With energy prices all over the place and despite the recent price cap, more and more people are looking at renewable energy for their homes.
Thinking about going solar, to lower your carbon footprint, for renewable energy?
You can get advice from specialist solar panel firms like, for instance, the photovoltaic experts at Otovo UK or others.
Now is the perfect time for UK householders to install solar panels on their homes.
Read on to find out why ..
How do Solar Panels Work?
In the UK, there are two types of solar panels.
Photovoltaics Basics
Of these, the most familiar is PV, which powers your solar panels. When photons of light from the Sun hit your solar panels, they interact with your PV cells.
These photons will generate electrical charges that move in response to a local electrical field in the cell; the movement of electrons will generate electricity.
Solar Thermal Basics
Solar thermal technologies harvest heat from the Sun, rather than power, and were the first solar energy products actually to be sold in the UK.
Equally as with solar PV, solar thermal panels can lower your carbon footprint, as well as save you money by ensuring that the bulk of your home heating requirements can be provided by completely free, totally renewable energy.
Solar Panels are VAT FREE for UK Homeowners
It couldn’t be a better time for homeowners to start switching to renewable sources of power.
And, as of 1 April 2022, and to run for 5 years, possibly longer – you don’t have to pay VAT on having solar, or any other form of domestic installation.
Installing Solar Panels Can Increase Your Home’s Value
There is no doubt that placing solar panels on your roof is a brilliant idea for a house owner to increase the value of their own house.
Perhaps the biggest benefit – besides the enjoyment of harnessing a cost-neutral, planet-friendly form of energy – would be the great amount of your own money that ends up back with you.
And while it’s the owner who makes the decision (panels will be installed, or not), the overall benefit to the house is part of the net asset in the sale, and will therefore be estimated into the home’s price. Hence, a growing share of that price will be affected positively by the panels. Solar panels may well pump up a house’s premium as a longer-term home — they raise the house’s value.
You’ll Save Money on Your Energy Bills
Nobody could get cheaper, easier and more efficient energy than by turning to solar use now.
So, what does the Energy Saving Trust say about the economic payoff for such a house? (Prices used below are for the energy price cap in October 2022): The typical household could save between £210 and £514 a year on bills.
Are solar panels worth it?
Yes – solar panels are worth considering.
With a life expectancy of approximately 25 – 30 years, the average household could save up to £23,325 in this time.
The average solar installed system is 4kW producing 3,400 kWh per year, costing in the region of £8,000-£10,000.
Compare that with Ofgem’s quoted amount for an average household yearly electricity usage, say 2,700 kWh, meaning that domestic solar panels would generate around 117 % of the average household’s electricity consumption… if you had sunshine year-round, that is!
You Can Get Paid for Your Excess Electricity
The end of the Feed-in Tariff (FIT) on 31 December 2019 was followed closely on 1 January 2020 by the Smart Export Guarantee, whereby excess energy generated in UK homes can be sold back to the grid.
The SEG requires suppliers of gas or electricity to more than 150,000 customers to offer an export tariff to the grid, and individual suppliers will ‘set the rate they deem appropriate’.
4p-6p per kilowatt hour (p/kWh) is a good export tariff in 2024, though some may be as high as 24p/kWh.
Summary
Solar panels are a good investment and appropriate for most homes in the UK.
National government statistics indicate that nearly 12,000 solar panels are installed every month all across the UK.
If you want to put the solar panels on your house, you need to make sure there’s enough space on the roof to fit them, and that the roof can support their weight.
We advise that you get in touch with a solar panel installation company in order to receive advice, recommendations and a solar panel installation quote.
