Residential Installation Basics

Yes, there is help with the cost. In terms of help, the Federal Government’s tax credit is the biggest way to reduce the cost of going solar. For example, if you are installing enough solar panels to generate 6KW of power, and the cost is $15,000 for parts and labor. If you apply the $4,500 you receive as a tax write off, then it has the potential to turn a $15,000 investment into a $10,500 investment. A good certified installer will give you a reliable price quote, with a complete breakdown of parts and labor needed to finish the job.

Type of Solar System Impacts the Process

It depends whether you are connected to the grid, or if you are installing solar for an off-grid property that has no access to outside power.If you are connected to the grid, you will need less equipment and you won’t need storage batteries. When you are generating power you use, you own and sell the leftover power back to the utility, what is known as net-metering. At night, when the panels aren’t active, you use the regular power grid with credits for the power you generated to the system.
 

The installation of an off-grid system needs storage, and those batteries can vary in cost depending on how much storage you need. Unless your home is in a remote area that has no grid access, you don’t need batteries. 

DIY Solar Installations

In the age of YouTube videos teaching people how to do everything, it might seem simple to install solar panels, but it’s not. It’s actually dangerous and you can electrocute yourself if you don’t know what you’re doing. This is why we recommend using a certified installer. Those installers know what they are doing, they know about electricity, and they know how to tap into the grid without getting electrocuted, which is a lot different than watching videos of someone installing solar panels and doing it yourself.

Basically, contractors and your certified installers will handle the heavy lifting needed to get permits signed, but depending on your utility, you may need to sign a few papers. A good example in California is with PG&E. They make solar panel owners sign an Agreement and Customer Authorization form as well as a Standard Net Energy Metering Interconnection Application.
 

By singing the Authorization Agreement you are authorizing your utility to release data about your usage to the solar company. By signing the Net Metering Agreement you agree to install only the solar equipment contained in the application and to operate it only in accordance with the instructions from the utility.

In this agreement, you are also indemnifying the utility against any damage to its grid or other loss caused by your solar generation equipment. We looked and couldn’t find a case where solar panels damaged the grid, but it is good to be aware of these clauses.

Most utilities install the meter themselves, or they have authorized contractors to do the installation. In some cases, the utility uses the solar company’s licensed electrician to upgrade the meter. Your authorized installer will walk you through this process and any costs associated.  As the net meter works, it measures both the kilowatt hours delivered to your home, as well as the kilowatt hours overproduced and fed back to the grid.

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