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Top 9 Mistakes with Solar Panel Installations and How to Avoid Them

Top 9 Mistakes with Solar Panel Installations and How to Avoid Them

Top 9 Mistakes with Solar Panel Installations and How to Avoid ThemTop 9 Mistakes with Solar Panel Installations and How to Avoid Them
Photo by Pixabay: https://www.pexels.com/photo/blue-solar-panel-board-356036/

The United States has enough solar installations to power over 23 million homes.

As impressive as that figure is, it’s insufficient for the country’s net-zero objectives. For it to reach those goals, everyone, including homeowners, need to go solar.

Besides being cleaner, solar lets you eliminate or lower your electricity bills. That could amount to thousands of dollars in potential savings!

However, mistakes with solar panel installations can hinder you from enjoying those benefits. Thus, it pays to know what they are so you can do your best to avoid them.

This guide covers those errors to steer clear of, so read on.

1) Not Assessing Your Energy Consumption

You risk having an undersized solar PV system if you don’t know your household energy usage. You can avoid this by assessing your home’s energy consumption.

Start by gathering your utility bills from the last 12 months. Then, sum them up and divide them by 365 (days) to get your average daily consumption.

For example, we’ll use the average U.S. household electricity usage of 10,632 kilowatt-hours (kWh) in 2021. Divide that by 365 to get the average daily consumption of 29.12 kWh. You can round that up to 30 kWh to compute things more easily.

Now, let’s say you wish to eliminate your energy bills. You can achieve this by installing enough panels to generate 30 kW daily. You can then use that 30 kW as your basis to determine your system size and when you compare solar panel designs.

2) Ignoring Your Roof’s Condition

Solar panels generate the most energy when exposed to direct sunlight. That’s why the roof is often the best location for a residential solar system.

However, for the roof to be a viable installation site, it must be stable and in good condition. Otherwise, it can collapse or sustain damage under the weight of a solar power system. After all, a typical panel weighs about 40 pounds.

If you install 25 panels, that will bring their collective weight to about 1,000 pounds. An unstable roof may not be able to accommodate all that extra weight.

To prevent such a disaster, have a licensed roofer inspect your roof first. They can tell you if it needs fixing or is in optimal condition. If it’s the former, it’s best to complete the repairs before installing your solar panels.

3) Not Exploring Alternatives to Roof Installation

Suppose your roof’s condition (e.g., old or unstable) makes it an unviable installation site. Your first option, as mentioned above, is to have it repaired or replaced.

But what if you can’t afford both roof repairs and solar installation?

In that case, find out if your roof can last a few more years without solar panels. If so, you can invest in a ground-mounted or wall-mounted panel design. These are your two alternatives to a roof-mounted solar energy system.

Both alternatives can work almost as well as their roof-mounted counterparts. However, they should still face south and receive unobstructed sunlight exposure.

A wall- or ground-mounted system also makes solar panel maintenance easier. Since they’re in a lower area, you can clean them without worrying about falling off the roof.

4) Thinking All Solar Panels Are the Same

There are three primary types of solar panels with varying efficiencies. These include monocrystalline, polycrystalline, and thin film.

Your choice influences the number of panels you’d need for an appropriate system size.

Monocrystalline (Mono) Panels

Monocrystalline solar panels are the most efficient ones available today. They’ve shown over 25% energy conversion efficiency rates in lab tests.

Mono panels’ high-efficiency rates are due to their pure silicon structure. Each solar cell they contain uses a pure silicon crystal.

Since mono panels are highly efficient, they also cost the most. The upside is that you will need fewer panels to generate enough energy to cover your needs. That also makes them ideal for installation sites with limited space.

Polycrystalline (Poly) Panels

Polycrystalline panels have solar cells made of silicon crystal fragments. That makes them less efficient than their mono counterparts. As a result, their highest energy conversation rates are only about 20%.

That means you’d need more poly panels to achieve the same output as fewer mono panels. However, they also cost less than mono panels, considering they’re less efficient.

Thin-Film Panels

Thin film solar panels don’t contain silicon crystals. Instead, they feature various materials like cadmium, telluride, or non-crystalline amorphous silicon. Others utilize Copper Indium Gallium Selenide (CIGS).

While today’s thin-film panels have improved efficiencies, they’re still the least efficient. That’s why such systems require more panels and occupy more space. Still, their chief advantage is that they usually have the lowest upfront cost.

5) Basing Your Decision on Price Alone

If you invested in solar panels in 2010, you’d have needed a solar system budget of about $40,000. Fortunately, the technology has become better and easier to deploy since then. Thanks to these improvements, their installation now only costs about $25,000.

Still, $25,000 is expensive, which might tempt you to choose the lowest-cost option.

Don’t make that mistake, as cheap materials may be low quality and have shorter lifespans. Instead, base your decision on a long-term outlook; for example, how long it’ll take to recoup your costs. Consider the panels’ output and your average yearly electricity bills to determine this.

Suppose you’d like to buy solar panels with a 345-watt (W) output. Multiply this by the peak sun hours your location gets. Let’s say it’s four hours, the average for most states.

So 345 W multiplied by four hours equals 1,380 W or 1.38 kW. This means each panel can produce at least 1.38 kW daily. Thus, you’d need about 22 350-watt panels to meet your 30 kWh daily electricity consumption.

