Table of Contents
Solar panels and battery storage systems provide more than just renewable energy; they also increase the overall value of your property.
By installing an efficient solar system, you can easily rack up on savings and add convenience, and if you have the right type of system, you can even sell back excess electricity and earn from the panels on your property.
These benefits are just some of the incentives provided by solar systems installed on properties. Read below to learn more about how these systems can help you get the most out of your residential or commercial property.
The world is getting warmer, and we are to blame for it! Human ingenuity is boundless but since the Industrial Revolution, mankind has seen a steady increase in overall temperature around the world. We call this phenomenon global warming.
It is believed that most of the global warming has been caused by an excess dependence on fossil fuels. Humans have long used wood to create fire, but as technology progressed, we switched to coal, chemical, and even nuclear energy.
All these sources have various carbon footprints and contribute to greenhouse gases, but there is one source of renewable energy that shows unlimited promise: solar energy.
Solar energy has been around for quite some time but has only recently become feasible enough for mass usage. Today, the cost for solar panels has come down significantly and almost anyone can get a small-scale solar system for their residential or commercial properties.
Solar power has quickly become an attractive source of energy due to its low impact on the environment, convenience, and feasibility. By installing a solar system, you can significantly cut down on electricity costs and enjoy guilt-free energy at home.
There are three types of solar systems:
On-grid systems are the cheapest because they directly connect to the power of your home without the use of expensive battery banks. This means that you can run and even sell excess solar energy during the day and only use the grid at nighttime.
Off-grid systems provide a similar benefit as on-grid systems, however, these systems come with separate battery packs. These battery packs are used to store solar energy for later and can provide even more savings and convenience. The drawback of these systems is that they tend to be expensive and extend the overall Rate of Investment on your property.
However, if you are looking for a long-term solution and day/night backup, then off-grid systems are the way to go!
Hybrid systems include the functionality of both on-grid and off-grid systems. These systems have smart inverters that save power to a battery pack and convert DC solar energy to AC before sending it to the primary electrical installation in a property. These systems are excellent for people who want a long-term and comprehensive solution for their power needs.
Although these systems are expensive, they are a fantastic choice for property owners looking to bring down their costs and increase the overall value of their property.
Switching to solar has a lot of benefits, especially in the context of your property. Let’s look at some of the top benefits:
Solar power enables you to be less dependent on the grid. For any prospective property buyer, this will be a huge value add since the property will essentially be independent and provide better power efficiency than other houses in the market.
Using solar power results in lower electricity costs too! You can also sell excess stored energy back to the grid through a process called net metering, and make additional money that is credited to your electricity bill. Please contact a professional electrical company like Calder Electrical to know how you can enable and manage net metering on your property.
In the UK, electricity peak hours are around 11 a.m. to 4 p.m., which means that electricity consumed during these hours typically costs more. However, by installing solar panels you can significantly offset the higher tariff. Peak hours are usually set during daylight to incentivise the use of solar technology.
Not only can you capture more solar energy during peak hours, but you can also sell back excess energy to the grid to reduce your electricity bill and potentially increase the overall attractiveness of your property.
Solar systems are passive systems that can help you earn from a section in your property that is underutilised: the roof. When was the last time you visited the roof of your property?
The thing is, while solar systems do take up space, they hardly ever cover the entire roof. In fact, if you install a tall structure, you can even create a shade on your roof using the solar panels. This is precisely what Elon Musk-backed Solar City is doing. The company, now owned by Tesla, used solar panel roofs to capture electricity effectively without wasting any space!
By installing solar systems on rooftops, you can essentially utilise the free space to earn income from your property, even if the property is vacant.
Solar panels are straightforward and can last a long time. Typically, panels come with a 20-to-25-year guarantee and only require cleaning to maximise solar exposure.
Batteries and the inverter are the most likely to require replacement down the road but if you use them according to the best practices provided by the manufacturer, you can extract up to a decade’s worth of operation from the equipment.
The main components, which are the panels, only require a quick clean, and if it rains, then the panels will practically clean themselves. All of this longevity and low maintenance will add to the overall attractiveness of the property and help increase its value in the market.
Solar panels can be installed anywhere with ample sunlight which makes them very versatile. They are also incredibly environmentally friendly and produce clean, renewable energy.
By installing an environment-friendly system, you can potentially list your property as an “eco-friendly” or “Pro-Green” property, thereby increasing its marketability. A typical home solar PV system in the UK could reduce carbon emissions by around 1 tonne every year.
Now that you know how solar panels and battery storage systems increase property value, let’s look at how much a typical system can cost property owners.
