In Kentucky, where residents use more energy than homes in many other parts of the country, the question of whether it is a good idea to invest in solar power is often raised. Going solar is more than just lowering bills and a greener footprint; it’s about harnessing the power of the sun and even earning from it. Going green is a noble goal, and solar panels can be your ticket to a brighter, more sustainable future.
While we explore how solar power is revolutionizing homes in the beautiful state of Kentucky., it’s essential to understand that most residents invest around $25,740 in solar panels upfront. However, thanks to the Federal Investment Tax Credit (ITC), this cost drops to approximately $18,018, as per data from EcoWatch. Let us discuss some advantages of residential solar power Kentucky, factors to consider for PV installation, and its everyday applications to find out if solar power is worth it in Kentucky.
What Are the Advantages of Residential Solar Power Kentucky?
Avail of Government Rebates & Incentives
Various financing alternatives exist to make the purchase of solar systems more accessible with lower upfront costs. Luckily, the monthly payments on a solar loan are less than what an average utility bill would cost.
- Federal Solar Tax Credit
Kentucky residents can make the most of the Federal Solar Tax Credit (ITC), securing a generous 30% discount applied to their tax returns. According to Today’s Homeowner, Kentucky residents receive a tax credit of $7,722 on average through this program.
- Property Assessed Clean Energy Program
PACE financing offers an excellent option for individuals interested in transitioning to solar energy without making an upfront payment of the state average. This program maintains low interest rates and minimizes down payments.
- Kentucky Energy Cash Back Incentive
Another incentive is Kentucky Energy Cash Back, through which homeowners in the Blue Grass State can receive cash-back incentives of up to $750 when they install energy-efficient equipment like solar heat pumps, air sealing, and insulation, according to EcoWatch.
Produce Your Own Energy
Producing your own energy provides the independence to make sure that your lights stay on during a power outage. Residential solar energy setups combined with battery storage, often referred to as solar-plus-storage systems, deliver electricity irrespective of weather conditions or the time of day, eliminating the need for backup grid power reliance.
Save Money on Your Electricity Bill
Given the ongoing upward trend in utility bills, solar energy presents a significant opportunity to reduce your monthly utility expenses. The extent of your savings hinges on factors such as your electricity consumption, the size of your solar energy system, and its capacity to generate power.
No Worries If You Don’t Own a House
Whether you reside in your own house or not, you have options. Community solar programs enable multiple individuals to gain advantages from a shared solar array, which can be situated either on your building or at an offsite location. The expenses associated with buying and installing the solar energy system are distributed among all participants, allowing everyone to invest in the shared system according to a suitable financial plan.
Pro Tip: Click here if you want to know more about the financial benefits of solar panels in Kentucky.
What Are the Solar Installation Factors to Keep in Mind?
While solar installation can be a wise choice for residences in Kentucky, various parameters can impact the potential cost savings associated with your solar panels. Let’s explore some of these factors:
Energy Consumption of Your Home
Solar energy systems offer the most significant advantages when they can offset your energy costs. This translates to higher potential savings with a photovoltaic (PV) system if you have higher monthly electricity consumption. In general, households that use more than 500 kilowatt-hours (kWh) of electricity each month tend to find solar conversion a prudent financial choice.
Also, as per EcoWatch, the average monthly electricity usage for most homeowners in Kentucky stands at approximately 1,073 kWh, which significantly exceeds the 500 kWh threshold needed to make solar power a financially advantageous investment. You can analyze your historical electricity bills to calculate your average consumption over the past few months or even a year.
The payback period enables you to forecast your total savings after your solar panels have paid for themselves. The payback period in Kentucky is 13 years on average, just slightly above the national average of 12 years. Most homeowners in Kentucky experience savings that cover the installation expenses of their solar panels within a range of 10 to 16 years, as per EcoWatch.
If you determine that your estimated payback period exceeds 16 years, your overall return on investment (ROI) will be lower than the average. You can consult a residential solar company to assess your payback timeline accurately.
Cost of Solar Panels
Another crucial aspect to consider is the cost of solar panels in Kentucky. Kentucky residents benefit from the most affordable solar equipment prices in the entire country, coming in at a mere $2.34 per watt. Given that most homeowners in the region need an 11-kilowatt (kW) system, the standard installation cost totals around $25,740 before factoring in the 30% federal tax credit or $18,018 after accounting for the credit, according to EcoWatch. It’s worth noting that solar becomes a more appealing investment in areas with elevated energy costs.
Common Applications of Residential Solar Power Kentucky
Power Up Kentucky Homes
Once considered a luxury, solar electricity has become an essential and cost-effective resource. With its easy accessibility and undeniable benefits, solar panels in Kentucky can generate electricity that fuels everyday tasks and powers our appliances.
Solar Water Heater
These ingenious systems harness the sun’s energy to heat water, transforming everyday tasks like laundry, dishwashing, bathing, and cooking into sustainable endeavors. The solar heater acts as a bridge between the sun’s warmth and your water tank, ensuring that the Kentucky spirit of innovation and eco-consciousness flows effortlessly through your home.
Solar ventilation options, like solar attic fans, offer a smart way to ease the load on your HVAC system during scorching American summers. It’s an excellent choice, especially if you cannot install a complete solar panel system in your home.
Heat Swimming Pools
Kentuckians can use solar panels to heat their home swimming pools, creating a cozy environment ideal for the entire family to unwind and have a blast while swimming. You can install a solar heating system to heat the pool.
The appearance of your garden or lawn can be enhanced by incorporating solar lights. These lights come in various styles and have the added benefit of making outdoor space visually appealing, particularly during the nighttime hours.
The advantages of residential solar power Kentucky are undeniable. By tapping into solar energy, homeowners can substantially slash their energy costs, avail themselves of tax benefits, and produce their own energy. With various incentives and financing options available, solar power is becoming more accessible than ever before making solar power worth it in Kentucky.
So, as Kentucky basks in the abundance of sunshine, embracing residential solar power is not just a wise choice for homeowners but also a meaningful step toward a more sustainable and prosperous future for all. So, let the sun rise on your path to financial liberation with Ohio Valley Solar, a leading residential solar company with a mission to simplify and enhance your journey toward adopting solar energy! Get a free quote today!