Across the Buckeye State, more homeowners like yourself are choosing to go solar every year. And with good reason! As we‘ll explore here together, installing solar panels can save you thousands of dollars over their lifetime.
The Sun is Rising on Ohio Solar
First, let‘s level-set on the growth of solar energy in our state:
Over 1 gigawatt (GW) of solar power now lights Ohio homes and businesses. To put a GW into perspective, that‘s enough electricity for roughly 117,000 households! Solar supplies about 1.2% of Ohio‘s power, and that share keeps steadily rising year after year.
The maps below spotlight where today‘s solar development is concentrated. As you can see, large-scale solar farms fan across Ohio‘s countryside while residential rooftop panels cluster near cities like Cleveland and Columbus.
[Insert interactive maps showing Ohio solar power over time and distribution between utility-scale and rooftop arrays]Driving this momentum are sunnier economics. When accounting for equipment and installation costs, the average price per watt of solar power in the U.S. plunged 70% over the last decade. Rystad Energy predicts another 40% cost drop by 2030 as technology improves further.
Solar‘s compelling value proposition holds true specifically in Ohio as well. Let‘s explore exactly what returns on investment you might expect…
Calculating Your Solar Panel System Size
Sizing a solar array properly for your home comes down to balancing electricity production against your household‘s energy appetite.
The goal is to match your system‘s peak kilowatt (kW) solar output to your average hourly usage. That results in a right-sized system to cover anywhere from 50-100% of your home‘s electricity needs.
We determine the kW system size you need with a simple calculation:
Your average daily electricity use (kWh) ÷ Peak sunlight hours per day = Required solar array power (kW)
As an example, the average Ohio home uses about 29 kWh of electricity daily. Divided by our state‘s 4-4.5 peak sunlight hours, that household would need a 6-7 kW solar panel system.
But every home and family differs!
Here are a few quick questions to hone in on the proper solar array size for your household:
- How many kWh or kilowatt-hours (kWh) do you consume per month or year? Check your latest electric bills.
- What is your average hourly electric load based on your full-year consumption?
- How many hours of peak sunlight does your neighborhood receive? Search "[your city] peak sun hours".
- Plug your numbers into the solar size formula above. What system capacity makes sense for your home?
Properly sizing your solar array is crucial to maximizing savings over the system‘s lifespan. Undersizing risks continued high electric bills while oversizing adds unnecessary upfront cost.
Price Breakdown of a Ohio Solar Installation
As a Ohio homeowner, you can expect to pay an average $2.50 per Watt for a professionally-installed solar panel system.
That shakes out to about $15,000 for a standard 6 kW arrangement.
Of course, costs vary across projects based on:
Equipment Selection
Higher efficiency solar modules cost more upfront but produce more lifetime energy. Ask your installer to optimize this choice for your budget.
System Size
The number of panels and supporting hardware scales prices up or down proportionally. Carefully size your system as we discussed.
Location Variables
Regional weather, electricity rates, and incentives also impact the solar value proposition. We‘ll explore Ohio-specific conditions next.
Installer Choice
With over 70 installers now operating in Ohio, vet several providers on both pricing and reputation.
Below we break out the typical hardware costs that comprise a solar system:
[Insert solar system equipment cost breakdown visual]Now that you understand the components and costs that make up a solar array, let‘s explore your potential return on investment…
Solar Panel Payback Period in Ohio
Given Ohio‘s moderate electricity rates, how long would it take to recoup your initial solar panel investment through utility bill savings?
Approximately 11 years for the average home.
Let‘s walk through the math:
- Ohio average monthly electricity bill: $115
- Annual total paid to the utility: $1,375
- Upfront cost for 6 kW solar system: $15,000
- $15k system cost ÷ $1,375 yearly savings = 11 year payback
While just over a decade may seem lengthy compared to sunnier states out West, the financial benefits of solar do not stop there. In fact, the returns stretch over the entire 25+ year operating life of your system.
That means you can pocket an extra $12,500 to $19,400 in electricity cost savings over the "profitable years" after your system breaks even. Going solar is indeed a smart money-making move over the long run.
And as you‘re about to learn, incentives and policy supports will shorten your payback horizon even further…
Solar Policy Perks for Ohio Homeowners
To accelerate solar payback times and drive additional system cost reductions, be sure to take advantage of all available incentives:
Federal Solar Tax Credit
The IRS offers a generous 26% investment tax credit (ITC) for any solar system installed through 2032. For a $15,000 array, that equates to $3,900 back in your pocket!
Net Metering
Ohio‘s net metering policy lets you bank excess solar electricity to offset future usage. Those utility bill credits quickly add up.
Renewable Energy Credits
While mostly utilized by commercial arrays, SRECs provide added revenue based on solar power generation.
Sales & Property Tax Exemptions
Rest assured solar panels won‘t lead to higher property tax assessments or sales taxes at time of purchase.
When layered together, these incentives can reduce the out-of-pocket cost of installing solar panels in Ohio by 30% or more.
Now let‘s circle back to the original question – how much will solar set you back?
Cost of Solar Panels in Ohio: Key Takeaways
| Metric | Value |
|---|---|
| Avg Cost per Watt | $2.50 |
| 6 kW System Price | $15,000 |
| Payback Period | 11 Years |
| Lifetime Savings | $12-19k |
| Incentives | Up to 30% off |
Turning On the Power of the Sun
We covered a lot of ground today on solar energy‘s potential within the Buckeye State.
Here are a few key insights to walk away with:
- Ohio‘s growing solar industry can provide electricity cost savings for homeowners statewide
- Carefully size your array using your roof space and household energy needs
- While payback periods exceed 10 years, lifetime financial returns are substantial
- Federal, state and local incentives make going solar even more affordable
I hope mapping out the solar landscape in our state gives you added confidence to move forward! Please reach out with any other questions on leveraging the power of the sun.
