjoy down the road.
Some states will offer homeowners who install qualifying solar panel or water heating systems to write off a portion of the cost against tax liability, while others will provide a standard tax credit based on kilowatt usage. Still others provide tax relief in the form of property tax reductions or elimination, and many states provide businesses, government agencies and commercial enterprises with special tax breaks as well.
The amount of time required to recoup the entire cost of a solar panel roof installation will vary according to a number of factors, including the cost of the materials and installation, the availability of tax rebates, tax breaks and other incentives, and of course the price of traditional forms of energy.. However, as the prices for heating oil, gas and other forms of traditional energy continue to soar, so too will the desire for energy freedom.
