Photo by Pixabay on Pexels.com
Gather ’round ye children – for here begins the story of one woman’s journey to solar panelness. Let’s set the stage:
WHO: The crunchy leftist returned Peace Corps electric car driving Californian your parents warned you about.
WHAT: Solar Panels for a 1925 Row house in the North Petwork/Brightwood Park neighborhood in Washington, DC.
WHEN: Began speaking with vendors in the summer of 2015, signed a contract by December 2015…but didn’t get installed until summer 2016.
I spoke with two solar companies, Solar Solutions and Direct Energy. They both reviewed what system I could put in place, and ran numbers for leasing the panels and for owning them. You are not allowed to install more panels than you need, so they did an analysis of my previous year’s energy use and determined I would need a 3.18 Kilowatt system. That is CRAZY LOW. I don’t have centralized air. And I refer you to the who statement above – I am hypersensitive to all forms of consumption, have all energy efficient appliances and am the kind of person who turns lights off after people.
So pretty immediately, my grand idea of selling energy back to the grid was ruined. DYK that you buy your kilowatts from Pepco at 10-12 cents a watt? And they would only “buy” my extra power from me at 1 cent? Lesson 1: if you’re going to want to do that, DC won’t be the place for you to do that. The electric companies are on to you. But they DO give you cash back for SRECS – solar renewable energy credits. More on that when we get into finances….
Temple Beth Sinai on Military Road was doing a bulk purchase and offered coop rates for solar panels to Ward 4 residents, so I jumped on board with that purchase and went with Direct Energy.
Why own when I can rent? Given the size of my system, I crunched the numbers and realized, I wasn’t going to save a lot of money going solar, but the panels would add value to my home. Here is the breakdown of costs:
3.18 Kilowatt System
$11,584 – $3475.20 federal tax credit (30% value of the system)
$8108.80 balance for the system
– $1,500 deposit at time of contract
$6608.80 balance to finance
Direct Energy offered a zero interest loan for the tax credit, and a 20 year loan at 5.99% for the $6K balance. I pay $47.31 per month. I will be increasing this, just to get through that balance quicker. What I haven’t done is see how much I’m saving on my electric bill from month to month. This assessment is made only on the basis of the SREC payments I’ve been getting. So what are SRECs?
SRECs are solar renewable energy credits. Energy companies must have a certain amount of energy that is generated by renewable means. I have given Direct Energy the right to broker (which I plan to revisit) the rights to my SRECS. As of 2019, my 3 SRECs (tied to the size of my system 3.18 KW = 3 SRECs) earned $412.50 each, meaning I got a check for $1,237.50 this month. I’ve received such a check for each year my system has been in place, totalling $3,712.50. For those of you keeping track:
$6608.80 – $3712.50 = $2896.30. At the current market rate, by SRECs alone, I’ll have made the value of my system in 6 years. And that’s not counting the savings off my bill during the summer months. Any more precise than that would require more math than I’m prepared to ever do.
But what was it like getting installed? It was super fast, they did it in two days. As soon as they got the green light for an install, I flipped a switch and it was basically immediate. I got a new meter that spins one way when I use electricity, and spins the other way when I’m generating it. They have a system called enphase where I can see how much each panel captures for me by the hour, day and month. But getting to that approval was a BEAST.
Lesson 2: Don’t try to upgrade to solar before your electrical system is ready to do so. The house is from 1925 and while the electrical system was to code, it was code from the 1980s. With wiring back from when DC electricity was managed by Edison! So I had to upgrade that box before proceeding. Another reason I went with Direct Energy – they offered to upgrade my electrical system as part of the process. It would normally have costs $1,500 for a new circuit board, but they did it for $950, and I only paid $300.
Lesson 3: Get you a vendor who wants to make it happen for you. Between my circuit board and the delays, I would have given up several times in the waiting process. But Roland Parker was good about keeping on me and while the head office’s hands were tied with permits and approvals, he was responsive and kept me on the hook.
It was a process. It was an education. But I’m happy I did it. And I’m happy to answer any questions about it. I think everyone should consider doing the same. I’d be curious to see what it would take to convert to a power wall and be completely off the grid. But that’s not quite in the realm of possibility for me and this house at the moment. But hey, maybe in another 4 years, it will be just as common as solar panels now. We shall see!