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FREQUENTLY ASKED QUESTIONS (FAQs):
Why should I install a solar electric system on my home or business?
Here are 10 good reasons to "Go Solar:" Why should I choose to work with Namaste Solar Electric?
Here are some good reasons for choosing to work with us: What financial incentives are currently available in the state of Colorado?
Colorado residents and businesses can benefit from both Federal and State financial
incentives: (1) the Federal Energy Bill provides a 30% federal tax credit for solar electric systems installed
on homes and businesses between January 1, 2006, and December 31, 2008 (there's a $2,000 cap for residences
and no cap for businesses); and (2) Colorado's Amendment 37 (A37)
calls for many of the state's utilities to provide financial incentives in the form of cash rebates. Xcel Energy,
for example, will initially provide a total of $4.50 per watt of installed system capacity. What does an average solar electric system cost? Most residential solar PV systems cost between $5,000-$15,000 (after rebates and incentives) which includes the cost of all materials, installation, freight, permit fees and sales tax. Solar PV systems for small businesses typically range from $10,000-$35,000 while large-scale commercial projects can range from hundreds of thousands to millions of dollars. What is the size of an average solar electric system? Averages won’t help in sizing a solar system for your specific home or business any more than an “average” shoe size will help you find a comfortably fitting shoe. Sizing a solar PV system involves careful consideration of three main factors: (1) project budget, (2) a customer's electricity requirements or consumption; and (3) available sunny space where a system can be installed. Can you determine the cost of a solar system based on the square footage of my home? There's a rule of thumb indicating that it costs about $10 per square foot to supply 100% of your electrical needs. However, at Namaste Solar, we do not use that rule of thumb because we custom-design all of our systems based on each individual customer's specific site, energy needs and budget. So how do you estimate the cost of a solar electric system for my home or business? We start by analyzing your recent utility bills to determine how much electricity you consume per month (measured in kilowatt-hours = kWh) and on an annual basis. We then factor in specific issues that are unique to your home or business such as available roof area and shading from trees or other buildings. We'll then be able to show you the investment required to produce as much as 100%, or even as little as 10%, of your electrical power needs. What is "net-metering?" For solar electric systems installed on a home or business that's connected to the grid (i.e. "grid-tied") net metering allows you to have only one electric meter which can spin forwards or backwards at the same rate. So, when the sun is shining, your solar system is producing electricity that can be directly used by your home or business, thereby offsetting the amount of electricity being purchased from the utility company. However, if the electricity is not immediately used, where does it go? (for example, many homes are empty during the day while everyone is away at work or school, etc.) During these times, the electricity is actually sold back to the utility company, causing your electric meter to spin backwards to give you RETAIL credit for it. So, your electric meter may spin backwards and forwards on a daily basis, but you'll only be billed according to the "net" reading on your meter at the end of each month. In this way, net metering allows you to take advantage of, and get retail credit for, every unit of electricity that your solar electric system produces. If you produce MORE power than you use each month, the credits will carry over for later use for up to 12 months. If you still have a credit leftover at the end of the year, the utility may pay you for the excess power you produced, but it will only be at the WHOLESALE rate which is much lower than retail. What modifications would be necessary for my house to run on solar electricity? Very little, if any. Solar panels are relatively lightweight, so there are rarely any structural modifications required. Conduit and wire must be installed from the solar panels to the electrical panel. Typical installations involve only 1 or 2 days, with only 1 hour without power. Would I need to rewire my house before installing a solar system? Not at all. Grid tie systems simply feed into a breaker in your main service panel. Adding back-up power capability requires the installation of a sub-panel to isolate your emergency loads (refrigerator, well pump, furnace blower etc), but this work is common and simple. Would I need to use different appliances? Do I need to use DC appliances if the solar panels only produce DC electricity? No, the solar panels feed DC electricity to a device called a "grid-tie inverter." This device changes the solar electricity into utility-grade AC electricity so that it can be used by your home or fed back into the grid, thereby making your utility meter spin backwards. Do I need batteries in my solar electric system? Batteries are only necessary if you are (a) living "off-the-grid"; or (b) living in an area with a high occurrence of power outages. Most solar electric systems in urban areas, where grid connections already exist, forgo batteries and effectively use the utility grid as a battery. Not having batteries in a system will reduce the overall cost and virtually eliminates maintenance. But if I don't have batteries, how will I get electricity during the night or when the sun isn't shining? If you're tied to the grid, then you simply take electricity from the utility. This happens whenever you are consuming more electricity than your solar system is producing - such as at night or during rainy weather. When the sun is shining, however, and you are producing more power than you're consuming, then the solar system will feed the excess electricity back into the grid, causing your meter to spin