Throughout the U.S. there are towns and cities that are offering amazing solar rebates and incentives on top of the 30% tax credit from the federal government. In this blog series that we are calling “Solar Cities” we are highlighting these towns and cities that are making it easier for their residents to go solar.
This week we are visiting sunny Pasadena. The city of Pasadena has established the Pasadena Solar Initiative (PSI) which offers residential customers a solar rebate after installation and inspection of ahome solar power system. The rebate is based on the system performance i.e., CEC-AC Watts and not capacity(usually reported in DC Watts). Qualified solar installers will be able to advise you on the expected generating capacity of your roof or for a quick estimate you can visit In My Backyard an online tool developed by the National Renewable Energy Laboratory (NREL).
Now, down to the numbers. The PSI rebate for residential solar power systems is $2.40/Watt. Let’s say you installed system rated to 5,000 CEC-AC Watts, the table below will give you an idea of your costs and savings.
|Average Monthly Electricity Bill||$120|
|Average Monthly Electricity Usage (based on a retail electric rate of $0.15/kWh)||800 kWh|
|System Size||5,000 CEC-AC Watts|
|Annual System Production (from http://mercator.nrel.gov/imby/)||7,100 kWh|
|Total Cost ($6.50/watt)||$32,500|
|CSI Rebate ($2.40 x 5,000 Watts)||($12,000)|
|Federal Rebate (calculated after the CSI rebate)||($6,150)|
|Cost after Rebates||$14,350|
|New Av. Monthly Electric Bill||$31|
|Monthly Loan Payment (25 years, 0 down, 6%)||$92|
|NEW MONTHLY NET COST||$93|
|Greenhouse Gas (CO2) Saved:|
over 25-year system life
Based on this estimate your new monthly payment will effectively be $93 – That is over a 20% saving. Of course you have to be able to finance the home solar power system through a home equity loan. If you don’t have any equity right now or just don’t want to take out a loan you can always lease a system or go with a PPA. If you think you might be a good candidate for solar simply fill out our free evaluation form and local Pasadena solar installers will call you with free no obligation quotes.