It is no secret that we have seen the prices of kilowatts (kw) increase over the years. Our population is growing at a rapid pace, while we find the United States producing less electricity than ever before.
Sounds like a problem, right? None of this leads to good news for our environment, or our energy bills if we are still using electricity.
Soaring Prices of Electricity
The prices of kW have been increasing at around 4% each year and continues to do so with everything that is happening. Back in January of 2014, we saw prices reach its highest point up until that time and experience the largest month-to-month increase in almost 4 years.
2007 saw the United States hit its all time peak of electricity production and everything has been on a decline since. We are now currently producing less electricity than back in 2007 for a population that has increased by 14 million people.
All of these factors combine to contribute to this continuous increase in the price of electricity year in and year out. With the United State’s inability to produce electricity at the rate being demanded, many homeowners and commercial business owners are switching to solar energy for a variety of reasons, with this being a one of them.
What Does This Mean?
After a large jump in increased prices of kW for 2015, it is expected that we will see similar numbers in 2016 and beyond. With this being the case, it is expected that solar energy will increase even more than ever before.
December 31, 2016 marks the end of a large 30% Tax Credit in Missouri for both homeowners and businesses alike.
By making the jump to solar sooner rather than later, you put yourself at the forefront of new technology that is cost-effective and environmental-friendly. The prices of electricity don’t seem to be falling anytime soon and with the chance to participate in lucrative programs through solar panel installation, while immediately saving on your energy bill it is a great time to switch.
Now that there are over 20 gigawatts of cumulative solar capacity operating in the United States, it is hardly foreign to anyone. That number is on pace to double over the next years in our country.
Solar grew 38% from 2013 to 2014 with much thanks to the utility-scale sector and wound up reaching nearly 4 gigawatts. The residential portion of solar not only grew 51% in 2013, but also passed the 1-gigawatt barrier for the first time. On the other hand, the commercial sector wasn’t as fortunate as they actually decreased by 6%.
Why is the commercial solar market underserved?
Capital. The answer to the question above is that the growth of the commercial solar industry has be faced with an obstacle of having limited access to capital. Financing for such projects scare many away due to a lack of standardization throughout the process and high transaction costs determined by the size of the deal.
The future of commercial solar
While 2013 was a growing year for commercial solar, we saw that take a hit in 2014 with a 6% decrease. The obstacles and reasons behind this vary, but range from a tough economy to the hardships in obtaining financing.
Many strongly believe that commercial solar will be making a large comeback in 2016 and beyond. A few key states including California and New York are expected to lead the way while reigniting the commercial sector.
How can I finance a commercial solar project?
Due to a lack of consistency in the commercial sector of the solar market, society has seen many people be unable to afford the costs associated with switching. EnergyLink understands the difficulty in accessing finance to support solar projects, but want you to know that we have the resources available to make the process easy for you.
We have the resources to give you access to the necessary financing for your commercial solar project. Don’t wait any longer. Contact us today to find more information!
Now is the perfect time for homeowners to switch from their current electric cooperative to installing solar power. The incentives alone mentioned in previous blog articles are enough reason to make the switch, but the following stats show you that it’s also worth it:
- 0% Down for your solar power project; pay the amount over time and still make money in the process
- The average net return over the lifespan of the system is $15,000 in Missouri
- Homeowners see an average 50% reduction in utility bills each month
- An average increase in the value of homes is $20,000
These incredible statistics along with the lucrative incentives which last until December 31st, 2016, suggest there’s not a better time to switch as a homeowner than right now!
Switching To Solar Saves You Money
When you switch to solar energy, you don’t have to wait for your savings on the electric bill, it comes immediately. From the first day you install the new solar energy system, you begin to see monthly savings on your bill. Now that’s quite the deal!
No matter how large or small the install is, you will see electric bill savings grow with time. Costs of solar panel systems have coming down drastically in the past 5 years and the savings continue to grow. This fact, coupled with the programs set in place to help pay for some, if not all of the project upfront offer excellent opportunities for homeowners to make the switch.
Solar Is Great For Our Environment
Not only do you see immediate and long-term advantages financially by switching to solar, you also play a key role in the betterment of our environment. By switching from electric to solar, you join a movement that many other homeowners are doing by stepping away from fossil fuel consumption. We are moving toward a clean economy powered by the sun and that’s something to take into account in addition to the monetary value of solar.
Save money today; make our environment a better, more sustainable place tomorrow.
Contact an Energy Consultant today to discuss these benefits and incentives for switching to solar energy by calling 573-777-4811