backwards. Each month, your utility meter may spin backwards and forwards on a daily basis, but your monthly utility bill will only show the "net" change that occurred. This is called "net metering" and it allows you to achieve a "net zero" bill by selling back the power that you use at a RETAIL rate. If you produce MORE power than you use each month, the credits will carry over for later use for up to 12 months. Afterwards, if you still have a credit leftover, the utility may pay you for the excess power you produced, but it will only be at the WHOLESALE rate which is much lower than retail. What happens if it's cloudy or rainy for several days in a row? Your solar electric system would produce less electricity, but you wouldn't notice the difference inside your home. Grid-tied solar systems never "run out" of electricity. Although solar panels only produce their maximum output in full, unobstructed sunlight, they will still produce power on cloudy or rainy days - albeit much less than normal. During these times, you end up buying more power from the utility company to make up the "deficit." When we design systems we take into account weather variables and can accurately estimate monthly and annual solar electricity production. Can I heat my home with a solar electric system? Yes, it is possible, but it's usually not the most cost effective method for heating your home. In general, using electricity to generate heat requires a huge amount of electrical power. A better investment would be to minimize your home's need for heat by installing additional insulation and investing in high quality windows and window coverings. How long do solar panels last? For a long time: solar panels carry 20-25 year warranties, with life expectancies of 40+ years. How efficient are solar panels? How much power can they produce per square foot? The most commonly used solar panels have efficiencies ranging from 11%-14% and produce about 10-13 watts per square foot. New panels are on the market that reach up to 20% in efficiency; however, in general, the price per watt rises significantly with increasing panel efficiency. So, although efficiencies can reach up to 30% or more, the cost is usually prohibitive except for military or space applications. At the end of the day, panel efficiency really equates to how much power can be generated in a given amount of roof space. So, for basic planning purposes, a good rule of thumb is 12 watts per square foot. How much do solar electric systems weigh? In general, solar electric systems are very light and only weigh about 2.5 to 3 pounds per square foot. Almost all roof structures can handle the additional weight of a solar system. What if there’s a hailstorm? Can the solar panels withstand hail? Solar electric panels are built with high-impact tempered glass. The solar industry standard dictates that panels should be able to withstand 3/4” hail at 60 mph. One of our solar PV panel manufacturers even performs tests by shooting ice cubes at their panels at 140 mph. If your solar panels do suffer any hail damage, you can claim the damage via your homeowner's insurance policy. Will I have to pay more for or make any changes to my homeowner's insurance policy? Usually not. Many utility companies such as Xcel Energy may require that you have at least $300,000 in liability coverage, but this is a standard amount for most homeowner's insurance policies. Note that this is not the same as the basic coverage amount for your policy. In the end, we recommend that you contact your insurance agent if you plan to install a solar electric system to discuss the possibility of increasing your coverage. For many residential systems this may not be necessary. For larger systems, however, your premium may increase to reflect a the substantial increase in your coverage. How are solar panel prices expected to change in the near future?
Unfortunately, solar panel prices are expected to rise steadily for the next 2 years or more.
The problem lies with the constrained supply of purified silicon, which is the raw material required for
manufacturing the majority of solar PV cells. Starting in early 2005, the rapid growth of the PV and
semiconductor industries began to outpace the global capacity to refine silicon, leading to the first
price increases in the PV industry in decades. The silicon shortage will likely last two years or more,
causing solar panel prices to continue rising over the same period. In 2005, solar panel prices increased by 15-20%.
Further price increases are expected in 2006 as the tax credit program begins, new states like Colorado begin their solar
rebate programs, California triples their solar PV installation goals
(news story #1), Germany shows no signs of slowing down and countries
like Spain and Italy are following in their footsteps. How can I learn more about Xcel Energy's solar rebate program? By contacting us and/or checking Xcel's solar rebate program website: http://www.xcelenergy.com/solar. Here you'll find useful information about their solar rebate program and application process. We encourage you to contact us at any time for further details and program updates. How can I maximize my solar energy investment? and how else can I make a difference?
By using your electricity as
efficiently as possible. Appliance upgrades to EnergyStar-rated models
can make a huge impact. An EnergyStar refrigerator or clothes washer purchased today will
use half the energy of a standard model that's just 5 years old.
Improvements to your home's lighting, insulation, windows, appliances, etc.,
can all reduce your electrical
demand with relatively small investments. Not only are energy efficiency improvements the "low hanging
fruit," they are also the most effective way to make a difference - both from an
economic and environmental perspective. Afterwards, if you still decide to install a solar electric system,
it will be able to offset a larger percentage (or all) of your home's electricity consumption.
What is a Renewable Energy Credit (REC)?
We like the explanation of RECs given by the Union of Concerned Scientists:
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