Benefits of Solar Energy
Solar energy comes with multiple perks. Here are some highlights.
- Better energy independence: Adding a battery storage system lets you have trustworthy energy during storms and grid outages.
- Reduced carbon footprint: The sun is one of the universe's most abundant clean energy sources, meaning you can minimize or conquer your home's dependence on fossil fuels.
- Reduced energy costs: Generating some or all of your own electricity will cut power costs long-term. Plus, some states provide net metering programs that enable you to sell your surplus energy back to the grid, generating extra credits toward your energy bill.
What Solar Incentives Are Available to South San Francisco Homeowners?
The state of California offers numerous solar incentives to help reduce your solar system costs. Here's a breakdown of eligible solar programs where you live.
Incentive Type: Property Tax Incentive
Website: boe.ca.govIncentive Amount:
100% of system value; 75% of system value exemption for dual-use equipment
Incentive Type: PACE Financing
Website: wrcog.usIncentive Amount:
Eligible products can be financed for up to 25 years, depending on the useful life of the eligible product.
Minimum financing: $5,000
The financing may not exceed fifteen percent (15%) of the market value of the property, up to the first seven hundred thousand dollars ($700,000) of the property’s market value, and ten percent (10%) of the remaining value of the Property above seven hundred thousand dollars ($700,000) minus any PACE assessment on the propertyThe total amount of any annual property taxes and assessments shall not exceed five percent (5%) of the property's fair market value, determined at the time program financing is approved.
Incentive Type: PACE Financing
Incentive Amount:
Locally determined
Incentive Type: Rebate Program
Website: selfgenca.comIncentive Amount:
For projects 30 kW or larger, 50% of incentive will be received up-front; 50% will be received based on actual kWh production over the first 5 years. For projects under 30kW, 100% of the incentive will be paid up front.
Incentives will step down over time. See below for incentive amounts.
Incentive Type: Feed-in Tariff
Website: cpuc.ca.govIncentive Type: Feed-in Tariff
Website: ladwp.comIncentive Amount:
$0.17/kWh adjusted by a time of delivery multiplier
Base price will step down over time as certain MW goals are met
Incentive Type: Rebate Program
Website: gosolarcalifornia.ca.govIncentive Amount:
Step 1 Incentive Rates (contact utility to determine current incentive levels):
Single Family Residential Incentives:
Systems that displace natural gas: $29.85 per estimated therm displaced
Systems that displace electricity or propane: Funding has been exhausted
Commercial/Multifamily Incentives:
Systems that displace natural gas: $20.19 per estimated therm displaced
Systems that displace electricity or propane: $0.42 per estimated kWh displaced *** Note, funding has been exhausted in this category for SCE and PG&E
Solar Pool heating: $5.00 per estimated therm displaced
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 South San Francisco
The more comprehensive your provider search is, the better your solar panels will ultimately work. Consider each of these factors in your service provider search.
Licensing and Training
California requires solar companies to hold licenses for each type of equipment they install, which can include solar water heaters, pool heaters, photovoltaic (PV) systems, boilers, and HVAC. Contractors must take a highly comprehensive educational series, gain four years of field experience, and pass written exams to earn a license. You should also visit a company's website to learn about its private certifications. Two of the most prestigious are the Solar Heating Installer and PV Installation Professional certificates, granted by the North American Board of Certified Energy Practitioners (NABCEP). Some companies don't publish this information online, so you should also ask your estimator about them.
Cost of Solar Panels in South San Francisco
The style of solar panels you choose decides how much electricity you can produce. Monocrystalline panels and high-quality and give you the best performance but cost more upfront. Polycrystalline panels produce less power, but they're worth it if you want a traditional panel style without the high cost. Thin-film panels aren't meant for large home installations, but they're excellent for small projects like sheds and RVs.
If you want to charge an electric vehicle (EV) or use your solar power in inclement weather, you can pay extra for accessories. By selecting the right components, you can make your panel array more productive and user-friendly. Not all solar providers provide these optional components, so look for a company that sells them if it's a priority for you.
Generally speaking, it will cost about $17,350 for a five-kilowatt solar array in South San Francisco. This table lists more specific pricing information for different solar panel types and system components in your area.
| Solar Panel Cost | Average Cost |
|---|---|
| Solar Monocrystalline | $1,348 |
| Solar Polycrystalline | $1,052 |
| Thin-Film | $615 |
| Solar Battery | $863 |
| Solar Home EV Charger | $3,236 |
Financing Solar Energy in South San Francisco
There are a plethora of ways to pay for a solar energy system, and the right one will minimize your overhead. A few of the most common options include power purchase agreements (PPAs), cash payments, leases, and loans. Most solar experts recommend paying cash or using a solar loan. Cash payments require a large up-front sum, but they save you from paying interest, grant you system ownership, and qualify you for cost-saving solar incentives. Solar loans have the same benefits, though you'll pay more in total due to interest and fees. Much like an auto or home loan, you'll pay a set monthly rate with as little as $0 down. Solar leases allow you to pay a monthly fee to rent your panels, while a PPA lets you pay a fluctuating rate based on only the energy you use. We generally don't recommend these options since you will not have ownership of your system and are disqualified from solar incentives, but they might be appropriate in specific circumstances. We recommend working with an installer that offers multiple financing options. Talk to each agent about what's available, and obtain more than one estimate for the best odds of keeping within your financial plan.
The table below lists the average payback periods for different capacities of solar systems in South San Francisco.
A 26% federal solar tax credit applies to new residential solar equipment purchased through 2032. Additional incentives may be available through local governments, usually in the form of rebates and special financing programs.
| Solar System Capacity | Estimated Payback period |
|---|---|
| 1 kW | 1.4 years |
| 2 kW | 2.7 years |
| 5 kW | 6.8 years |
| 10 kW | 13.7 years |
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Frequently Asked Questions About Solar in South San Francisco
How much money could I save by going solar in South San Francisco?
Is solar energy readily available in South San Francisco?
Will solar panels raise my South San Francisco home price?
Is installing solar panels a quick job?
How do I care for my new solar system?
How long does it take to pay back a solar loan in South San Francisco?
How does "net metering" work, and do I need to participate?
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