There’s no doubt about it: costs are rising, and so is the Australian heat and concern around sustainable, environmentally friendly living. In this article, Jaime Pratt, head of PM at VPM, delves into the benefits of solar energy that make it a popular choice for homeowners and what you need to know before you invest in this power supply for your property.
The Solar Advantage
Solar power is a renewable energy source that offers numerous advantages that make it an attractive option for property owners:
Jaime explains that in the grand scheme of things, solar power will help lower your energy bills, increase the value of your property and make it more appealing to tenants and buyers. “There’s also Government tax incentives, not to mention the environmental feel-good factor that comes with solar power usage,” she says.
Lower Energy Costs: Solar panels can significantly reduce or even eliminate your electricity bills, providing long-term savings. Look into a battery to store power generated during the day, which you can use at night.
Increased Property Value: Properties equipped with solar panels tend to have higher resale value and appeal.
Tax Incentives: Government tax incentives that encourage solar installations, like rebates and grants, help to make solar installation an affordable investment.
Environmental Benefits: Solar energy is clean and green, reducing your carbon footprint and contributing to a more sustainable future.
Return on Investment (ROI)
Jaime also says that solar panels typically deliver a strong ROI and put your money to work. Here’s why:
Energy Savings: Solar panels generate electricity that you can use or sell back to the grid, ensuring a steady credit on your bill whilst also helping to reduce your operating expenses.
Enhanced Property Value: Solar tends to increase your property’s value, which enables you to seek higher rents or sales prices.
Solar Financing Options
Investing in solar doesn’t need to break the bank. Jaime explains several financing options available to property owners that help make this option more accessible.
Solar Leases: Lease solar panels with minimal upfront costs while enjoying reduced electricity bills.
Power Purchase Agreements (PPAs): Pay only for the solar energy you use, often at a fixed rate lower than conventional utility prices.
Solar Loans: Finance your solar installation with a loan, with the option to purchase the system outright once it’s paid off.
What you need to know about solar
While investing in solar comes with many advantages, Jaime suggests considering a few things as you do your research before you purchase:
Location Matters: The efficiency of solar panels depends on your property’s location, orientation, and shading. “Conduct a solar feasibility assessment to determine if there are any factors that may hinder the potential benefits,” she says.
Maintenance: Solar panels are low-maintenance, but periodic cleaning and inspections are essential to ensure optimal performance.
Local Regulations: Familiarise yourself with local permitting and zoning regulations related to solar installations.
Aesthetic Impact: Consider the visual impact of solar panels and if the position of the panels may cause concern for a potential buyer or tenant.
“Investing in solar power is more than just a financial decision,” Jaime explains. “By harnessing the sun’s power, you can lower energy costs, increase your property’s value, and contribute to a greener world in the long run. It’s an investment in the future of our planet.”