What Solar Really Costs in Massachusetts Every day more people ask, “What does solar really cost?” This ebook answers that question. It also gives three reasons why – crazy as it sounds – it doesn’t actually matter what solar costs, as long as the system is designed to meet your individual electricity needs. What Solar Really Costs in Massachusetts 2 Typical Solar System Price The U.S. government slashes almost $8,000 from the starting price. A residential solar energy system in Massachusetts generally starts around $20,000 - $35,000. Here’s an example of pricing for a typical system on a pretty good roof.* Starting Price $26,631 30% Federal Tax Credit $7,989 State Tax Credit $1,000 Net Price = $17,642 *Based on a 7,320-watt system with 24 standard 305-watt panels in National Grid’s Massachusetts territory, roof TSRF (solar-friendliness) 80% of ideal, monthly electricity usage 800 kWh, electric rate $0.21 per kWh inflated at 3.9% annually, annual solar production 7,730 kWh, SMART rate $0.11 per kWh, 15-year loan at 6.99% interest rate and Same-As-Cash portion. What Solar Really Costs in Massachusetts 3 But Wait, There’s More That adjusted price is then “paid back” to you through electric bill savings and “SMART” income. The amount of those benefits over 25 years is far greater than the system’s price: Net Price $17,642 Electricity Savings $60,627 SMART Income Net Savings & Earnings $8,409 = $51,394 This is your financial benefit after the system pays for itself. What Solar Really Costs in Massachusetts 4 What If I Sell My Home? Not planning to stay in your home that long? That’s OK. Solar energy systems have proven to increase home value and decrease re-sale time. In our example, the home’s value increases by $25,620. But since you only see that additional value if you sell your home, it is not included in the numbers on pages 3 and 4. What Solar Really Costs in Massachusetts 5 Why It Doesn’t Matter What Solar Costs If those numbers sound good to you, contact us today to get your free proposal detailing what solar will save and earn for you. If you’re still not sure, read on because it really doesn’t matter what your solar costs. There are three reasons why. What Solar Really Costs in Massachusetts 6 1 You Already Have the Money Do Nothing Solar Loan Solar Purchase If you keep buying all your electricity from the utility, you’ll spend more than you need Your Benefit $40,511 for solar. That’s right. Your existing electricity $51,394 budget is more than enough to cover the cost of solar. Your Benefit Electricity Cost $72,437 With solar, the cost of your system plus what you pay the utility is far less than what you were paying. So if you’re able to pay your electric bill, you’re probably able to afford solar. System Cost $20,116 System Cost $9,233 Electricity Cost Electricity Cost $11,810 $11,810 Over 25 years. Purchase system cost is Net Price minus SMART Income. What Solar Really Costs in Massachusetts 7 2 You Can Afford the Monthly Loan Payment It’s safe to say you can probably afford the monthly WITHOUT WITH SOLAR SOLAR payment if you go solar with a loan. Here’s why. In our example, your monthly electric bill averages $255 today. With solar, your expense drops to $158 – that’s Payment to Electric Company $255 Loan Payment to Bank $68 $160 $97 less a month! Solar Electricity $0 Your actual savings may be more or SMART Income $70 less than $97, but you will most likely Total Monthly Expense spend less than you’re spending now. Monthly Profit $255 $158 $0 $97 What Solar Really Costs in Massachusetts 8 3 Solar Pays for Itself Regardless of your solar energy system’s price, it will pay for itself through electric bill savings and green income in roughly 6 to 12 years, depending on your situation. What other purchase or home improvement does that? Cars only cost us money and houses can be money pits. Even if your solar takes 15 years to pay for itself, that’s still better than NEVER, which is when most purchases pay you back. (If you finance solar with a loan, it’s “paid for” when you make your final loan payment to the bank.) What Solar Really Costs in Massachusetts 9 Now you know what solar really costs Remember: • The initial price is slashed by the 30% federal tax credit and state tax credit. • You’ll pay less for electricity with solar than without it, even if you finance with a loan. • You already have the money. Simply shift your existing electricity budget over to your own clean solar. Is it your turn to go solar and join the thousands in New England already saving with solar? Contact us today to get started. What Solar Really Costs in Massachusetts 10 important sidenote Please don’t confuse “it doesn’t matter what solar costs” with “it doesn’t matter which proposal or company I choose.” Your choice of installer matters a lot. The old saying is true: You get what you pay for. Read more here on our Energy Miser blog. What Solar Really Costs in Massachusetts 11