Solar PV (Photovoltaics) works by taking the energy from the sun’s rays and converting it into electricity. The sun’s rays contain photons. When these photons hit a solar module, electrons inside of the solar module move and an electrical current is created. This electricity then travels from the solar array to an inverter. The inverter takes the electricity which is in DC form and switches it to AC. Once that switch is made to AC, the electricity is ready for use. From the inverter, the power is fed directly into the main electrical panel and can provide power to the site. If the site demands more power than what is provided by the solar it will pull from the grid. If the sun produces more than the site needs, then that overproduction is put back into the grid for a credit in a process known as Net Metering.
Net Metering is a billing mechanism which allows grid-tied solar producers to put electricity that they do not use from their solar array back into the grid. When the solar produces more power than the site needs, the utility meter spins backward and the account holder will have a credit against future energy use. The solar producer is then billed for their total “net” usage at the end of the month which is the balance between the power pulled from the grid and the power put back into the grid.
The Solar Investment Tax Credit (ITC) is a dollar-for-dollar federal tax credit which reduces a person or business’ tax liability based on the amount they have invested in a solar energy project. The residential and commercial ITC are both worth 30% of a solar project’s cost through 2032. For example, a $10,000 solar electricity system will be eligible for a $3,000 federal tax credit. Customers that purchase or finance their system through a solar loan are eligible for this incentive.
SREC stands for Solar Renewable Energy Certificate. An SREC is a sellable certificate that represents all the clean energy benefits of the electricity generated by a solar electric system. Each time a solar electric system generates 1,000 kilowatt hours (1 MWh) of electricity, an SREC is issued which then can be sold for cash. A grid-connected solar electricity system in New Jersey and Pennsylvania is eligible to collect SRECs on all energy produced by the system for a 15-year period. The price of an SREC in NJ is fixed at a predetermined price based on sector. For residential solar systems, the SREC is fixed at $85.00 for 15-years. In PA however, the price can fluctuate based on the supply in demand for energy certificates in The State. As of 3/20/23, the sell now price of a PA SREC is $47.
Solar customers within Eversource territory in Connecticut may qualify for a REC (Renewable Energy Certificate) incentive payment in addition to their traditional Net Metering program. Within Eversource, each time a solar electric system generates 1,000 kWhrs of electricity, a REC will be issued worth $31.80 for a 20-year period. As this incentive is in addition to net metering, the REC is issued regardless of household energy usage creating additional 20-year cash flow from the initial solar investment.
The price to purchase a solar panel installation can vary depending on several factors. These factors can include electrical usage of the site, the location of the solar array (i.e. ground mount or roof mount), quality of components, and site constraints. The cost of solar has gone down in recent years. In 2019, the average price of a system from Green Power Energy was $30,000 with an expected Return on Investment (ROI) of approximately 6 years. Most solar customers, however, go solar for $0 down through one of our “Free” solar options. These options allow you to pay nothing up front and still be cash flow positive from day one thanks to the electric savings and the available incentives.
“Free Solar” or “$0 Down Solar,” refers to financing a solar installation through a third-party financier This option is “free” in the sense that there is no up-front financial obligation, although it is possible to put money down. Once a solar agreement is signed, the homeowner will generally not have to pay until one month after the installation is complete. From that point on, they are expected to pay monthly for the system through the contracted term. In a Solar Lease or Solar PPA, the homeowner should expect to save monthly because their contracted solar price should be less than the price from the utility company. With a Solar Loan, the homeowner will generally experience utility savings plus available incentives which should show monthly savings.
The three most common types of solar financing options are a Solar Lease, Solar PPA, and Solar Loan. A solar lease allows you to pay monthly for your solar array. A solar lease can be as low as $0 down with recurring monthly payments for what is generally a 20 or 25-year contract. Most homeowners can expect to save a considerable amount of money throughout the term of their solar lease as their monthly solar lease payment will in most cases be less than the cost to purchase power from the utility. Many solar leases also have a production guarantee to help ensure these savings. However, with most solar leases, homeowners are not entitled to the available incentives.
A solar PPA is very similar to a solar lease, except the monthly payment can vary based on the amount of energy produced by the system in a given month. Also known as a Solar Power Purchase Agreement, a PPA allows the homeowner to purchase the power produced by the solar panels at a fixed kWh rate.
A solar loan is becoming the most popular financing option available. With a solar loan, you pay no money upfront but do make payments over a selected term. In a solar loan, you own the system and are entitled to all available incentives, making this the most financially attractive option available. There are even solar loans available with no fees and no payments for 18 months. For all three types of financing, you must own the home, have a site conducive to solar energy, and pass a credit check
With Green Power Energy, your solar installation is a turnkey package. We handle the permitting with the township, and the approvals with the utility company. Generally, the time frame between sign up and installation is 12-16 weeks. This allows for time to engineer the system, submit for approvals, obtain approvals, and procure equipment. The actual installation will only take a few days. Be aware, it may take a few weeks after installation before you are issued your formal “Approval to Operate” from the utility company.
Green Power Energy offers a 25-year warranty. We expect the solar arrays we are installing today to be viable energy producers for more than 25 years. Sometimes inverters may need to be replaced during the term, but this cost is minimal compared to all the other system components and is often included in the warranty. A roof mounted solar array will extend the life of a roof, however, if the roof is already older than 15 years old, we recommend reroofing beforehand.
