How Much Can You Realistically Save By Installing a Solar Power System?
The main reason that people ultimately invest in solar is due to the significant financial savings that comes with it as well as enjoying uninterrupted free power supply. But how does solar actually help you save money?
How does solar save you money?
Solar panel systems help you save money by reducing your monthly electricity bills. Although a Ks5,000 or Ksh10,000 electricity bill might not seem like much when you pay it each month, those bills add up quickly over 3, 5,10 or even 20 years. If you pay Ks10,000 per month in electricity now, you’ll pay over Ksh1,200,000 on electricity over the next 10 years.
Installing solar allows you to reduce or even eliminate your electricity bills completely. When you pay upfront for solar panels, you are effectively paying today for the electricity you’ll use over the next 25 or even 30 years. Calculating your savings from investing in solar is as simple as subtracting the amount you pay for solar from what you would have paid for electricity otherwise.
What factors influence how much you can save with solar?
There are four key factors that influence how much you can save with solar: your power usage, how much you pay for electricity, how much you’ll pay for solar and size of your solar system.
1. Your power usage
The amount of power your home/business require on a single day will greatly determine how much you can save with your solar system. This will also determine the size of your system. Ideally, a home/business with higher power requirement, will need a big solar system to cater for the energy demands and hence the more the saving will be. This is because, the moment you have a big solar system, that means you could have paid a lot of money in electricity bills if you haven’t installed solar panels. That money is now savings.
2. How much you pay for electricity
Since the primary way that solar saves you money is by reducing or eliminating your monthly electricity bill, the amount you pay for electricity today heavily influences the level of savings you can obtain by going solar. One thing to think about; if you pay high amount of electricity compared to someone else, your solar energy savings will be higher. One thing also to note is that the energy rates in Kenya will never go down, meaning your savings with solar will always increase.
3. How much you pay for solar
The third part of the savings calculation is how much you’ll pay for solar. Importantly, economies of scale and the need to embrace renewable energy has led the cost of solar to go down in the last decade. This have significantly reduced the amount you pay for solar now. It’s getting affordable each day.
There are many other factors that influence the price you pay, but no matter your scenario, it’s important to make sure you get a well-functioning system at a fair price.
4. Size of the solar energy system
Just as mentioned earlier, the bigger your system, the more money you will save. Note that all solar energy system can save you money, and many home and business owners start to see the savings add up immediately they install the system.
It’s time to think about solar as an investment
If you’re considering solar, it’s worth starting to think about installing solar as an investment. Solar shoppers on Voltmatic Energy Solutions see tens of thousands in savings from investing in solar over the 25+ year lifespan of solar panel systems. Many solar panel systems pay for themselves in less than six months and others eight years or less. Homeowners and business owners who install solar see a return on their investment in the double digits. Where else can you experience that type of return on investment?
If you have been on the fence about switching to solar energy, then maybe these guide helped clarify things for you.
Voltmatic Energy Solutions, a leading solar energy company in Kenya, is here to help answer any concern or questions you may have about switching to solar. Contact us today for a FREE Consultation.
Phone number: 0759 493 610
Email: info@voltmaticenergysolutions.co.ke