The overall cost for the installation depends on several factors, but on average, a standard 250W solar panel costs around £400 to £500.
The most basic system starts at around 4kW, costs approximately £6,400, and covers around 29 square metres of the rooftop. These systems are ideal for residential properties and small-to-medium-sized businesses.
As a rule of thumb, the bigger the system, the more electricity it can generate.
However, this also means that bigger systems will have a higher initial installation cost. The good news is that bigger systems will generate more power which means that your property can end up making more money proportionally!
For example, even though a 4kW system will be cheaper to install, it won’t allow you to save as much as an 8kW system would over 25 years. A bigger system, on the other hand, will be able to give you a quicker return on investment despite its higher initial cost.
The potential of savings from your property is directly proportional to the type of solar system. On average a 3-5KW system is ideal for properties that incur about 250-300 units of electricity. In this context, the electricity generated by solar panels can result in annual savings of up to £1,460+.
Reduced electricity bills are one aspect of savings for solar systems. The other aspect has to do with net metering, or the ability to sell excess electricity back to the grid. By selling excess energy to the grid and accounting for reduced bills over 25 years, you could see savings of more than £42,530+ depending on your system and tariff.
Some factors that contribute to solar panel savings include:
There are ways in which you can increase savings on your energy consumption when using solar energy. A simple way is to use your high-powered appliances during the day when the sun is out and the solar panels are actively producing energy.
In the UK, you can make further savings using the Smart Export Guarantee (SEG) through which you can earn money from your property by selling excess solar energy back to the national grid.
A 4kW solar panel system can earn around £80 per year through the grant.
Please keep in mind that savings are proportional to the size of the system. The bigger the system, the more energy you can produce and earn with it. For example, a 5kW system can help earn around £100 per year, whereas an 8kW system can earn up to £150.
For commercial properties, this value can go up even more since commercial properties usually go for bigger installations to extract as much benefit from the property as possible. This means that you can end up saving money for your business and even earn passively from the property.
So now you know what solar systems are, how they work, and how they benefit property owners. But the most important question remains unanswered: are solar systems worth it?
The short answer is yes! But there are some things to keep in mind.
To explain the long answer, we will need to look at the power generation and savings of a typical solar system on a property.
A 5kW solar panel system in a typical UK home will ideally cost around £6,000 and produce a power output of around 4000 kWh. Now, the average use of a typical UK home lies between 2,900 to 3500 kWh per year.
In this example, a 5kW solar panel system will not only cover the energy requirements of the home but you can also end up selling back the excess energy.
This same example can also be applied to commercial properties. However, please keep in mind that the total output depends on the size of the system, the amount of sunshine received every day, and the overall efficiency of the solar system installation.
Before deciding to install solar panels and battery storage systems on your property, we recommend that you consult with a professional installation company like Calder Electrical to know exactly what to expect from the system for your particular use case.
Please keep in mind that adding solar battery storage systems can significantly increase the cost of the system and even add to the overall maintenance. Furthermore, battery storage will also require replacement down the road, which means that you will need to account for that cost too.
Of course, there are ways to counter this issue. Firstly, you can increase the lifespan of the battery packs by following the manufacturer’s specifications and the maintenance schedule provided by the installation company.
By using all the best practices, you can extend battery life by up to 10 years or more depending on the type of battery storage system.
Additionally, you can also switch to the main grid during the night to conserve battery life. However, if your goal is to be completely carbon neutral, then you will have to rely on battery storage systems.
Battery storage systems, especially the ones made using lithium-ion can provide double the lifespan of lead-acid batteries.
Lead acid batteries provide up to 4000 charge cycles, whereas lithium-ion batteries are compact and provide up to 8000 charge cycles with higher power efficiency.
So, in the end, the type of solar panel system along with the battery storage system will dictate the potential and viability of savings which will directly impact the overall property value.
Calder Electrical Services provides a wide range of solutions to help you play your part in making the world a more sustainable place.
If you wish to have solar panels installed on your residential or commercial property, our experts can conduct a site visit to determine your requirements and propose the best type of solar system for your needs.
We also offer solar battery storage installation so that you can minimise any wastage of the energy you create. This will help lower your energy bills and make you more independent from the grid.
We have been providing electrical services to residential, commercial, and industrial properties for over 40 years and are specialists in all aspects of electrical installations, maintenance, and testing.
All our work is fully insured and meets the current regulations and standards set by the NICEIC. Also, all the notifiable work is signed off by the local authorities.
Contact us here or call us at 0800 612 3001 to get in touch with our professional electricians for more information on solar panels and battery storage systems and how they can increase your property value.
Photo by Nick Fewings on Unsplash
