OREGON SOLAR PANEL COST
Oregon Solar Cost Breakdown
Despite the cloudy weather, solar power is increasingly becoming more popular with homeowners in Oregon. These homeowners are becoming more environmentally friendly while saving money on their utility bills, locking in their electricity rates, and increasing their property values.
To ensure you get the best possible solar education, we’re going to look at the primary reasons to switch to solar in Oregon, and break down the average cost of a standard solar system after incentives.
The Cost Of Electricity in Oregon Has Increased Drastically
In Oregon, the average cost of a single kilowatt hour of power is about 10.5 cents. In 2010, the average cost of a single kilowatt hour of power was about 6.2 cents. Retail electricity rates have risen drastically across the state over the last 10 years. The trend of utility companies continuing to raise electricity rates is unlikely to change in the near future.
The Cost Of Solar Has Dropped By More Than 55%
An averaged-sized residential system has dropped from a pre-incentive price of $40,000 in 2010 to about $18,000 today. This is one of the primary reasons why more and more Oregonians are choosing to go solar.
Solar Panels Boost Property Resale Value
Zillow’s findings reflect similar studies published by the Lawrence Berkeley National Renewable Energy Laboratory, which drew on a sample of 23,000 homes across the country.
Understanding Property Resale Value
Who Do Clouds Effect Solar Panels?
Germany leads the world in solar power production, yet it’s slightly cloudier than places like Portland, Salem, and Eugene on an annual basis. Much like Germany, Oregon benefits from long summer days with mild temperatures — ideal conditions for maximum solar production. This helps balance out lower production in the cloudy winter months.
Oregon Solar Incentives
Federal Solar Investment Tax Incentive (ITC)
The federal government incentivizes you to purchase solar by reducing the barriers to entry. This incentive lowers your federal tax obligations on a dollar-to-dollar basis, through a cash rebate. There is no ceiling on the tax credit. The Federal Solar Investment Tax Incentive is worth
30% of the total purchase price of your solar system, regardless of the system size or cost.
How To Break Down A Solar Panels system cost
Average Pre-Incentive System Cost in Oregon
Average System Size in Oregon: 5 Kilowatts
Average System Cost Per Kilowatt in Oregon: $3,300
5 Kilowatts in Size x $3,300 Per Kilowatt = $16,500 Initial Cost
Average Pre-Incentive Solar System Cost in Oregon: $16,500
Calculating Average Oregon Solar Incentives
Federal Solar Investment Tax Incentive (ITC)
The federal government will provide a cash incentive of 30% of your total system cost.
$16,500 System Cost x 30% = $4,950 Incentive
Average Federal Solar Incentive in Oregon: $4,950
Calculating the Average Total Cost of Solar in Oregon
Average Pre-Incentive System Cost in Oregon: $16,500
Average Federal Government Incentive in Oregon: $4,950
$16,500 Pre-Incentive Cost – ($4,950 Rebates) = $11,550
Average Post-Incentive System Cost in Oregon: $11,550
Oregon Solar System Purchase Options
Think of purchasing solar like buying or renting a home. You can own it outright by paying cash up front, you can finance it and pay $0 up front, or you can choose to rent it (lease).
At Smart Solar Energy, we don’t believe in renting (leasing) our solar systems. You have to split the savings with your solar company, you don’t get to take advantage of the federal and state solar incentives, and selling your home can be a challenge.
Much like owning a home, owning your solar system allows you to maximize your investment benefits. While paying for your solar system up front is a great investment, most of our clients would prefer to hold on to their hard-earned cash. That’s why we have a variety of $0 money down financing options with local credit unions and can work to find you a solution that meets your specific needs.
Does The Cost Of Getting Solar Panels In Oregon Make Sense For You?
We believe in educating our prospective clients so you can make well-informed decisions about your solar energy needs. Our Free Solar Audit will help you understand whether your property is a good candidate for solar. From there, we can make recommendations based on the incentives available to you and develop a unique plan that addresses your solar energy needs.