A Penny Saved is a Penny Earned
Many homeowners and business owners report that they have cut their energy bills anywhere between 50% and 90%. As an example, let’s say your energy costs are $400 per month. If you calculate conservatively that you’ll cut your costs by 50% to $200 per month, installing solar panels will save you $2400 per year. If you have a business that spends $1000 per month on energy and you can lower that number to $500 per month, that’s $6000 per year in savings, thanks to a solar energy solution.
Solar: A Good investment
Return on Investment can be as High as 30%
Installing solar is one of the most significant investments you will make. You’ll see immediate reduction in your energy bill, shield yourself from increasing energy rates, and enhance your energy independence! In fact, a system from PINANK ENERGY can provide a quick pay back within 3 years and the rest 20 years of operation – free of cost. Investing in solar power plants attract tax savings via 80% accelerated depreciation and IRR that can go high as 30%, that’s better performance than you’d get from the stock market!
Renewable energy, also know as ‘green energy’, is electricity that’s powered by natural sources such as the wind, water and sun.
Renewable energy offers a carbon-free alternative to traditional fossil fuels, and its use is growing here in Australia and overseas.
The development of technologies in the renewable space is allowing us to push the boundaries of where we can incorporate renewable into our every day lives. And while some of these technologies are yet to prove commercially viable, it’s an exciting time. While we may not be ready to rely 100% on renewable, we are moving towards a more balanced future where solar, wind and hydro play a more central role.
Research and development in renewable energy is an exciting space, with new ideas being explored all the time. Below are some of the renewable energy sources that are currently used in Australia (to different degrees).
Protect yourself from rising utility costs
Without a doubt, the long-term trend for electricity prices is upwards. Over the past decade, electricity prices have risen by an average of three percent each year. Eliminating or significantly reducing these costs will save you a lot of money in the long run. By going solar, you also protect yourself against rising prices and make your monthly bills more predictable. With solar you produce your own energy, so it takes away the anxiety associated with rising and fluctuating energy prices.
How solar reduces your electric bill
Let’s assume electricity prices will continue to rise by three percent each year. The typical U.S. home spends about $1,200 annually on electricity. If you buy a system that meets 100 percent of your electricity needs today, you will have an extra $1,200 in your pocket a year from now. The following year, when prices go up, you’ll save $1,236. Your savings will continue to grow for the 25+ years that your panels generate electricity, adding up to $32,000 over the lifespan of your system.
Even if you don’t have the cash to buy a solar energy system up front, you can still reduce energy costs by financing your solar panel system with a solar loan, solar lease, or solar power purchase agreement (PPA). Most solar financing options require no money down and reduce your monthly expenses from day one of installation. As an added benefit, your monthly energy costs will no longer fluctuate – they will simply be the monthly amount of your loan or lease payment.
You’ve exchanged one expense for another, but your new expense is:
- Lower than your pre-solar electric bill
- Consistent over time, without any fluctuations or increases
Why you should invest in solar panels
In many ways, your solar power system is a financial product – one that is capable of generating annual returns ranging anywhere from 10 percent to more than 30 percent. The average EnergySage shopper pays off their solar purchase in just seven to eight years and receives free electricity for the remainder of their solar panel system’s 25+ year lifespan.
You can calculate your annual returns by dividing the financial benefits you receive each year by your initial investment in your solar power system. Many factors can impact your financial returns, including: