At Real Goods, we've been selling solar panels since 1978, when the price was well over $100 per watt. Today, with tremendous momentum towards a clean renewable energy future that cost has seen a 97% drop! What this means for you is that you'll be guaranteeing yourself a low, fixed, electrical rate for the next 30 years, over which time we all know electrical rates from the utilities will be sharply increasing.
- The cost of owning a solar electric system purchase has dropped almost 50% since 2008.
- Lock in your electricity rates for 30 years – PG&E and other utility company’s rates have been steadily increasing by about 6.5% a year, with a 30% jump in the last three years alone.
- The pre-tax IRR over 25 years in most cases averages around 10-25% — far better and far safer than the stock market, bond market, money markets, and long-term CDs.
- Increase your home's value by $20 for every $1 reduction in annual utility bills, according to the National Appraisal Institute. And, your property tax won’t increase even one cent.
- Since you only pay us the After-Rebate Price, without having to wait for your state rebate to process, you experience the savings right away!
Following is an overview of the costs associated with purchasing a solar system. The upfront installation costs are far cheaper in the long run than paying increasing electrical rates, and the value of your home increases more than the cost of the system with no additional property tax assessments.
Here’s how it works. The net cost of your solar system will be determined by 3 variables:
- Solar System Size (kilowatts)
- State Rebates
- 30% Federal Tax Credit
The following examples reflect the cost of solarizing an average home, which for us is about a 5 kilowatt DC solar system in either California or Colorado. Depending on your electricity usage, this can either offset 100% of your bill or a majority of the most expensive electrical rate tiers.
California
| Average System Size | 5kW |
| Installed Price Per Watt DC | $7.00* |
| Gross System Cost | $35,000 |
| California Solar Initiative (CSI) Rebate | $4,500 |
| After Rebate Subtotal | $30,500 |
| 30% Federal Tax Credit | $9,150 |
| Net System Cost | $21,350 |
Colorado
| Average System Size | 5kW |
| Installed Price Per Watt DC | $6.50* |
| Gross System Cost | $32,500 |
| Xcel Energy Rebate | $13,500 |
| After Rebate Subtotal | $19,000 |
| 30% Federal Tax Credit | $5,700 |
| Net System Cost | $13,300 |
*Since it is a construction project, and to be conservative, we’ve chosen to use a high price for our examples. You can rest assured that your costs will typically be much lower. Amounts depend upon a number of variables (roof type, shading, type of panel, etc.). Our sales technician will provide you a FREE personal analysis.
How does this compare with the $100,000 you would pay to your utility company over 25 years? An incredible deal.
