When it comes to investing in solar energy, you may find yourself asking the all-too-common question: “Is solar worth it?”. The switch to solar energy is a significant one, so it’s completely natural to weigh up the pros and cons. We address the key concerns and shed light on why solar is indeed worth it, down under!
Is there a downside to having solar?
While solar energy offers numerous benefits including long-term savings and a more sustainable future, it’s essential to address the common drawbacks that people may have.
- Upfront cost: One of the primary concerns is the initial investment required for a solar system. It’s true that purchasing and installing a solar system comes with an upfront cost. However various financial incentives (for example, Small-scale Renewable Energy Scheme, Small-scale Technology Certificates, feed-in tariffs and tax incentives), loans and long-term savings offset this initial expense. We talk more about why going solar is more affordable than you think, here.
- Weather: It’s a common myth that solar panels don’t work outside of perfect weather. While solar panels do work best with direct sunlight exposure, they are designed to account for a wide range of weather conditions. Solar panels work by capturing energy from the sun and converting it into electricity. On cloudy days, sunlight is still able to penetrate through the clouds and reach the solar panels. While the amount of energy generated will be lower, it’s still enough to power the panels and generate electricity. When it comes to colder weather, surprisingly to most, solar panels can actually work more efficiently. This is because cooler temperatures reduce cell resistance, which allows electrons to move more freely.
- Maintenance: The good news is, solar systems are known for their low maintenance requirements, but like anything worth having, they do benefit from periodic checks to ensure optimal performance and longevity. Solar panels are able to be cleaned and inspected with minimal fuss.
How much value does solar add to a home in Australia?
Is solar energy the gift that keeps on giving? Investing in solar energy not only pays off in the long-run, but it could increase your property value, too.
According to the last survey conducted by Origin Energy on the topic, 77% of Aussies think that solar panels add value to a property, with 57% saying they would pay up to $10,000 more for a home that comes with a solar energy system. Interestingly, 55% of renters stated that they would pay at least $10 more a week for a property with solar. Consumer sentiment aside, Origin Energy have also revealed that the value of a home can increase based on the number of solar panels installed. Each 1kW of solar installed can improve the value of your home by up to $6,000. So, a 5kW installation could boost the value of your home by $29,000 when applying this assumption.
With a quality solar energy system, the right documentation and the right real estate market, you should be able to sell your home for its maximum value, all the while enjoying clean energy. To explore this topic further, check out our more detailed guide here.
How long do solar panels last?
You will find it reassuring that solar panels are built to be durable and long-lasting. Though it depends on the manufacturer and type of solar panels you’re having installed, their average lifespan can be anywhere from 15-30 years. So, with manufacturer and installer warranties, they’re a wise long-term investment for homeowners. With regular maintenance and monitoring, their lifespan can extend even further. To learn more about solar panel lifespan and maintenance, read on here.
Now, let’s dive into the core question:
Is solar worth it in Australia?
We may be biased, but the short answer is yes! And here’s why:
- Weather conditions: Australia boasts an abundance of sunlight, making it an ideal location for solar energy generation. Even in sub-par weather conditions, solar panels can still capture a substantial amount of energy.
- Financial incentives: We talk about this a lot – the good thing about going solar in Australia, is that more often than not, the government is incentivising the uptake! From Small-scale Technology Certificates (STCs), to feed-in tariffs and tax incentives too, these incentives can significantly reduce the cost of going solar.
- Savings on energy bills: It’s a cost-of-living crisis out there, and energy prices are skyrocketing too. By generating your own electricity, you’re able to take back some financial control over your future by reducing your dependence on the grid. Over time, savings can add up significantly.
- Property value boost: Who wouldn’t want to move into a home fit with the promise of saving money on bills? There’s various studies out there suggesting that a solar system can boost the resale value of a property. Be sure to do your own thorough, up-to-date research into this area and consult with licenced valuers and real estate professionals.
The decision to invest in solar energy in Australia, is a wise one. The benefits, including long-term savings, property value increase, and a more sustainable future, far outweigh any potential downsides. Solar energy is a financial investment, and it’s an investment in a cleaner future.
Ready to explore a solar system for your home? Call us on 1300 4 SOLAR for a FREE assessment.
Information referenced within “How much value does solar add to a home in Australia” has been sourced from Open Agent and Venergy, within which Origin Energy data is also sourced. Property valuation depends on a number of factors including market conditions, the quality and size of a solar energy system, the professional appraisal, and more. Always conduct your own, up-to-date research and seek guidance from licensed valuation and real estate professionals for your home.