The Rising Cost of Electricity vs. the Fixed Cost of Solar Energy
The cost of electricity has continued to rise over the years. Even with a drop in the price of natural gas that made it cheaper for utilities to produce electricity, rates are still rising for consumers. Industry experts expect the cost of electricity to continue to climb.
This increase is based on two main factors. First, prices to generate fuel, especially coal, are rising, due in part to environmental concerns. Impending greenhouse gas legislation would cause a jump in electricity prices as technology is replaced or updated to conform to new environmental standards.
Also, an aging infrastructure needs to be updated. Utilities are building power plants and installing new equipment after years of insufficient investment, according to analysts. Guess who has to foot the bill?
On the other hand, a solar energy system gives you protection against electricity rate increases. The cost of solar installation is a fixed cost, so the savings actually increase as utility rates rise. These savings don’t even factor in other benefits, like increased home value, financial incentives, and your utility meter spinning backwards when your system is generating more electricity than you need.
The rising cost of electricity vs. the fixed cost of solar – isn’t the choice clear?