Benefits of Solar Energy
Solar energy provides several advantages that will enhance your home for years to come.
- Reduced carbon footprint: The sun is the universe's most abundant clean energy source, meaning you can minimize or conquer your home's dependence on fossil fuels.
- Lowered energy bills: You can avoid the premium cost of grid-tied power by creating some electricity at home. Plus, many states provide net metering which can allow you to sell your unused energy back for credits on your bill.
- Better energy independence: Adding a solar battery storage system lets you have reliable energy during storms and grid outages.
What Solar Incentives Are Available to Cedar City Homeowners?
The state of Utah offers several solar incentives to help minimize your solar system costs. Check out a breakdown of relevant solar programs where you live.
Incentive Type: Corporate Tax Credit
Website: energy.utah.govIncentive Amount:
Commercial wind, geothermal electric, and biomass systems 660 kW or greater, and solar PV systems 2 MW or greater: 0.35¢/kWh ($0.0035/kWh) for 4 years
Other commercial technologies and commercial wind, geothermal electric, solar PV, and biomass systems smaller than 600 kW: 10% of installed cost
Photovoltaic systems between 660 kW and 2 MW: May choose either 0.35¢/kWh ($0.0035/kWh) for 4 years or 10% of installed cost
Incentive Type: Personal Tax Credit
Website: energy.utah.govIncentive Amount:
Residential: 25%
Commercial wind, geothermal electric, and biomass systems 660 kW or greater 0.35¢/kWh ($0.0035/kWh) for 4 years
Other commercial technologies and commercial wind, geothermal electric, and biomass systems smaller than 660 kW: 10% of installed cost
Solar photovoltaic systems 2 MW or greater: 0.35¢/kWh ($0.0035/kWh) for 4 years
Solar photovoltaic systems smaller than 660 kW: 10% of installed costSolar photovoltaic systems between 660 kW and 2 MW: May choose either 0.35¢/kWh ($0.0035/kWh) for 4 years or 10% of installed cost
Incentive Type: Rebate Program
Website: wattsmarthomes.comIncentive Amount:
Ductless Heat Pumps: Up to $1,700
Electronically Commutated Motors: Up to $100
Evaporative Coolers: Up to $200
Heat Pumps: up to $750
Ground Source Heat Pumps: up to $2,500
Rooftop Heat Tape Timer: up to $100
Room Air Conditioners: Up to $20
Smart Thermostats: $50
Whole House Ventilation Fans: up to $125
Manufactured Homes Duct Sealing: Free service available
Manufactured Homes Ductless Heat Pumps: Up to $1,300
Lighting: Special pricing at certain retailers
Heat Pump Water Heaters: up to $550
Insulation: Up to $0.10/sq.ft
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 Cedar City
The purchase price and efficiency of solar panels often hinge on the solar company that mounted them. Consider all of these criteria in your business search.
Licensing and Training
If a solar energy system in Utah doesn't use distributed generation technology, there are no licensure requirements. For other jobs, solar contractors must hold license S202, a specialty certification from the Utah Division of Occupational and Professional Licensing. The license requires a 25-hour course to obtain. Solar providers can also obtain certificates from trade groups and standards organizations. The most prestigious ones in the industry come from the North American Board of Certified Energy Practitioners. Most company websites will prominently display earned credentials, but you should also ask your estimator for more information.
Cost of Solar Panels in Cedar City
The kind of solar panels you purchase dictates how much energy you can produce. Monocrystalline panels and high-quality and give you the best performance but cost more upfront. Polycrystalline panels work with a tried-and-true mechanism and cost less, but produce less power. Thin-film panels aren't meant for large home installations, but they're excellent for small projects like sheds and RVs.
You can also add electric car (EV) chargers and battery backup systems. These will increase your total installation cost, but they can increase your solar system's efficiency. Not every solar contractor offers these additional features, so look for a company that sells them if it's crucial for you.
Most Cedar City homeowners opt for solar systems sized for five kilowatts (kW) of electrical capacity. These systems cost about $16,450 to install, considering both parts and installation. You can find more specific solar cost information in the table.
Solar Panel Cost | Average Cost |
---|---|
Solar Monocrystalline | $1,208 |
Solar Polycrystalline | $942 |
Thin-Film | $551 |
Solar Battery | $773 |
Solar Home EV Charger | $2,900 |
Financing Solar Energy in Cedar City
Solar contractors offer multiple different financing options to increase your savings and lower your costs. Though some providers offer unique payment plans, the most common are solar loans, solar leases, cash payments and power purchase agreements (PPAs). We advise making a cash payment or using 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 own your system and can apply for solar panel incentives to minimize your total costs. Solar loans are another good option if you don’t want to make a big initial investment. You can pay for your system in installments while still enjoying energy bill savings and solar incentives. However, you’ll pay more in total due to accruing interest. Solar leases allow you to use your panels for a set monthly rate, while PPAs let you pay only for the energy you use, akin to an electric bill. Both options disqualify you for solar incentives and don't grant you system ownership. Solar experts generally don't recommend them, but they might be suitable in some cases. Ask each business you're considering about the payment options it offers. A staff member can help you determine the optimal option for your financial situation.
The table below lists the average payback periods for different capacities of solar systems in Cedar City.
You are eligible for a 26% federal solar tax credit for new solar energy devices until the year 2032. Local and state governments and utility companies might also offer discounts, rebates, and specialized financing options that could save you more.
Solar System Capacity | Estimated Payback period |
---|---|
1 kW | 2.2 years |
2 kW | 4.4 years |
5 kW | 11.0 years |
10 kW | 21.9 years |
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Frequently Asked Questions About Solar in Cedar City
How much energy and money could I save per year by switching to solar?
How popular is solar energy in Cedar City?
Should I expect a property value increase after switching to solar energy?
What can I do to assess my home's solar viability?
What's a Cedar City solar panel's average lifespan?
What is the average payback period for Cedar City solar panels?
How can I enhance my solar panels' 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 some "red flags" to watch for as I research companies?
- High-pressure sales tactics
- Not being straightforward about credentials and training, references, cost and warranties
- Limited or no customization
- Not thoroughly inspecting your site
- No references or testimonials
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