Are Solar Panels Worth It in Illinois?
Illinois Solar Potential
Illinois has quadrupled its residential solar installations in the last five years, and solar system costs have lowered significantly in the last decade. With growing tax incentives, rebates, and state programs, it makes more sense than ever to go solar and take advantage of Illinois’ numerous perks.
Illinois has major solar potential, with an average of about 198 sunny days per year, more than enough to balance over traditional electrical systems. Moreover, the state’s Renewable Portfolio Standard (RPS) mandates that one-fourth of its electricity comes from renewable sources by 2025, meaning solar investments only continue to thrive.
Cost of Solar Panels in Illinois
Solar panel costs vary based on system type, size, your chosen installer, and location (i.e., both the average energy cost and sunlight in the area). Solar systems usually range between 5-10kW. According to a survey by MarketWatch, the average Illinois homeowner installs a solar panel unit ranging between 6 to 8kW in capacity for an average cost of $21,660 to $28,880, respectively, before tax credits and other financial incentives. Illinois solar panels average $3.61 per watt for a 5kW system; though that’s a bit higher than the national average of $2.85, the potential savings balance things out.
Potential Savings With Solar Panels
While solar systems may take some years to balance savings over generic energy costs, there are several immediate ways you can still save money, including:
- Solar incentives: Every U.S. resident and business qualifies for a 30% federal tax credit on solar panel costs, regardless of location. On top of that, Illinois offers numerous Renewable Energy Certificates (REC) and state incentives that ensure property taxes don’t go up when you go solar.
- Net metering: Net metering is a billing method that allows homes and businesses with solar panels to receive credits for excess energy sent back to the grid. These credits can be used to offset the cost of electricity drawn from the grid when the solar panels aren’t producing enough power, like when it’s wintertime, cloudy, or dark out. Illinois’ net metering policy requires electricity providers to buy this excess energy at the full retail rate, and it can often be used in place of solar batteries. Your solar installer usually handles the net metering application, but companies like Ameren, MidAmerican, and Commonwealth Edison are the go-to for quality net metering programs.
- Local programs and rebates: Illinois has several city rebates and programs that help with solar system costs. The Chicago Solar Express Permit Program reduces permit and application fees and expedites approval. There are programs like Illinois Solar For All that support solar energy for low-income housing and rebates from Commonwealth Edison.
Return on Investment (ROI) for Solar Panel Systems
Every solar panel system has a “payback period” when your investment fully pays off and offers additional savings. On average, Illinois solar systems pay off in about 12 years, but this can be shorter or longer depending on which solar incentives you take advantage of. Some solar systems may take longer to pay off, but with their average 35-year lifespan, solar panels still offer more savings than traditional power in the long run.
Why Choose Solera Energy When Going Solar?
At Solera Energy, we’re dedicated to providing our residential and commercial clients with cost-effective solutions that improve efficiency and output. Our team has industry-leading installation numbers and years of experience that fuel our commitment to quality. Trust Solera for specialized solar solutions that guide your home or business toward better savings, energy independence, and peace of mind.
Enlist the experts at Solera for superior solar panel services.
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