Solar FAQ
- Do I have power when the lights go out?
- Will the utility company send me a check if I produce more power than I use?
- Isn’t solar still really expensive?
- Do I need to buy a system that will eliminate my electric bill?
- Will solar work on any house?
- How much does it cost?
- How much is the Cash Rebate? / How much is the State Tax Credit?
- What kind of financing is available?
- Will I ever have to pay another electric rate increase if I buy this system?
- How does net-metering work?
- Can I run (power) my whole house?
- What Size System do I need?
- How much space does it take on my roof?
- Does it have to go on my roof?
- Can I install it myself?
Do I have power when the lights go out?
Only if you buy a system with battery backup. West Hills Construction, Solar Division offers systems both with and without battery backup. Systems with battery backup are somewhat more expensive and less efficient, but they give you the piece of mind of never being without power.
Will the utility company send me a check if I produce more power than I use?
No. However, if you produce more power than you use in any given month, the utility will bank that electricity and you can draw down that electricity credit for up to one year.
Isn’t solar still really expensive?
NO! Solar is actually far more economical over the long term than buying your power from the utility. After the state rebates and tax credits, if you finance the system over it’s warranty period, the monthly cost of solar can run about the same as your current electric bill. The big advantage is that this cost will never increase, while the cost of electricity from the utility has increased at an average rate of 6% per year over the last 30 years. Solar is a great investment for the long term.
Do I need to buy a system that will eliminate my electric bill?
No. Many people buy systems that only eliminate part of their electric bill. The utilities have adopted a rate structure that increases the cost of electricity as you use more of it. Many people choose a system that will only eliminate the most expensive electricity. This increases the return on your investment.
Will solar work on any house?
No, but it works in many locations. You need an unobstructed south, southeast or southwest facing roof top. Alternatively, you can mount the system on the ground.
How much does it cost?
Grid-tied PV systems are typically $ 5-6 per watt (after rebate)- installed. An average residential system big enough to take care of a family of 3 or 4 in a 2500 sh2(#question01). ft. house, would be about a 3 kilowatt system. So, the gross cost of that system would be $27,000-30,000 installed (before the rebate and tax credit are factored in). In order to give you a more exact estimate of the cost, I would need to know exactly how much power you use – in terms of kilowatt hours per day, or per month – we usually just go back and look at your old bills to get an annual average.
How much is the Cash Rebate? / How much is the State Tax Credit?
The California Cash Rebate for the different utilities is shown below:
| Utility | Current Rebate |
| PG&E | $2.20/W |
| SCE | $2.50/W |
| SDG&E | $2.50/W |
There is also a Federal tax credit of $2,000 for residential systems available. (For residential systems only)
There is also a Federal 30% Tax credit for businesses.
There is a 5 year MACRS equipment depreciation for businesses.
What kind of financing is available?
The best financing packages for these systems are available as secured loans, in which you take out a 2nd mortgage on your home get fixed long term rates. West Hills Construction has a internal financing company that can provide you with details on the financing package they offer for a solar system loan.
Will I ever have to pay another electric rate increase if I buy this system?
If you opt to purchase a solar electric system that covers your entire electricity usage, you won’t ever have to pay for power again. Investing in a solar electric power system is like buying insurance against future rate hikes, you’ll never get another electric rate increase for the next 30 years, you become your own power company, you’ve bought the generator, now the fuel (sunshine) is free!
How does net-metering work?
With a grid-tied solar electric system you still have your “line-coming-in” from the utility, just like before, only now you also have a “line-out” to send your extra electricity back to the utility grid.
Net Metering measures the difference between the electricity you buy from the utility and the electricity you generate with your solar electric system. When you are making more electricity than you are using, like typical summer days, your extra electricity automatically gets metered back out (sold) to the utility grid. You receive credit for this power at the same rate they sell it to you. Net Metering allows you to use the electric utility grid like a bank account. You can put electricity into it that you don’t use immediately and you can withdraw the same amount later on at no net cost to you.
The Net-metering billing system is a 12-month billing cycle. Because you make more in the summer, and less in the winter, they allow you to credit your summer months into your winter months.
At no time will the utility actually write you a check, net-metering requires the utilities to credit you for “up to the amount that you use.” The idea is to get a system that just meets your needs and avoid paying any electric bill at all.
Can I run (power) my whole house?
Yes! A system can easily produce all the electricity you need for your home. They come in many different sizes, and we have a system that just the right size to meet your needs. We typically go back and look at your old electric bills to see how many kilowatt-hours per month you have been using. Based on that we can easily point to a Sol-Gen power system that meets that electric load.
What Size System do I need?
Once we know how much power you use, we can easily do a sizing calculation to figure out how big a system you’ll need. Very simple calculation, there are 5 Equivalent Sun Hours (ESH) in most of California, that’s the annual average sun that’s available, we multiply sun hours X system size to calculate kilowatt hours per day of energy production. That 4 kilowatt system we were talking about before would produce 20 kWh’s of electricity per day, on an average annual basis.
How much space does it take on my roof?
Sol-Gen power systems take approximately 100 sq ft of surface area (collector area) per 1 kilowatt of generating capacity. Therefore the average 4-kilowatt system we were talking about would require about 400 sq ft of area of good southern exposure.
Does it have to go on my roof?
No! While roofs are usually good locations because they are high enough to be above any shading from tree, and many times they are facing south, there are many different mounting options for these systems. Detached structures, garages, covered patios, trellises, and ground mounts are a few other installation options.
Can I install it myself?
Most people don’t try to take this on themselves. Although we will work with owner-builders, you will not qualify for the California Cash Rebate unless you are a certified contractor. Unless you really have some trade-skills under your belt, we advise most people to have a professional install the system.
West Hills Constructions Solar Consultants are more than happy to answer any further questions you may have. Please don’t hesitate to contact them at (888) 767-5654.