Solar panels for home is growing worldwide as more and more countries switch on to the need for renewable energy.
More households are looking to go greener to cut energy bills as the energy crisis has taken its toll over the past two years. Even though the energy price cap is going down by an average of 7% from 1 October, bills will still be double compared to last winter.
Solar panels for home are a viable way of cutting your electricity bills (although they can be expensive at first), as well as allowing you to do your bit in the battle to live self-sustainably, or at least reduce the carbon footprint in your home.
And if you’re wondering if now is a good time to fix your energy as more fixed tariffs are coming back on the market, we’ve all you need to know in our guide.
How much does it cost to install solar panels?
According to the Eco Experts, here’s how much it could cost to install solar panels for a home based on the size.
- A one-two bedroom home requires a 2.1 kWp system, costing around £4,700
- A four-five bedroom home requires a 4.9kWp system, costing around £11,000
To ensure you get the correct sized system for your home, it’s important to look for an MCS certified installer.
How much can I save on my energy bills using solar panels?
According to the Energy Saving Trust, they estimate a typical household using a 3.5 kilowatt-peak system can save between £175 and £420 a year on energy bills under the current energy price cap.
But it’s important to note, it could take between 14 to 22 years to break even (cover the cost of solar panel installation).
The savings you make will depend on the system size you install and how much electricity is used. For example, if you work from home, you will be using far more electricity in the day compared to someone who works in an office five days a week.
Enter your details into the Energy Saving Trust’s solar panel calculator for an estimate of how long it’ll take to break even.
What is the Smart Export Guarantee (SEG) scheme?
The SEG scheme is a type of tariff available to households in England, Scotland and Wales by energy suppliers with more than 150,000 customers. Each of these energy suppliers should offer at least one SEG tariff according to the Energy Saving Trust. The tariff pays for each kWh of electricity generated from solar panels and exported back to the grid.
What you’ll be paid for exporting electricity on a SEG tariff varies per supplier, and can be fixed or variable, so make sure you’re going for the highest payer possible.
This scheme came into place on 1 January 2020.
You also need to consider if you have enough space for solar panels. According to Energy Saving Trust (EST), the average system size is around 3.5kWp which takes up approximately 20m squared roof area. Plus, they suggest for optimal output, a south facing roof is ideal. The EST does not recommend north facing roofs.