Should I Install Solar Panels in New Jersey?
Solar panels are a great way to reduce electricity costs, increase your property’s value, and control your own electricity production, all while helping the environment. With that said, if you live in New Jersey you might be wondering if New Jersey is the right place for solar panels, should you install solar panels in New Jersey?
While New Jersey doesn’t get as many sunny days per year as other states such as Florida or California, you may be surprised to know that New Jersey has the 6th most solar installations per capita of any state. That’s because New Jersey is actually a great state for solar panels and here’s a few reasons why:
Why Install Solar Panels in New Jersey?
In the past decade, you will have seen solar panels appearing in more and more homes. and commercial buildings in New Jersey. Here are five reasons why you should consider installing solar panels too:
- Strong state incentives: New Jersey offers a robust set of governmental incentives to encourage households and businesses to engage in solar energy. These incentives include rebates, tax credits, and performance-based incentives, all of which can dramatically lower the initial cost of installing solar panels.
- High electricity rates: Because New Jersey has some of the highest electricity rates in the country, households and businesses can save a significant amount of money by generating their own electricity with solar panels. You can cut or even eliminate your monthly electricity expenditures by installing solar panels.
- Net metering: New Jersey has an aggressive net metering policy that permits homeowners and businesses to sell excess energy back to the grid in exchange for credits that can be applied to future electricity bills. This implies you can make money from your solar panels if you produce more electricity than you consume.
- Good solar potential: New Jersey has a good solar potential, with an average of 4.3 hours of peak sunlight per day. This means that solar panels in New Jersey can provide a significant amount of electricity all year.
- Environmental advantages: Solar energy is a clean and renewable energy source that does not emit greenhouse gases or other pollutants. Installing solar panels can help you lower your carbon footprint while also protecting the environment.
As you can see, New Jersey is a great place to install solar panels on your home or business due to its strong incentives, high electricity rates, good solar potential, and environmental benefits.
An Example of How a Pizzeria Reduced Its Electricity Costs With Solar Panels in New Jersey
Everybody loves pizza and New Jersey has some great pizza, so here’s an example of how solar panels helped a pizzeria reduce its costs:
The pizzeria had an average monthly electricity bill of $1,000, which was cutting into their profits. To reduce their electricity bills they decide to install a 20-kilowatt solar panel system on their roof, which would generate an estimated 24,000 kilowatt-hours (kWh) of electricity per year.
The installation was around $3 per watt, and the entire system cost them approximately $60,000 before incentives. However, after factoring in the 26% federal tax credit and the New Jersey state incentives, the net cost of the system was reduced by up to 50%, bringing the cost down to around $30,000.
With the new solar panel system, the pizzeria was able to generate enough electricity to meet all of its energy needs and still turn out great-tasting pizza! In addition to that, the system also produced extra energy that they didn’t use so got credits through net metering. Thanks to solar panels, they reduced their monthly electricity bill to virtually zero, saving them $12,000 per year.
Now you may be asking, what about the $30,000 investment? Not only was their monthly payment much less than the $1,000 a month they were paying for electricity but over the lifespan of the solar panel system, which is typically around 25 years, the pizzeria can expect to save over $300,000 in electricity costs, which quickly off set. the $30,000 they paid for the system itself.
Additionally, by generating its own clean energy, the pizzeria can reduce its carbon footprint by about 450 tons of CO2 over the lifespan of the system.
In summary, by installing a solar panel system, the pizzeria was able to significantly reduce its energy costs, save money in the long run, and reduce its environmental impact.
Solar panels are not the only way to reduce electricity costs, other solutions include energy efficiency improvements that can help reduce energy bills. If you are interested in installing solar panels in New Jersey, be it for your home or business, Bio Developing specializes in solar installations and energy efficiency solutions to help you reduce and better control your electricity costs. Contact us today!
Article by
Rebecca Samson
Editor, Bio Development
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