Benefits of Solar Energy
Solar energy comes with multiple advantages. Here are some highlights.
- Lowered energy bills: You can skip the added cost of grid-tied power by producing some electricity right where you use it. Plus, many states offer net metering which can allow you to sell your unused energy back to help pay for your energy bill.
- Better energy independence: Solar panel systems with battery backups and storage systems work through power outages and emergencies, and you won't have to rely on your power company for your safety and well-being.
- Reduced carbon footprint: The sun is the universe's most abundant clean energy source, meaning you can reduce or eliminate your home's dependence on "traditional" sources.
What Solar Incentives Are Available to Flagstaff Homeowners?
Arizona homeowners who go solar could qualify for tax credits, reimbursements, special financing and rebates. Here are just a few of the region's incentive programs.
Incentive Type: Sales Tax Incentive
Incentive Amount:
100% of sales tax on eligible equipment
Incentive Type: Personal Tax Credit
Website: azdor.govIncentive Amount:
25%
Incentive Type: Personal Tax Deduction
Incentive Amount:
Total cost, exclusive of taxes, interest and other finance charges
Incentive Type: Property Tax Incentive
Incentive Amount:
100% of increased value
Incentive Type: Personal Tax Credit
Website: ecowatch.comIncentive Amount:
30% federal tax credit for systems placed in service after 12/31/2021 and before 01/01/2033. Good for: solar water heat, solar photovoltaics, biomass, geothermal heat pumps, wind (small), fuel cells using renewable fuels.
How To Choose the Best Solar Company in Flagstaff
Choosing a company is the first step toward an effective and cost-efficient solar energy system. Make your choice based on the following vital factors.
Licensing and Training
Arizona's Registrar of Contractors grants distinctive licenses for solar PV and thermal installers. To install solar PV systems, a contractor must be a licensed electrician, and for solar thermal systems, they must be a licensed plumber. Look for private accreditations from the North American Board of Certified Energy Practitioners (NABCEP), among the solar industry's most trusted trade groups. Its program includes certifications for both solar photovoltaic and water heating installers.
Cost of Solar Panels in Flagstaff
Different solar panel types look and perform differently. Monocrystalline panels offer the best energy production but cost more than other options and generally have the highest quality. Polycrystalline panels produce less power, but start at a more budget-friendly price point. Thin-film panels work well for small projects like RVs and sheds, but they're not ideal for larger installations due to their low performance.
Additional accessories, such as electric vehicle (EV) chargers and battery storage, will add to your overall installation costs. However, they might make your solar system more efficient and convenient to use. Not all solar contractors provide these optional components, so look for a contractor that installs them if it's crucial for you.
Generally speaking, it costs about $15,350 for a five-kilowatt solar array in Flagstaff. This table displays more specific prices for different solar panel types and system components in your area.
| Solar Panel Cost | Average Cost |
|---|---|
| Solar Monocrystalline | $1,058 |
| Solar Polycrystalline | $825 |
| Thin-Film | $483 |
| Solar Battery | $677 |
| Solar Home EV Charger | $2,540 |
Financing Solar Energy in Flagstaff
Choosing the right financing plan will influence your overall solar system cost and expected savings. Common payment options include loans, power purchase agreements, leases, and cash payments. We suggest paying with cash or securing a solar loan for the highest return on investment (ROI). Cash payments require a hefty sum up-front, but you’ll pay the least long-term by avoiding interest. You’ll also have full ownership of your system and can apply for solar panel incentives to reduce your total costs. Solar loans are another solid option if you don’t want to make a big initial investment. You can pay for your system in installments while still benefiting from energy bill savings and solar incentives. However, you’ll pay more in total due to accruing interest. Solar leases allow you to pay a monthly rate to rent your panels, while a PPA lets you pay a fluctuating rate based on only the energy you use. We generally advise against these options since you will not have ownership of your system and are disqualified from solar incentives, but they might be suitable in certain circumstances. Look for installers that offer several payment plans to find the right fit for your financial needs.
The table below lists the average payback periods for different capacities of solar systems in Flagstaff.
A 26% federal solar tax credit applies to recently-purchased solar equipment purchased through 2032. Further incentives may be available through city and state governments, usually in the form of rebates and special financing programs.
| Solar System Capacity | Estimated Payback period |
|---|---|
| 1 kW | 1.7 years |
| 2 kW | 3.3 years |
| 5 kW | 8.3 years |
| 10 kW | 16.5 years |
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Frequently Asked Questions About Solar in Flagstaff
How much money could I save by going solar in Flagstaff?
Is solar energy common in Flagstaff?
Will solar energy systems boost my Flagstaff home value?
How can I assess my home's solar potential?
What size should my new Flagstaff solar system be?
How long does it take to pay back a solar loan in Flagstaff?
How does "net metering" work, and do I need to participate?
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