It has become more popular to see on TV or Ads about solar companies or the government promising free solar panels. This makes it important to assess whether the solar panels are really for free or there is a cost attached to it. A home solar system can cost from $11,000 for a 5kW energy system to $ 22,000 for a 10kW energy system. The size of the solar system you choose will majorly depend on your power requirements or the kind of projects you’re planning to venture into. Hence, the cost for installing solar panels on the roof might be an expensive process for some people. The good news are; it is possible to get some free solar panels but you’ve to abide by the contractual terms and regulations that come with it.
The solar energy providers usually do offer free solar panels as well as free solar panel installation. The solar energy provider will install solar panels on your roof without any investment cost from your side. The solar energy provider will also retain the ownership of the solar panels. They will be responsible for maintenance and repair of the solar panels. However, you must agree to purchase solar power through the solar energy system installed on your house. The payment will be made to the company which has installed them for free. The agreement is usually known as a Power Purchase Agreement (PPA), and it is only offered by some companies such as SunRun, RGS Energy, SunPower, Sungevity, among others. When you enter into a PPA with a solar provide, you are basically agreeing to buy electricity from the company for as long as 25 years and for a specific rate. This means that your electricity bill will not disappear even though the solar panels and the installment was free. It also means that you’ll not have the opportunity to sell excess power back to the grid because the system already belongs to the company. In case your solar energy system does not meet your power requirements, you may still have to purchase energy from the solar provider in order to meet the deficit. Hence, it is quite important to consider all these factors before making the final decision on which plan works best for you.
Also, the government offers tax credits as well as grants for installing renewable energy systems in your home. In Texas, The Federal Investment Tax Credit (ITC) makes it possible to qualify for a tax credit of up to 30% of the total solar energy system. This would cover the labor cost and the cost of equipment too. The solar system you install could also qualify for exemption in property taxes. Hence, it is possible that homeowners can take advantage of the incentives as well as the 30% ITC or even the Residential Renewable Tax Credit. It is also possible that someone can lease the solar energy system to a solar company and own the entire system in the future when the full amount has been paid. Hence, free solar panels can be viewed different perspectives but nothing is completely free for sue.