When I ask people why they’re not adding photovoltaic panels to their home, or changing to electric cars, the biggest reason I hear from people is …
“I can’t afford that kind of money.”
I don’t understand that; I have 5kWh of photovoltaic panels and an electric car, and no utility bill – unless my spouse uses her pottery kiln three times in the month. Even then, our bill is around $30. So, for his week’s blog I thought I’d lay out a process for determining what the real cost is for going solar. I’ll use numbers I got from Google. You can repeat the process using numbers that are more specific to your location and situation. To begin …
When I created the Garden Atrium homes – which are 3 BR, 2 bath, one story, 2352 sf, like a typical “rancher” home in size, but designed differently – we found a 3kWh photovoltaic array satisfied 100% of the family’s power. (A family with two teenage kids, or with a woodworking hobby with power tools, might need more power. A family of empty nesters, might need less.)
I recently asked our photovoltaic provider for an installed cost estimate; it was $5,000 per kWh. So, for our normal size homes, a 3kW PV array would run $15,000. When I built the last Garden Atrium, which is the same size as the rest – plus my wife’s pottery studio, with kiln – I got a 5kWh array. So …
If you live in an average sized home, what‘s your cost to go solar?
Google reports the average size home is 2013 sf, though “normal” is 2500 sf. Either is close to a Garden Atrium homes’ size, so I’ll use our numbers as a “reality base,” and assume you have south-facing sun. So …
5kWh PV array = $25,000
Subtracting the 30% federal solar tax credit …
$25,000 – $7,500 = $17,500.
Adding a new electric car, you can now buy a variety of e-cars, with body styles and recharge distances you prefer, for $30,000. The 30% federal solar tax credit has a maximum allowed of $7,500. Adding these costs …
$30,000 – $7,500 = $22,500 for a new e-car, +
$17,500 for the 5kWh PV array = $40,000. However …
Most of us don’t just write a check for $40,000. We also don’t write a check for the cost of the home we want to buy. We get a mortgage. So …
How much does $40,000 add to a mortgage?
Using today’s higher interest rates, $40,000 at 6.0% = $240/month for a new car, and all the power you need to operate your car and your home. You might already see that as saving money. But there’s more …
From Google, the average cost of gas is $3.93/gallon.
(This will vary with where you are and the grade of gas you buy.)
From Google, the average annual number of miles we drive is 13,476.
From Google, the average miles per gallon is 25.4.
(This varies all over with the vehicle you’re driving.)
13,476 miles/25.4 mpg = 531 gallons x $3.93 = $2,085/yr, or $174/mo.
Next, if we subtract the gasoline savings from the monthly mortgage …
$240 – $174 = $66.
So … using average numbers from Google, the cost for a new electric car and all the power you need for your car and your home is only $66 a month.
Variables …
If you’re selling or trading in your gas car, your monthly costs are even less.
If your car uses a higher gas grade or has lower mpg, costs are less again.
Annual maintenance on my e-car, checking the battery, tires & brakes, has been around $225. My gas car’s annual, runs over $700. It’s another $40/month savings.
If your state requires the electric utility to generate a percent of its power with renewable resources, you can get “srec” (solar renewable energy credits) money from the utility company via a trader, such as Sol Systems, in D.C.
Highway maintenance is partly paid by a gas tax. To compensate for lost revenue, some states add a fee to e-car license plates. In VA, we pay $120.
Current averages:
From Google, the average U.S. power bill is $2,276/year, or $189/month.
From Quora, the average spent on gasoline is $2150/year, or $179/month.
In summary …
While your situation may vary from the national average, dropping from $189+$179 = $368/month to $66/month is a huge saving!
This game plan is more than just “affordable.” In addition …
You’ve seen forecasts for global warming. And reality has been happening slightly stronger and slightly sooner than predicted. 2023 was the warmest year on record. In an election year, new office holders – some still somehow denying that climate change is real – may also decide to eliminate the 30% solar tax credit. Is that a serious enough concern, or …
- Will you wait until flood waters are lapping at your door?
- Or until forest fires get closer to your home?
Multi-billionaires have been acquiring huge yachts; they can move to wherever a major storm is not happening. And they have the wherewithal to pay whatever’s needed for remaining food supplies. Understandably, they take care of themselves first. We all take care of our family first. However …
I don’t have their luxury. You probably don’t either. The question then is …
How close do you need to get to the edge
of disaster before you’re willing to act?
Take a moment to reflect and ask yourself what you actually might be able to do. We all have busy lives, with demands on our time, things we most enjoy doing, and financial limits. But every even small, insignificant thing you can do, will add to what others can do.
Collectively, we can create consumer pressure that politicians have proven they can’t, and make the difference between “Earth as a dump” or as a place for a joyful life!
In terms of “going solar” …
Instead of using the numbers I got from Google, or the numbers I actually have from my Garden Atrium home, substitute your own numbers. But … if someone tells you they can’t afford to add PV panels to their roof, or buy an e-car, they’re wrong … dead wrong!
I don’t sell e-cars. I don’t sell PV panels. But I do care about the health of Earth and about my own quality-of-life experience. As these numbers show, going solar is unquestionably better for Earth and … a lot less expensive.
Everyone in our Garden Atrium community is already enjoying these benefits. And people like yourself who read these blogs tend to be somewhat adventurous and at least open to proven new ideas. So, what’s holding you back now?
