Solar Panel Installation Honolulu HI
Solar Power: A Bright Idea
For many investors, the costs of "green" investments such as solar power are hard to justify. But investors who are interested in solar power have the opportunity to save money by taking advantage of unique financing strategies and government-offered subsidies, rebates and tax incentives, in addition to long-term savings on energy costs. Further, investors have the opportunity to use solar energy to make money by marketing a property that uses solar as "green"—a feature for which some buyers or tenants would be willing to pay a premium.
Many emerging energy technologies promise a profitable future; however, solar could be especially beneficial for individual investors.
“The Earth receives more energy from the Sun in just one hour than the world uses in a whole year,” according to Solarbuzz, a San Francisco-based solar energy research and consultancy firm. With that knowledge, it’s no wonder that renewable energy enthusiasts have high hopes for the future of solar technology. But forget the future: Today, financing strategies are making it possible to benefit from solar technology.
Solar is a small player in the U.S. energy industry, representing about 1 percent of all energy produced; this number is likely to rise, as manufacturing has skyrocketed from an annual level of 300 megawatts in 2000 to more than 2,000 megawatts in 2006, according to the book The Clean Tech Revolution, by Ron Pernick and Clint Wilder.
Organizations are working to make the conversion to solar energy financially feasible Why is this industry booming? With today’s volatile energy markets, not to mention oil’s recent climb to $100 per barrel, solar energy creates an attractive alternative that allows long-term fixed costs for energy production. As costs of solar continue to fall, investment in this technology could become an economically wise decision for both residential and commercial consumers.
The biggest obstacle preventing widespread implementation of solar energy is the large upfront cost required to purchase the technology and have it correctly installed and maintained. The average cost of a residential system is around $8,000 to $12,000. Those who aren’t environmentalists likely believe this money is better spent elsewhere. But the solar industry will never reach its potential if it remains hidden in the environmental niche. To break into the mainstream, solar must become a product that is financially beneficial and easily acquired by the average consumer.
In recent years, numerous companies have shown dedication to dispel the upfront cost and make solar energy a viable alternative to grid electricity. Two popular strategies have emerged at the forefront of this effort. One involves the use of loans to amortize the cost of a solar energy system over its entire lifespan. The other creates a relationship called a power purchase agreement (PPA) in which customers do not own the installed equipment and are required only to pay...