Next, let’s say your electricity bill is like the 2021 U.S. average of $121.01 a month or $1,452.12 yearly. If your panels always generate enough power to satisfy your demands, you can save that $1,452.12.

In that scenario, it’ll take 17 years to recoup your $25,000. That’s a long time, but remember that today’s solar panels can last at least 25 years. So they’d still give you about eight years to save, which, in this case, could amount to over $11,000.

Also, the $25,000 sample cost above doesn’t factor in solar incentives yet. With their inclusion, you can rake in even more savings.

6) Failing to Explore Solar Incentives

If you make this mistake, you can miss thousands of potential savings. The biggest is the federal solar investment tax credit, followed by state tax credits. Other tax incentives, net metering programs, and equipment/installation rebates are also available.

Federal Solar Investment Tax Credit (ITC)

The federal solar ITC lets you reduce 30% of your eligible solar expenses from the federal taxes you owe.

So if your eligible costs total $25,000, you may qualify for a tax credit of $7,500. As a result, you’d owe the federal government $7,500 less. This also effectively brings down your solar-related costs to $17,500.

If your total credits exceed what you owe the government, you can roll over the excess to the next tax year. You can keep doing this while the tax incentive program is still in place.

The 30% credit runs through 2032, after which it drops to 26% the following year. It further phases down to 22% come 2034. It expires after that unless the government decides to renew the incentive.

State Tax Credits

Aside from the federal government, several states also run state-specific income tax credits. New York, for instance, offers a 25% tax credit (up to $5,000) to its residents. New Mexico also has a 10% state tax credit (maximum of $6,000).

Property and Sales Tax Exemptions

Thirty-six states currently have property tax exemptions for solar installations. Twenty-five states also have solar sales tax exemptions.

A property tax exemption exempts you from paying tax on the value your solar system adds to your home. So, for instance, if you install a solar panel system in New Jersey, you don’t have to pay a 7% property tax. That’s despite your system potentially increasing your property’s value.

A sales tax exemption frees you from paying a sales tax on your solar equipment purchases. For example, suppose you buy solar panels and install them in your Arizona home. With the tax exemption, you don’t have to pay the 5.6% sales tax on your equipment purchase.

Net Metering

This program allows you to sell your panels’ surplus energy to your utility company. The latter then gives you credits for all that excess solar power you send to the grid. Those credits further reduce what you’d otherwise owe your electricity provider.

Solar Discounts and Rebates

These money-saving programs often come from state governments and utility companies. However, some solar equipment manufacturers and installers also offer them. They give you a discounted purchase price or a credit back after installation.

As you can see, solar incentives can save you hundreds to thousands of dollars. So, please explore all programs you may qualify for before buying your system. That way, you can apply for all of them to further reduce your system installation costs.

7) Getting a Lease

Some solar incentive programs require system ownership. These include the federal ITC and some state programs. This means you must buy and own all equipment and materials to qualify.

So, don’t make the mistake of leasing your system if you wish to qualify for as many programs as possible. This is another reason to explore all incentives before installing solar panels.

Also, note that a solar loan differs from a lease because it still gives you ownership. A loan finances your solar panel purchase and installation cost.

By contrast, a lease only lets you rent the equipment for a specified period. The lessor maintains complete system ownership. For this reason, the lessor benefits from the solar incentives, not you, the lessee.

8) Hiring the First Installer That You Find

Some solar companies only sell equipment and offer installation services. Because of this, they don’t provide site assessments. Instead, they leave such responsibilities to the homeowner.

If you were to work with such a company, you’d have to hire other contractors. Not only can that be confusing, but it can also cause delays in your installation.

There are also solar companies that offer multiple services only to subcontract them. This can also be confusing, as you wouldn’t know who to call if a problem arises. Subcontractors may also not carry enough insurance or have no coverage altogether.

Using the best solar installers offering full-service installation can help prevent such issues. Their services usually cover everything, including:

  • Site assessment for solar eligibility
  • Accurate calculation of energy consumption
  • A roof inspection
  • Permit application
  • Solar energy system installation
  • All applicable solar system inspections
  • Securing grid connections

Reputable solar companies can also give you advice on solar incentives. For instance, they can tell you which ones are available in your area. They can also help you during the application process.

9) Not Verifying Warranties

At the very least, your solar panel installation should have a performance warranty. Most guarantee that the panels will have a 90% output for the first ten years. Then, from years 11 to 20 (sometimes up to 25), they guarantee 80% to 85% production.

If the system doesn’t meet those rates, its performance warranty should kick in. This may involve repairing or replacing solar panels found to be defective.

However, just because it’s an industry standard doesn’t mean all companies offer them. Some may also have shorter warranty periods.

Another warranty you’d want to get is for the system’s installation itself. It guarantees the quality of the service and that it’s free from defects.

Installation warranties usually range from 3 to 10 years. However, some companies don’t offer this at all.

So, please verify warranties before hiring a solar installer for your peace of mind.

Avoid These Mistakes With Solar Panel Installations

Mistakes with solar panel installations can make you spend more rather than save. Some may even be dangerous, such as if you install panels on a defective roof.

That’s enough reason to avoid those errors at all costs. And the best way to do that is to hire a full-service solar installation company. That way, you can sit back while the pros do most of the legwork on your behalf.

For more tips and tricks like these, check out our other latest blog posts now!