A solar inverter takes the DC current produced by the solar panels and coverts it to usable AC power. Common inverter types include, Central Inverters (aka String Inverters), Microinverters, and Power Optimizers. A Central Inverter system is comprised of one or more inverters which can be located on the inside or outside of the site. This device switches the power produced by the panels from DC to AC at a centralized location. A Central Inverter system is considered optimized when each module, or in some case every other module, is equipped with an optimizer which regulates voltage and gives the panel the ability to perform individually from the rest. This separation in performance is also seen in a microinverter system. With a microinverter system, the inverter is located underneath every solar module. The stand-alone ability of this arrangement can add efficiency to the system by allowing peak performance in shaded or less optimal solar sites. In addition, it can also have benefits in case of module failure. In a microinverter system, if one module is down or experiencing shading, the rest of the solar array can still operate at peak performance.
In order for the solar to operate and for the inverter to turn on, power must be detected from the solar array as well as the grid. This means that in the case of a grid outage, the solar inverter and your solar array will shut down. This serves as a safety precaution. Since your system can back feed to the grid, a live system can pose a hazard to utility workers down the line from your system. To have full power during an outage, you can invest in a solar plus storage system. Solar plus storage utilizes battery technology in order to supply power to the home in the event of an outage and can even provide power during peak demand events.
Solar modules are mounted on top of solar rails which run across the roof as the mounting system for the solar array. The solar rails will have several penetration points throughout their span which connect directly to the rafters of the home. Before receiving the approval to build from the township, we must submit an architectural letter with our permits proving the structure’s integrity. This letter shows that the roof can not only withstand the weight of the solar modules, but also the weight of panels in hurricane force winds and under extreme snow loads. The penetrations into the roof are protected by a flashing mechanism which is guaranteed to protect against leaks. Solar panels will extend the life of the roof and Green Power Energy goes one step further by installing “pest guards” around all our solar arrays to insure the space in between the roof and solar modules is clear from any critters. The space between the solar modules and the roof is approximately four inches.
In New Jersey, Connecticut, and Texas solar is exempt from a property tax increase. Also in New Jersey, Connecticut, and Texas, solar is exempt from any sales tax.
A solar loan or lease can be obtained for no money down. Despite not paying upfront, the borrower in most instances will be cash flow positive when the electric savings and incentives come out to more than the total of the solar payments. For outright solar purchases across our service areas in the Northeast, the average solar buyer pays off their solar panels in less than eight years. After the return on investment is reached, additional savings from incentives are possible as well as securing free electricity for the remainder of the solar panels’ 25+ year lifespan.
Going solar creates a great investment and revenue stream on your home and also has positive environmental implications. Going solar will provide a strong ROI for those looking for an investment, and can even provide monthly cash savings for those who finance. By going solar, you are creating clean power on your own property and reducing the need for electricity from power plants powered by fossil fuels. A solar array that produces 5,000 kWhrs annually will save the equivalent of 1.875 tons of coal from being burned each year.
When you own the system outright, the system can stay on the house and become the property of the new homeowner. You also can remove the components and ship them to your new location, although that may prove to be more trouble than it’s worth. Most solar leases are completely transferable over to the new homeowner. Most solar loans are also transferable over to the new homeowner. Be sure to verify the transfer of ownership process of your financed solar array.
Yes! All Green Power Energy systems include both home consumption and solar production monitoring. In fact the monitoring provided is at the panel level which means you can see what each individual panel is doing at all times. The monitoring can be accessed through the Green Power Energy app or your Enphase Enlighten portal.
Solar is measured two different ways on your detailed proposal. The system size in KW is what the pricing is based off of and what should be used when comparing other quotes, this is the rated wattage of the equipment being installed. Example: 28 x 365w panels = 10.22 KW. The estimated production in KWHS is a conversion of that initial system rating to an estimated annual production number based on site details. Factors that go into this conversion are the location of the home, the pitch of the roofs, the direction the roofs face and the amount of solar access the roofs get. Example: A 10.22 KW system might produce an estimated 11,000 KWHS annually.
Having successfully installed 1,000s of solar systems since 2009 we have worked with all major brands and types of inverters over the years. The reason why 99% of our solar systems are now being installed with Enphase micro inverters is simple, no single point of failure. When installers use a central inverter as part of their offering they create a single point of failure on the system which is not in the customer’s best interest. If that inverter fails, the entire system will be down until it can be replaced. Due to lengthy warranty claims and supply issues of most central inverter brands this can result in your system being down for multiple weeks or even months. Micro inverters operate 100% individually which means if one fails you just lose that one panel, the rest of the system operates at full capacity as usual. Green Power Energy backs up the 25 year warranty provided by Enphase with 25 years of labor, giving our customers the ultimate protection on their system!
Yes, when the solar system is installed it becomes part of your home and should be added to your insurance like anything else. The good news is that from our experience there is very little impact to the cost of your insurance and by doing this you will be protecting your system from any acts of god or weather that might not be covered by warranty.
NBU is offering a $3,000 rebate to customers who install solar within the territory. The rebate is paid after install, and both cash and finance customers are eligible.
Value of Solar Rebate (Austin Energy): Homeowners within Austin Energy territory are eligible for a $2,500 solar rebate by having a qualified solar array installed on their home and completing an online solar education course.
