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Residential Solar Power: Is it Cost Effective?

January 4th, 2009

Residential Solar power is one of the most abundant sources of energy on the face of the planet. On a cool day simply walk from the shadows into the sunshine and feel the radiant energy. This radiant energy is the heart of all Residential solar power. Collecting this radiance effectively is the challenge.

Home Solar Panel Installation

Home Solar Panel Installation

Solar power has been used since the ancient days as a cost effective heating source. Building a house facing the sun meant it was easy to warm the stone walls with radiated energy. This eliminated the need for fires, or excessive clothing throughout the daylight hours. Through the evenings the radiated heat that was trapped inside the walls of the house continued to provide moderate warmth.

During the late 20th century during major fuel shortages residential solar power once again began to take on a significant role. In the 1970’s governments began to provide incentive programs for adding alternative energies to homes and businesses as a way to reducing fossil fuel demands.

Prior to the 21st century, solar electric generation was not always efficient. Of the systems that a typical homeowner could afford, many were at the most 60% effective at the peak of the day. The most cost effective systems remained those that were primarily used as a source of heating water rather than electrical production.

It was not until the 21st century in which Residential solar power became cost effective as an energy replacement tool. There are three considerations to be made when examining the cost effectiveness.

First, new designs in solar panels for heating water have greatly improved. With moveable radiation reflectors, space age materials, and better designs, there is no more cost effective source to provide hot water. 50-70% of the energy demand in a household is for hot water consumption. Installing a modern and efficient solar heating system reduces this demand to zero.

Second, new technological designs in photovoltaic’s, or PV, has created solar power sources that allow the average homeowner the ability to generate cost effective alternatives. Photovoltaic Residential solar power is very efficient and low cost when considering the idea there is very little maintenance. Additionally, the systems average lifetime cost can be significantly lower than the cost of purchasing electrical power during the same period.

Photovoltaic panels can be designed in a variety of sizes and shapes that are both efficient and pleasant to the eye. Photovoltaic residential solar power sources can also be scaled in construction to allow for simple single application uses, or to provide complete grid replacement alternatives.

Lastly, many incentives are in place to help reduce the cost of installing a solar power system for home owners. Governments have been under pressure to reduce fossil fuel demands. They have responded at state and national levels with tax breaks and other financial incentives.

Many power companies have also responded to demands for cleaner energy and cost cutting measures. In some cases utility companies are offering buyback incentive programs for the extra electricity a homeowner produces.

It is important for homeowners to understand the Residential solar power of today is much more cost effective and efficient than in years past. A very quick way to reduce personal energy cost is an investment in Residential solar power.

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