Many house and business owners are switching to sustainable, clean energy sources as a result of technological improvements and the urge to be green. A solar power system uses the sun’s energy to provide electricity for our dwellings. The Solar Panel Cost in Canada 2023 has significantly decreased over time, increasing their accessibility and ease of installation, making them more affordable for consumers.
Despite this, purchasing solar panels is an expensive investment that calls for a strong commitment and time before it pays off. Although solar frequently provides more value and advantages than it costs, it’s crucial to comprehend the breakdown of Solar Panel Cost in Canada 2023. The cost of a solar power system varies depending on where you reside in Canada. The advantages of adopting solar, however, remain constant, regardless of the Solar Panel Cost in Canada 2023.
Why solar energy?
If you want to stay in your house for many more years, switching to solar electricity is a long-term investment that you should think about. For your investment to pay off, you want to be present. Solar energy has a very high payback and more than covers its costs in the long run. Both individual and environmental advantages come from using solar energy.
Reduce and eliminate energy costs:
By going solar, your monthly energy bill payments will go down considerably. Even zero electricity bills are feasible with the correct system size and enough time. Solar panels have a guaranteed 25-year lifespan on average, but they can easily last 30 years or longer. Moreover, solar panels will only lose 0.5% of their efficiency annually throughout that time. Therefore, a solar system will continue to generate a consistent flow of electricity even years from now. The attractiveness of purchasing a home with solar panels is rising among potential purchasers as well, so if you do decide to sell in a few years, your solar investment will increase the value of your house.
Reduce your carbon footprint:
Solar energy is equally useful and appealing from an environmental standpoint. Solar energy naturally aids in the fight against pollution and climate change as a source of green energy. Solar energy is also a 100 percent renewable resource. Solar energy is infinite and will last as long as the sun does. Fossil fuels and other non-renewable resources will ultimately run out, and consuming them contributes to climate change.
The Canadian Energy Regulator predicts that by 2040, 3% of all the electricity produced in Canada will be powered by solar energy. In light of this, investing in solar energy today will reap rewards in the future that are already certain. It’s crucial to comprehend the cost of solar investment by breaking down the costs.
Installation and parts
The ultimate cost may also vary depending on the various components of the solar energy system. The solar panels are visible because they are what capture sunlight for conversion to power and are what are installed on your roof. The size of the panels varies between 250 and 400 Watts depending on how much energy each one generates. The amount of electricity each panel offers will determine how many are required. For instance, more electricity will result in fewer panels being required for your home.
The second component of the system, inverters, transforms “direct current” (DC) into “alternating current” (AC). As homes utilize AC, it must first be converted before being used. The energy storage component is also important for storing extra energy and reserving it for later. During overcast days, at night, or in the winter when there is less sunshine, this stored energy may be used again.
The alternative is “Net Metering,” which stores energy on the grid. The energy that is used in excess is returned to the system and credited against future electricity bills. Like a battery, you can simply utilize the credit to get the stored energy once again when you need more. Most owners of solar systems in Canada presently employ this technique.
The component that keeps each panel in place is the last component of a solar system. Solar panels on homes are often installed using roof-mounted racking. For angled or flat roofs, as well as metal or shingled roofs, several types are available. If your roof cannot handle solar panels, another alternative is ground-mounted racking. Nevertheless, this approach costs more upfront since it needs more supplies to acquire. The most popular materials are steel and aluminum. However, wood is an alternative if a homeowner builds the racking. DIY projects are normally not advised since wood won’t survive as long as the solar panel. If you decide on the ground racking, enlist the aid of a specialist.
Cost of the system
The total solar panel cost may vary depending on the number of solar panels, the kind of inverters, and the mounting system you use. The effectiveness of the system will also be impacted by other variables, such as the climate and daily quantity of sunshine. For instance, Nova Scotia and Alberta receive a lot of sunlight, which makes them perfect for solar and decreases the cost.
It takes two steps to determine the size of solar panels you need and how much it will cost to install them.
Calculating the size:
How much electricity your new solar panel system needs to produce is referred to as the system size. Depending on how much and what kind of energy your home needs year-round, this figure will change. To achieve this, add up each month and divide the amount by your province’s yearly average for sunshine hours. The figures will change depending on whether your home currently uses gas or electricity.
The following table shows the cost of solar energy in terms of Cost per Watt in different Provinces of Canada:
|PROVINCE||COST PER WATT|
|Newfoundland & Labrador||$3.53-$4.31|
|Prince Edward Island||$2.73-$3.33|
Solar Energy Incentives and Rebates
Most provinces have put incentives and rebates in place to assist cover the cost of installing solar panels. In addition to helping individuals who already use solar power to reduce costs, these subsidies encourage additional people to switch to it. Rebates help more households afford the expense of adopting solar by returning a portion of the cost. Several provinces provide additional clean energy incentives to assist you to turn your entire house into a green, energy-efficient place, in addition to solar rebates.
Following are the incentives and rebates offered by different provinces of Canada:
Canmore, Edmonton, and Medicine Hat still have incentives, but the province no longer grants anymore.
Provides a wide range of incentives, including a Renewable Energy Incentive for the installation of solar power.
In 2018, the Manitoba Hydro Solar Rebate Program came to an end. The Green Energy Equipment Tax Credit, however, provides a 10% rebate on the cost of solar panels.
The Whole Home Energy Savings Program offers incentives for solar energy ranging from $0.20 to $0.30 per watt. Depending on how many energy-saving improvements your home has, you can expect higher savings.
There are no solar incentives currently available in Newfoundland and Labrador.
Via its Alternative Energy Technologies Program, offers a 50% discount on solar power.
Solar Homes provides a refund that equals $0.60/watt and covers around 25% of the cost of the solar system.
There are no solar incentives or rebate schemes in Nunavut.
Both the provincial energy efficiency initiatives and the incentives for sustainable energy have been canceled in this province.
The Solar Electric Rebate Program on Prince Edward Island works to promote and incentivize the installation of solar panels. Residential buildings must adhere to a $1,000/kilowatt installed minimum.
Although there was a brief incentive from 2016 to 2019, there is now no solar rebate in existence.
It no longer provides incentives or rebates for solar energy. For Nov. 1, 2019, the previous SaskPower Solar Rebate was drastically reduced and subsequently revised. This no longer provides refunds, but you may still credit any unused energy at a lower rate than the initial 14 cents per kWh—7.5 cents.
For residential properties employing off-grid electricity, the Renewable Energy Systems Rebate pays up to $800/kW. Up to $5,000 per system is offered as part of the rebate each year.
The Payback Period
This time frame relates to how long it will take your solar panels to earn back their initial investment. This period in Canada ranges from 8 to 16 years and again depending on the province you are currently in. Nonetheless, you may estimate the time frame on your own to see when you begin to make money.
The system’s total cost should be determined first by summing up all of your expenses and deducting any rebates. From there, figure out how much money your system will save you annually. The final figure will indicate the length of your repayment period. You should also think about the benefits to the environment and how much better the environment will be off if you stop using fossil fuels.
The solar system takes almost 5 to 8 years to earn back the investment. After that, they work properly for 15 to 20 years. You will enjoy free-of-cost energy all these years. Investing in solar is long-term and highly returning in nature.