As an appraiser, had the opportunity to do a study of the value of a rooftop solar system. Going in cost was $42K. Present value of the return over normal,holding period of a home was $7K. The only thing that made these systems viable was the subsidy for purchase, which would cover approximately 3/4 of the cost.
hindering the growth of much more cost-effective renewable sources of power.
This in my opinion is a key point. Some pencil pusher in DC decides what does and doesn’t get a subsidy or other handout. If your system doesn’t meet his idea of strict standards, ie. if it is innovative you have to compete against systems that get subsidies and you won’t be able to meet price points for consumers. You are frozen out of the market. I actually like the idea of solar power, but the govt is holding back the technology with mandates on subsidies.
Sounds like there is a lobyist there in the midst, somewhere.
When I worked for an electric utility, I had the chance to examine the economics for a "green power" generator at a landfill. If the unit ran 24/7 for the entire life of the generator (not possible due to equipment outages), the revenue from the electricity produced would not nearly have serviced the debt.
I had a “system” installed. First was solar assisted heating/cooling that uses solar to super heat the coolant for the heat pump. In FL this greatly reduced my cooling costs. At the same time I had solar hot water installed. Between the two of them I cut my electric bill by about 75%. Then added the last section which was PV solar - a 5kW system (20 panels). All qualified for a 30% federal tax credit. The tax credit made the payback at the current electricity rates a little over 7 years. If (which isn’t really if but more when) electricity rates increase the payback will shorten. Reduced my electric bills from over $300 a month to about $25 per month, half of which is the charge for the meter and hookup to the grid.
Would a house buyer pay much extra for a preexisting solar system, especially one beat up by the elements for a few years? Possibly the real life resale value of a $42,000 installed solar system is around $2,000. A buyer with any architectural taste would give it a negative value.
Any mention on what happens after a really bad hail storm?
When my roof was being repaired from severe hail damage I was approached by a vendor to put panels on my roof. I just stared at him...
Seen one day of sun in the last two weeks. And I am in Southern Texas.
When my roof was being repaired from severe hail damage I was approached by a vendor to put panels on my roof. I just stared at him...
Seen one day of sun in the last two weeks. And I am in Southern Texas.
What was the normal holding period? You left that out.