Decoding “Free” in the solar power sales pitch
‘Free solar power’ is the most rampantly used marketing technique to entice customers and push the sales envelope. Some have got lured by these freebies and unfortunately landed with dubious solar contracts. Free solar power for your home sounds great, but how does it work or does it work the same for everyone? Before signing a solar contract, it is imperative to understand how free solar power works and what are the pros and cons of it. When going solar, the two options which involve quick money down are either buying a solar power system or solar loans. These options may not be affordable to everyone. Energy market leaders such as Suntuity, offers innovative financing options such as Solar Lease and Power Purchase Agreements (PPA), to make solar energy available to you at no upfront cost. Free solar power concept is usually associated with solar lease or PPA options, which provides convenience to solar aspirants. Both the financing options come at $0-down. In a solar lease contract, the consumer agrees to pay a fixed monthly “rent” for the estimated energy production calculated based on the previous usage. With a solar PPA, instead of paying a fixed monthly amount, consumers agree to pay only for the power generated by the system at a fixed per-kWh price. However, fixed energy production is not guaranteed in a PPA agreement.
Commonly used terms in Solar Leases & PPAs
1. Solar power system Installation: With a solar lease or power purchase agreement (PPA), the upfront cost of solar panels, equipment, and installation is borne by the solar service provider.
2. Tenure agreement: Residential solar leases are usually for 20 to 25 years.
3. Performance & maintenance: Solar panels require little to no maintenance over their lifetime; the company will still monitor the system's performance to ensure that it is operating correctly and producing the estimated energy output. The service provider does system monitoring, repair, and maintenance.
4. Monitoring: Real-time monitoring of energy production is made available to homeowners through intelligent monitoring tools, which can be accessed online, smartphone or tablet.
5. Buying the system: You can buy the solar panel system at any time during the lease term at a price defined in your contract or its fair market value, whichever is higher.
6. Selling your home: If you sell your property, you can transfer the remainder of your lease to the homebuyer or buy the system from the leasing company yourself and include it in the sale of your property.
7. At the end of the term: When your agreement ends, you can either buy the system outright, have the leasing company remove it, or leave the system in place and renew the contract with the owner.
Buying Solar Rooftop Panels in NJ. Here’s what you need to know
The recent volcanic eruptions at Guatemala, Hawaii and the disaster at Puerto Rico are giving us warning signals and urging us to adapt to renewable methods to save the planet. The havoc of green gas emission has been taking a toll on the lives on this planet and gradually moving everyone towards rapid destruction.
New Jersey and many other states in the nation have resorted to green energy and statistics show the increasing trend of residents and commercial businesses embracing solar power. The introduction of Government incentives and the eagerness to do our bit towards the environment has triggered the installation of solar panels in NJ. The tax credits and incentives offered to each state make the investment in renewable energy lucrative; and the financing options further make it affordable for everyone.
Having said that, while in pursuit of switching to solar, the real dilemma begins while choosing and installing the best solar rooftop panels.
Installing solar panels is easy, economical and convenient, only if you get associated with the right service providers. Else, the possibilities of the experience converting into a nightmare, could not be denied.
If you are naïve to solar, then at a very primary level, the features that you should be looking at in solar panels can broadly be identified as below.
For the most part, good quality solar panels will last for years without needing to be replaced. However, there are a few factors which may affect the efficiency of solar panels even when the hardware is intact and functional.
These factors include Weather Conditions, Positioning, Temperature, and Shade.
Conclusion: Solar panels are used to harness the limitless amount of Sun's energy and convert its light energy into electric energy. Technical know-how and abilities to deliver a robust and quality system are essential for a solar power system to provide a high output. Buyers have options to choose among the different types of solar panels (monocrystalline silicon, polycrystalline silicon, thin film, BIPV, and solar hot water panels) based on their budget and needs. When searching for the right solar panels, smart buyers should be aware that there are several permutation combinations which can be availed to make the most out of your solar system. Reach out to us at 855.Suntuity for a Free In-home solar consultation.
Page 2 of 2