Are you on the fence for Solar ?
The President signed Inflation Reduction Act 2022 in fourth quarter of 2022 and that is a game changer for many people like me who is on the fence and have been thinking whether to go for Solar or not.
I have recently gone through the entire process myself and got Solar installed and I am quite impressed with it so far. I am in no way suggesting anyone to get Solar installed or not and I will let you decide yourself based on the factors I have learned during the entire process which happen to be 3-4 months process.
Here are some of the questions everyone should ask to himself or herself before thinking of going solar:
Why do you need solar installed?
- To reduce your monthly electric bill
- To avoid getting electric bill increased every year
- To reduce dependency on electric companies
- To have a backup plan for electricity
- To remove dependency on non-renewable energy source
Factors you should consider before jumping on the ship to get Solar:
- How long you are going to stay in your home ?
- Does your HOA allow to install solar panels on your roof ?
- How much roofing space you have for solar panels ?
- What is the direction of the roof you are considering to have solar panels?
- How many hours of Sun do you get on your roof ?
- Is your roof new or too old - older than 5 years ?
- How much electricity you consume per month ?
- Whether you have an electric car or planning to have one ?
- Is your electrical wirings and panel upto the city code ?
- Do you have any trees which can obstruct direct sunlight ?
- Temperature rating of the Solar panels & inverters
- How much your electric company allow for Net metering ?
What are the rebates/credits available?
- Federal is giving 30% tax refund as part of Inflation Reduction Act.
- Every state has its own plan of providing rebates, IL has SREC.
- Even City or Village might have their own rebates.
- There might be additional rebates available for installing EV charger.
Frequently Asked Questions
- Federal rebate is when you file taxes next year, IRS will refund.
- State rebates (if any) can take anywhere between 4 months to 12 months depending upon many factors.
- City rebates (if any) can also take anywhere between 4 months to 12 months.
- Choose a Solar panel installation company
- Get the quote for your home from the selected company
- Solar installer will visit the home to check electric panel, grounding etc.
- Update the quote based on the Panel and Invertor selection
- Finalize the quote based on any changes in orientation and/or direction of panels
- Get the pre-approval from Financing company
- Sign the contract with Solar company and Financing company
- Get the HOA approval for Solar installation
- Get the Solar permit approved from local City/Village
- Updates needed on Solar panel orientation/placement/capacity asked by City (if any)
- Based on updates, new quote will be provided, new contracts need to be signed
- Get the permit approved from City
- Solar installer will schedule the installation date as per your convenience
- Installation can take 1-2 days max
- Solar installer will schedule the City inspection
- City will come and inspect the electrical, grounding, installation etc.
- City will approve if everything is in order, else Solar installer need to fix it.
- Solar installer will come and fix the ask (if any)
- Solar installer will schedule the City re-inspection
- City will approve this time assuming all OK
- Solar installer will remotely turn on the solar generation same day or next day
- Solar company rep will guide you about the app and login for you to monitor the generation
- Solar company will need to send you documents so that you can file the rebate with city
- Solar company will initiate the process for State rebate processor (SREC)
- SREC company will send you contract to sign
- Once contract from SREC is signed, they will prepare to file the SREC rebates
- Federal rebate is 30% of total Solar amount
- IL State has a limitation of 10KW system to purchase Renewable Energy Credit (REC) for a single family home, please research and compare the SRECs if you are going for more than 10KW
- Naperville City has a max rebate of $3000 for a single family home
- Naperville City has EV charger rebate as well of $700, upto a max of 50% provided the funding is not depleted.
- Comed
Net Metering & Solar Credits
From ComEd website: When you have a solar system and are being billed for net metering, you are charged only for the net amount of energy you use during each billing period (i.e., the amount of energy we deliver to you minus the excess amount you send back to the smart grid). And, if you send more energy to the grid than we deliver, you can receive credits on your bill. This program allows you to make full use of your own solar energy system, giving you more control over your energy costs. For more details on Net Metering, view our Frequently Asked Questions.
Similarly Naperville City also allows Net Metering 100%.