Benefits of Solar Energy
Solar energy offers multiple perks. Let's look at a few of them.
- Reduced carbon footprint: Using clean solar power lowers your dependence on fossil fuels, which release greenhouse gases that damage the environment.
- Lowered energy bills: You can avoid the expensive cost of grid-tied power by producing some electricity at home. Plus, many states offer net metering which can allow you to sell your unused energy back to credit part of your bill.
- Better energy independence: Solar energy can keep your home running through blackouts and emergencies, giving you additional security. You can use your solar energy anytime with optional battery backup.
What Solar Incentives Are Available to Chapel Hill Homeowners?
Governments and utility companies often incentivize homeowners for embracing solar. Here are some of the rebates, tax credits or other programs you could qualify for.
Incentive Type: Rebate Program
Website: duke-energy.comIncentive Amount:
Residential: $0.60/W-AC
Nonresidential: $0.50/W-AC
Nonprofit: $0.75/W-AC
Incentive Type: Property Tax Incentive
Incentive Amount:
Residential systems: 100% of the appraised value
All other systems: 80% of the appraised value
Incentive Type: Property Tax Incentive
Incentive Amount:
No more than conventional equipment
Incentive Type: Rebate Program
Website: energyunited.comIncentive Amount:
Heat Pumps (15 SEER): $150/unit
Heat Pumps (16 SEER): $300/unit
Incentive Type: Rebate Program
Website: duke-energy.comIncentive Amount:
Central Air Conditioning or Heat Pump: $300 - $400 + $50 with added smart thermostat
Geothermal Heat Pump: $400 + $50 with added smart thermostat
Heat Pump Water Heater: $350
Attic Insulation or Attic Air Sealing: $250
Duct Sealing: $100
Variable-Speed Pool Pumps: $300
Incentive Type: Performance-Based Incentive
Website: ncgreenpower.orgIncentive Amount:
Varies by technology and system size
PV larger than 5 kW: must enter bid process
Wind up to 10 kW: $0.09/kWh
Wind larger than 10 kW: must enter bid process
Incentive Type: Loan Program
Incentive Type: Green Building Incentive
Incentive Amount:
Authorized by legislation for green buildings. Actual permit process to be determined by local government.
Incentive Type: Rebate Program
Website: duke-energy.comIncentive Amount:
Central A/C or Heat Pump: $300 - $400 + 50 with smart thermostat
Geothermal Heat Pumps: $400 + 50 with smart thermostat
Heat Pump Water Heater: $350
Attic Insulation & Air Sealing: $250
Duct Sealing: $100
Pool Pump: $300
Incentive Type: Loan Program
Website: pemc.coopIncentive Amount:
$10,000
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 Chapel Hill
The more thorough your company research is, the better your solar panels will ultimately perform. Make your choice based on the following important considerations.
Licensing and Training
A licensed electrical contractor in North Carolina may direct home solar PV installations in North Carolina if they have the relevant classification from the North Carolina State Board of Examiners of Electrical Contractors. Look for private accreditations from the North American Board of Certified Energy Practitioners (NABCEP), among the solar sector's most trusted trade groups. Its program includes certifications for both solar photovoltaic and water heating installers.
Cost of Solar Panels in Chapel Hill
Your photovoltaic panels' style will impact how much power you can generate. Monocrystalline panels are among the highest quality and perform the best but cost the most. Polycrystalline panels offer you a budget panel with a traditional design, but at the cost of less power generation. Thin-film panels have a low cost and are excellent for non-traditional roofs, but aren't recommended for large home installations.
Additional components, such as battery storage and electric vehicle (EV) chargers, 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 additional features, so look for a contractor that installs them if it's crucial for you.
A majority of Chapel Hill homeowners opt for solar systems sized for five kilowatts (kW) of electrical capacity. These systems cost about $17,550 to set up, considering both parts and installation. You can find more specific solar cost information in the table.
| Solar Panel Cost | Average Cost |
|---|---|
| Solar Monocrystalline | $1,065 |
| Solar Polycrystalline | $831 |
| Thin-Film | $486 |
| Solar Battery | $682 |
| Solar Home EV Charger | $2,557 |
Financing Solar Energy in Chapel Hill
Choosing the ideal financing solution will affect your overall solar system cost and possible savings. Common payment options include leases, power purchase agreements, loans, and cash payments. We suggest making a cash payment or using a solar loan for the best 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 own your system and can apply for solar panel incentives to minimize 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 involve paying a set monthly rate to use rooftop panels. A PPA (Power Purchase Agreement) permits you to pay a monthly rate based only on the energy you use, as with an electric bill. We generally don’t recommend these two choices because you won't own the system and are disqualified from using solar incentives. Ask each provider you're vetting about the payment plans it offers. A salesperson can help you determine the best option for your financial situation.
The table below lists the average payback periods for different capacities of solar systems in Chapel Hill.
You are eligible for a 26% federal solar tax credit for new solar energy equipment until the year 2032. Municipal and state governments and utility companies might also offer rebates, discounts, and specialized financing options that could save you more.
| Solar System Capacity | Estimated Payback period |
|---|---|
| 1 kW | 2.1 years |
| 2 kW | 4.2 years |
| 5 kW | 10.4 years |
| 10 kW | 20.8 years |
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Frequently Asked Questions About Solar in Chapel Hill
How much money could I save by going solar in Chapel Hill?
Is solar energy readily available in Chapel Hill?
Should I anticipate a boost in my property value after installing solar panels?
What if I live in a rainy or gloomy
Is solar panel installation a quick job?
What is the average payback period for Chapel Hill solar panels?
How can I boost my solar array's performance?
- optimize the panels' position with your solar installer
- regularly clean your solar panels
- upgrade to a more efficient inverter trim or cut down trees in the way of your panels
- use energy-efficient appliances
What are the signs I shouldn't use a particular solar company for my job?
- Pushy sales approach
- Being evasive about warranties, training and credentials, references and cost
- Inflexible options
- Not thoroughly inspecting your site
- Limited online information
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