How going solar can "future proof" your home against rising energy costs

Every year, families in the U.S. pay thousands of dollars on electricity bills - an expense most people would consider a "default". Over a span of 20 to 30 years, tens of thousands of dollars are spent per family on electricity bills without any returns. It's not surprising to learn, then, that more and more homeowners are realizing that energy bills do not have to be a fixed and repeating expense. By choosing to have solar panels on their roofs, they are not only freeing themselves from a large portion of the recurring payments, but also 'future-proofing' their homes against the steep rise in electricity prices that is inevitable in the coming decades.

An Energy Source that Pays Itself Back

Like all technology for a home, solar panels do require an initial investment. And it is important to choose 'value-for-money' over cheap. Choosing high-performance, reliable equipment such as LG solar panels over panels from a brand that may not exist a few years from now, is a good example of this. Despite the initial cost, the excellent power generation provided by good quality panels for 25 or more years makes the investment worth it.

Have a look at the following graph, the portion on the right is the total savings and the portion on the left is the investment in going solar. The immediately visible difference in size between investment and savings is a clear indicator that solar panels are a long-term investment with guaranteed, solid returns.

The exciting part of the story is that solar panel costs have plummeted over the years. In fact, solar equipment now costs 99% less than it did just 40 years ago. Very few technologies have seen such a steep decline in costs, and the reason for this is the rapidly increased demand that led to its large-scale production. Once seen as a commodity that not everyone could afford, nearly anyone today can purchase and enjoy the long-lasting benefits of a solar power plant.

More Reasons that Make Going Solar Easier

Although the guaranteed savings and lower costs are already attractive reasons, it doesn't stop there. Thanks to the sustainable nature of solar, there is a federal tax incentive in place with the aim of promoting the technology. The ITC (Investment Tax Credit) currently allows homeowners to deduct 26% of their system costs in their coming year's taxes. Several state governments, utility companies, and local governments have their own incentives in place, ranging from direct rebates to additional tax incentives.

Factor this into the equation, and solar panels seem to make perfect financial sense. For those who still feel reluctant to spend money upfront, there is always the financing option. Several financial institutions regularly provide loans for home solar systems, sometimes even through public programs like PACE financing, which provides easy solar loans that can be paid back through tax returns.

Energy Security in Uncertain Times

The way a global pandemic shook all our systems this year has made people rethink their family's security - not just medical and financial security but also energy security. The importance of self-reliance, as far as energy is concerned, is now widely recognized by homeowners. Installing solar panels guarantees this energy security in times of uncertainty, whether it is a virus or any other kind of challenge.

Final Thoughts

Choosing solar power is an excellent way to future-proof your home, while ensuring better financial and energy security for your family. A variety of factors, such as a large drop in costs and several incentives, makes this a great time to go solar. Twenty-five years is a long duration that demands calculated and smart, long-term decisions, and going solar with a reputable brand like LG Solar is one of the best long-term decisions one can make today.