Powersensor Homeowners and Small Businesses

5 Steps To Solar with Powersensor

Harness the Power of Solar Energy with Powersensor

Solar energy is a clean, abundant, cost-effective power source that can revolutionise your home or small business. At Powersensor, we understand the importance of giving homeowners and small businesses the necessary data to make informed decisions about sizing their PV systems, batteries, hot water heating, and other intelligent energy products. That's why we've created this comprehensive guide specifically for Australians interested in going solar.

Our goal is to equip you with the tools and knowledge needed to take the first steps toward installing a solar energy system. Going solar is a long-term investment, so being well-informed is crucial.

The first five steps to going solar

Step 1: Install a Powersensor monitor to assess your potential system size and energy needs

To accurately determine the size of your solar energy system, a range of factors should be considered, including total energy consumption, available subsidies, roof size, and budget.

How to choose the right size solar energy system

The first step towards choosing the right size solar energy system is understanding your energy consumption. Start by looking at some of your energy bills throughout the year – as average energy usage changes during different seasons.

Electricity bills display daily consumption in a graph or a chart. If daily consumption needs to be represented clearly, you can calculate averages based on the total energy used during the month. The average everyday use for a typical home with reasonable air conditioning or heating is around 15kWh to 25kWh.

The average daily energy usage typically determines the size of the solar energy system required. For example, a home using 20-25kWh of energy daily will typically require a 5-6kW system to generate the energy needed.

After understanding your energy usage, you can decide what percentage of that consumption you wish to offset with solar energy. Most of us are at work, school, or out during the day; thus, we use most of our energy in the early morning, afternoon, and evening when our solar energy system produces less power.

Maximising the use of your solar energy and savings may require the installation of a home battery so that surplus energy can be stored during the day and used in the evening. The size of your battery should match your evening needs. Once you have a clear picture of your energy needs, check your rooftop for size and direction to see how large your PV system can be.

Step 2: Check your eligibility for government subsidies

Households and small businesses that install solar energy systems might be eligible for government incentives through interest-free loans, rebates, grants, or subsidies.

Government subsidies for solar energy systems

Are you considering installing a solar energy system on your rooftop? If you qualify for government-subsidized financial assistance, you can make your solar energy installation more cost-effective and environmentally friendly.

Here are some examples of how to cut the cost of solar:

Feed-in tariffs are government payments for excess electricity generated by PV systems and fed back into the electricity grid.
Various programs offer discounts on battery storage units and comfortable loans to pay for the installation of home battery systems.
The Solar for Low-Income program helps pensioners in the ACT invest in rooftop PV systems to help reduce their electricity costs.
Solar Credit programs, such as small-scale technology certificates (STCs), offer households and small businesses rebates for installing solar energy systems, panels, and batteries.
Households across Australia that install a PV energy system may receive a benefit under the Small-scale Renewable Energy Scheme (SRES) to help with the purchase cost.
Farmers interested in going solar can apply for the On-farm Energy Audit and Capital Grant Program, which provides grants to help farmers reduce their energy use and electricity bills.

The specific subsidy amount, level of support, and system requirements can vary depending on the government program. For more information, visit the relevant government websites for the necessary details.

Step 3: Choose the best way to finance your solar energy system

Solar energy brings many advantages, but the upfront cost can be a hurdle for some. However, there are ways to make funding a solar energy system more accessible. The following financing options aim to reduce the barrier to entry, allowing more people to enjoy the benefits of solar energy without the high upfront payment

Ways to Pay for Your Solar Energy System

A properly funded and appropriately sized solar energy system is an investment that can eventually pay for itself. Here are a few options to help you lower the initial costs of purchasing and installing your system:

Extending a Home Loan

Consider extending your existing home loan to finance the purchase and installation of a residential solar energy system. This option allows you to incorporate the solar system cost into your mortgage, potentially avoiding additional fees associated with taking out a new loan. One advantage is that home loan interest rates are often lower than personal loans. However, it's essential to be mindful of the long-term implications. Extending your mortgage term to accommodate the solar system cost could result in higher overall interest payments. For example, if the repayment plan is spread out over 25 years, you might pay nearly double the initial cost of the solar system due to the accrued interest over time. This financing solution works best for homeowners who can afford to increase their monthly mortgage payments instead of extending the loan term.

Solar Leasing

Another option to consider is solar leasing, which allows you to avoid the upfront costs of installing a solar energy system. With a solar lease, you agree to pay a fixed monthly rental or lease fee, calculated based on the estimated electricity production of the system. In exchange, you gain the right to use the solar energy system installed on your property. While the lease includes interest charges, the monthly payment is often lower than your regular energy bill. Solar leasing is suitable for installing larger solar energy systems and is commonly used in commercial photovoltaic (PV) projects.

Green Loans

Green loans are unsecured personal loans designed to finance environmentally friendly products, such as home solar energy systems installed by Clean Energy Council Accredited installers. These loans typically come with lower interest rates compared to similar unsecured loans. Financial institutions consider solar energy system financing credible, contributing to reasonable interest rates. Green loans are available to individuals with good credit scores and can finance solar energy systems of various sizes.

Power Purchase Arrangements (PPAs) -

Power Purchase Arrangements offer an alternative way to finance your solar energy system. With a PPA, you agree to purchase the power generated by the solar energy system installed on your rooftop at a predetermined per-kilowatt-hour (kWh) price. Over time, the cost of the system is covered by the monthly payments for the power the system generates. While the tariffs under a PPA are generally lower than standard electricity bills, it's important to note that PPAs often require a minimum monthly purchase commitment. This financing option is commonly used by businesses with high energy consumption, such as factories, but can also be considered by homeowners running home-based businesses that consume significant electricity.

Step 4: Select a Certified PV Installer

Finding the correct installer for your solar energy system ensures a smooth transition to solar power. Certified electricians specialising in solar energy will be your trusted guides.

Here's what you need to consider when choosing the right solar energy system installer:

1. Accreditation

Look for installers who have received accreditation from the Clean Energy Council (CEC). This certification ensures the installer meets industry standards and possesses the necessary expertise.

2. Research and References

Take the time to read about potential installers and gather references. Seek out referrals and recommendations from people you trust. If someone you know has had a positive experience with a particular installer, it's a good sign of their quality and professionalism.

3. Reliability and Experience

Choose an installer who is reliable, experienced, and has a proven track record of successful installations. A professional installer will have the knowledge and skills to design and install a solar energy system that meets your needs.

Remember, installing a solar energy system is a long-term investment, so selecting an installer who uses high-quality components and pays attention to detail during installation is essential. By choosing a Clean Energy Council-certified installer with a solid reputation and recommendations, you can have confidence in their ability to deliver a reliable and efficient solar energy system for your home or business.

Step 5: Choose your energy-saving products.

Save money on your energy bills by installing intelligent energy products. For reliable advice on solar, battery, or EV charger installations, we recommend using Solar Quotes. It's a trusted third-party website offers high-quality guidance for finding the right solutions for your energy needs.

Check out these handy links to help you make an informed decision:

SOLAR BATTERIES 101, PART 1: UNDERSTANDING BATTERIES