Many people wonder, “are solar panels are worth it in Arizona?” And the simple answer is yes. However, a simplistic answer isn’t enough to explain exactly how much you could benefit from solar power in Arizona. Many skeptics require more than a simple yes to persuade them of the solar panel’s worth.
There has been exponential growth in the recent decade involving solar energy. It is a renewable energy source that will play an important part not only in society but in the preservation of our planet. Because of this fact, people are preparing themselves for an inevitable transition. To add to the appeal, solar is becoming increasingly affordable, more so than ever. There are even more savings to be had, thanks to federal and local governments granting rebates and incentives.
Why Are Solar Panels Worth It In Arizona?
As it was stated previously, yes, solar panels are most definitely worth it. They not only increase your home value by up to 3% in Arizona, but you can save an insanely large amount of electricity. With the record of sunny days being greater in Arizona more than other states, solar energy just seems logical. As far as the costs of solar panels, the federal government takes care of up to 30% of the installation cost.
Here are 12 reasons that explain exactly why solar panels are worth it in Arizona:
Solar Tax Incentives in Arizona
In the state of Arizona, you are offered by the government a solar tax incentive if you install a solar panel system inside of your home. These solar energy credits can equal up to 25% of the solar panel device cost, a maximum of $1,000.
There are various systems that his credit is good for; General Electric, cooling, and Lighting.
Not only is this a great way to cut costs on energy efficiency, but you can save money through the government.
You can use this solar panel cost calculator to determine your system size, the number of needed panels, and the total cost as well as the monthly payment estimation.
Another 30% of the Cost
As of now, the federal government is still giving tax credits to homeowners that choose to transition to solar energy. This is according to AZCentral.com. However, the percentage given will decrease after this year. It is smart to act quickly to save as much as you possibly can on your transition to a cheaper life. You could save over $25,000, over the course of 25 years, in electricity.
Less Water Heating Costs
A good portion of the energy bill in your home is actually from heating water. This is especially true in the colder months. However, you are able to utilize solar energy to heat up your water. All it takes is the installation.
This means that, even in the winter, you can take a longer shower while having a portion of an impact on your energy bill than if you use electricity.
In the months that are hotter, you will see a reduction that is even greater in your energy usage. Knowing this, you can see the benefits of solar energy for uses other than just the lights in your home.
If you are still debating on whether or not solar panels are worth the money, keep reading for even greater benefits.
The Sunniest State in the Country
The sun will not run out of energy, at least not any time soon. So solar panels will have a source of power that is virtually unlimited.
According to BestPlaces.Net, there are over 299 days that are sunny each year in Arizona. This is more than other states in America.
Gas and oil energy sources are finite, and solar energy has advantages that these two just don’t have. You can save an amazing amount of money by utilizing solar panels now, rather than when our fossil fuel is more scarce.
Thanks to NerdWallet, we now know that Arizona is in the top 5 list of Sunniest Cities in the US. Yuma coming in at #1, Phoenix ranks at #4, and Tuscon sits at #5. You can definitely understand why it is beneficial to convert to solar energy in such sunny cities.
Lower Carbon Footprint
The planet, and local environments, suffer from the long term effects of pollution. However, there are many companies that seek out ways to reduce their carbon footprint to help save the world. Individuals have begun to do the same as well.
One of the ways that people are so effectively reducing their dependency on fossil fuels is to install solar panel systems. These systems provide energy that is much cleaner. You can see the environmental benefits of solar power at EnergySage.
Walmart Went Solar and Saved Millions
A statement made by Walmart.Com, “Walmart U.S installed 240 solar projects through 2013, saving approximately $4.8 million.” This major retailer has saved so much in its energy transition that converting every store to solar energy is being considered. With their statistics as proof, you can see the major financial benefits of solar energy. As for the commercial cost of solar systems, it is actually more affordable than you would believe. You can save tons of money on your business’ energy bills.
Cheap Installation Costs in Arizona
Financing solar is actually less expensive than traditional utility companies. From day 1, you will be saving money. There is a cost of $2.95 per watt, or $16,020, on average for solar panels in Arizona. The average size of the installation is a 6000-watt system. This cost may still seem great but consider the 10% state tax credit, and the federal tax credit of 30%. There are other incentives that help you save on the cost of solar panels in Arizona.
Except for paying in cash, you are not paying out of pocket for your solar system installation. Over the course of 8 years, you can be finished paying off the system, leaving you with an average annual electric bill of $375.
Locked Utility Costs
Utility costs are unstable and constantly rising. That just means it is more imperative to switch to solar energy sooner rather than later. Doing so will help you save so much money in the long run. Make sure you don’t have to pay more than what you already do.
Pay Cash for Maximum Tax Credits From The Federal Government
When you pay for your solar system in cash, you can actually monetize your tax credits more efficiently. When your solar panels are leased or financed, the leasing/financing company gets more of the credits. Paying in cash is the ideal way to get your tax incentives monetized.
As an example, imagine you are paying $30,000 in cash, the federal tax credit will be 30% of that ($9,000). If the tax liability is greater than, or equal to, 30% of your total system cost, you will see, it returned after the initial year in your tax refund.
Save More With a Higher Electricity Bill
If you have a power bill of 250, you can save 16,000 roughly during the first 12 years.
Increased Home Value in Arizona
Not only can you save a bunch of money by switching to solar energy in your home and/or business, but you can also increase the value of your home by up to 3% in Arizona. According to Berkeley Lab, it is more likely that a home buyer will purchase a house that has had solar panels installed. This means that home buyers in Arizona are willing to pay up to $15,000 more on average for a home as long as it has solar panels installed.
So Are Solar Panels Worth it in Arizona?
To answer this question again, yes. Solar panels are most definitely worth the money in Arizona. You get fewer carbon emissions, long-term savings, and increased home value. In the future, the predicted main power source of the world is solar energy. Arizona makes a prime location for this energy as it is the sunniest state in America.
If you find yourself still on the fence when it comes to solar panels, then maybe you can learn more information and come to a more solid conclusion about solar panels by checking out our Blog.