How to Save Money by Going Solar in Hawaii

Published On: August 10, 20230 Comments on How to Save Money by Going Solar in HawaiiTags: Last Updated: January 27, 20243.7 min read

Hawaii’s island location means its electricity rates are among the highest in the U.S. By using solar to produce your own energy, you can significantly decrease your electric bills and offset heating costs.

house with solar panels

Lower Energy Bills

Solar energy systems help protect against rising electric utility rates in Hawaii, where the average electric bill stands at $0.49 per kilowatt-hour (kWh). By producing your own electricity with a residential panel system, you can bypass paying this high rate altogether. Purchase your energy system either outright with cash or finance it with a loan. Companies like https://familyfirstsolar.com can easily give you an estimate. Most homeowners opt to buy their systems outright as this allows them to see immediate savings; you can determine this by comparing your loan payment against your monthly electric bill payment, which shows how much money is saved each month.

Federal legislation also offers a 30% Investment Tax Credit as an incentive for homeowners to utilize renewable energy sources, which will be applied against your taxes each year, decreasing what you owe and saving more with every passing year if you opt for solar technology early enough; especially with high-efficiency systems which pay themselves off faster.

Reduce Your Carbon Footprint

Solar energy is a sustainable and clean source of power that does not emit greenhouse gasses, making it the ideal way to lower both your carbon footprint and electricity costs while helping protect the environment at home. A small system could offset roughly one third of annual carbon emissions, which is equivalent to planting hundreds of trees! Hawaii is well known for its tropical beaches and weather, yet has some of the highest electricity rates nationwide. Switching to solar can save thousands of dollars off energy costs while benefiting the environment as a whole.

The Solar Investment Tax Credit allows homeowners to claim 30% of total project costs (including permits and equipment costs) as a deduction on their taxes; though not refund-like, this reduces what you owe each year. The Energy Storage Bonus Program gives residents rebates of $850 per kilowatt of battery capacity installed with PV systems in their home.

solar panels

Increase Home Value

Installing a solar system may seem expensive at first, but over time it will save money in electricity costs and protect you against rising energy rates – as well as ensure an eco-friendly lifestyle when selling your home in the future. Hawaii’s electricity rates are some of the highest in the nation due to high coal and natural gas costs. By producing your own solar-generated power, you could experience significantly lower power bills while simultaneously decreasing your carbon footprint.

As another incentive, switching to solar can take advantage of both state and federal tax credits that will help offset your initial investment. One such tax incentive, the Renewable Energy Technologies Income Tax Credit, provides rebates of up to 35% of total cost. This tax incentive is available across all 50 states including Hawaii. If you’re considering solar for your home, selecting an experienced local installer is paramount to ensure proper installation and the greatest return on investment. When searching for companies offering comprehensive warranties (labor and equipment guarantees are ideal). When shopping around to compare pricing and features you should shop around to find the best deal; buying is preferable because lease agreements may delay selling your home later on.

Increase Property Value

Although going solar may require an initial investment, its long-term savings more than make up for that initial expense. Customers of panel systems typically save an average of $95,000 over 25 years. When factoring in inflation and energy rate adjustments, that figure increases significantly. If you plan to sell your house in the future, the Wall Street Journal states that investing in solar can increase its resale value significantly. By saving thousands annually in electricity costs and environmental sustainability benefits, potential buyers will be drawn to your property due to its affordability and environmental sustainability – giving you an edge in an otherwise tight market – possibly helping secure higher offers on it!

Home solar system investments can also help to lower carbon footprint and support Hawaii’s renewable energy goals. Hawaii is a leader in renewable energy, with residents committed to cutting greenhouse gas emissions and mitigating climate change; by producing your own electricity through residential panel systems you can help Hawaii realize a green energy future.



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