If you’re reading this blog post, chances are you’re an Iowa resident looking for a more sustainable energy source. Or perhaps someone is curious about solar power and what it could mean for your wallet and our planet.
Whether you’re already knowledgeable on the topic or completely confused by the technical lingo of researching solar panels, at Wolf River Electric, we’ve got the scoop on everything from the costs to installation times so that all Iowa homeowners can make informed decisions when considering going green in Iowa.
So join us as we tackle Solar Panels 101 and discover all there is to learn about harnessing renewable energy in Iowa.
Why Do You Need To Go Solar In Iowa?
1. Solar Power is an Investment
The upfront solar panels’ cost can be intimidating, but it’s important to remember that solar is an investment. And, like any investment, there is an average solar payback period. This means that after a few years, your solar panels will have paid for themselves, and you will start saving on your electricity costs.
2. Solar Panels Save Money
Solar saves you money in two ways: by offsetting your monthly electric bill and by increasing the value of your home. In Iowa, the average monthly savings from going solar is $84.
That means over the course of 20 years, you will save $20,160 on your electric bill by going solar. Besides, homes with solar systems sell 20% faster and for 17% more money than homes without solar, which means solar power system adds to the value of your home.
3. Solar Helps the Environment
Solar power is a clean and renewable energy source that does not produce harmful emissions or pollutants. In fact, by going solar, you can offset tons of carbon dioxide emissions each year. This practice is the equivalent of planting trees or taking cars off the road.
4. Solar Increases Energy Independence
By generating electricity with solar power, you are less reliant on any utility company and the grid. You hardly experience power outages and price hikes from utility companies. Other than maintenance costs, you can eliminate this bill entirely with a solar power system.
5. Solar is Reliable
Solar panels are designed to withstand harsh weather conditions and last for decades with minimal maintenance. Plus, most solar systems come with a warranty. So when you go solar in Iowa, you can be rest assured knowing that your investment will continue to pay off for years.
The Cost Of Solar Panel In Iowa
The range for solar panel installation in Iowa is similar to the national average, with the total system cost ranging from $16,000 to $35,000.
While the upfront costs of solar panel installation in Iowa may seem high, the potential long-term savings and environmental benefits make it a worthwhile investment for many homeowners.
With the availability of solar incentives and the decreasing cost of solar technology, it is now more affordable than ever to generate your own clean energy in Iowa.
Factors Affecting The Cost Of Solar Panel Systems In Iowa
The Number Of Solar Panels– The more panels needed to power your home, the higher the price. Additionally, larger and more efficient solar panels are more expensive than smaller ones.
Solar Equipment Brands– Different brands offer different levels of quality and reliability regarding solar equipment. Cheaper brands may offer cost-savings upfront but could require more maintenance and have a shorter lifespan than higher-quality models.
Installing Solar Company– Companies specializing in solar installations can typically provide more competitive pricing than general contractors, as they have more experience with the process and may be able to access better pricing on materials.
Iowa Solar Incentives
The Iowa Solar Energy Tax Credit
The Iowa Solar Energy Tax Credit is a state tax credit available to businesses and individuals who install solar panels. The tax credit is equal to 15% of the cost of the system, up to $5,000 for businesses and $3,750 for individuals.
To qualify for the credit, applicants must provide proof of installation for a solar energy system within one year. The applicant must own and maintain the solar system to receive the full tax benefit of the credit. This incentive makes it easier for businesses and individuals to make the switch to clean, renewable energy system..
The Iowa Solar Renewable Energy Credits (SRECs)
The Iowa Solar Renewable Energy Credits (SRECs) are credits that are earned by solar panel owners for each kilowatt-hour (kWh) of electricity that their system produces. SRECs can be sold to utilities to help offset the solar panel cost.
These credits are part of Iowa’s Renewable Energy Standard (RES), which encourages the development of renewable energy resources.
The Federal Solar Tax Credit (ITC)
In Iowa, businesses and individuals can use the Federal Solar Tax Credit (ITC) to help offset the costs of solar installation. The ITC is equal to 30% of the cost of the system with no maximum limit. This incentive can make solar more accessible for many, as this tax credit can significantly reduce the cost of installation.
Net Metering in Iowa
Net metering allows solar panel system owners to sell excess electricity back to their utility company at the full retail price. This policy helps offset the cost of the solar energy system and provides an incentive for solar energy production.
Property Tax Exemption for Solar Energy Systems in Iowa
The law in Iowa allows owners of residential, commercial, industrial, or agricultural property to receive a 100% exemption on the additional value that solar energy systems add to their properties. Solar energy system components such as solar photovoltaic panels, inverters, batteries, and other necessary parts are eligible for the exemption. This means that property owners no longer have to bear the burden of increased taxes for installing a solar energy system.
Wrap-Up: Trust Wolf River Electric to Power Your Home
Trust Wolf River Electric to power your home and experience an enormous return on your investment. As technology advances, new possibilities in solar energy use become available every day.
With this secure, reliable power source taking care of your energy needs, you can spend more time doing what you love while saving money and helping to protect the environment. You are not only protecting your pocketbook with a solar energy setup you’re also making a difference in our shared fight against climate change.
Along with that comes access to various state and federal tax credits, which can save you big in the long run. It’s never been easier or more affordable to transition to solar energy than right now.
You can expect to pay around $3-$5 per watt for fully residential solar installations in Iowa. That means a 5-kilowatt installation could cost anywhere from $15,000 to $25,000. You may also be eligible for state or federal tax credit which can help offset the cost of your installation. Overall, if you plan to install solar panels, the cost will depend on the size of your system, where you live, and the solar industry, among other factors
Yes, installing solar panels is a great way to increase the value of your home. According to studies, homes with solar systems sell for 4-6% more than comparable non-solar homes. This number can be even higher in certain states or metropolitan areas with strong renewable energy markets.
It is better to buy a new solar energy system than lease. Purchasing a system will provide you with greater financial savings over the long run as you will own the system outright; however, it requires a more upfront investment. On the other hand, leasing from solar company maybe cheaper in the short-term and requires no money down to set up, but you are likely to miss the solar incentives and tax credits, bringing the amount higher or the same as cash purchases.
The type of solar panel you should install in Iowa depends on your energy needs and preferences. Monocrystalline panels are a popular option as they typically offer better performance than others but are also more expensive. If you’re looking for a cost-effective option, polycrystalline or thin-film panels may be the better choice.
A 5-kilowatt solar system installed in Iowa can generate around 6,000 kilowatt-hours (kWh) of electricity annually. This is enough electricity for an average home’s energy needs while providing some extra to feed back into the grid. Oftentimes, the amount of power you get from a solar panel system is determined by the size of your system, the amount of sunlight it receives, and other factors.
While solar power systems may not eliminate the entire electricity bill, it reduces the cost by significant amounts. The amount of savings will depend on the size of the solar installed, as well as how much energy is projected to be generated from the system. A larger dollar array will be able to generate more electricity and store excess in a solar battery, reducing your electricity bill by a greater amount. The incentives also play a role in savings.