Grid-Tie Solar Power Mount
Glover, Vermont

“Thanks so much for helping to make our dream come true. We are so glad you are the ones who put the solar system in for us. You are both very nice people that share our same values. Also, we are confident it was done right.” ~ Mark and Susan Guilmette, Grid-tie system, Glover, Vermont

Renewable energy is good for our community, environment and nation.

Grid-Tie Solar Power for Vermont

Grid-tie is considered the most efficient form of solar power. All of the electricity generated by a grid-tie system is utilized—after household energy demands are met, any excess power is fed into the grid. This is known as Net Metering: the electric meter slows down or spins backward in proportion to the amounts of energy produced and consumed. Both the household and the community benefit from the clean energy produced from the sun!

Benefits of Grid-tie Solar Power
1. Decrease or eliminate your electric bill.
2. Reduce your carbon footprint and lessen our nation’s dependence on foreign oil.
3. State and federal incentive programs reduce the cost of solar installation
by 40-50%.
4. Once investment returns are realized, the electricity you need is free!

 

Grid-Tie Solar with Battery Back-up

 

 

This system is a hybrid design, combining the best of grid-tie and off-grid systems. There is the benefit of net metering from the grid-tie connection, and with the inclusion of a battery bank, power is stored to use when the utility lines are down.

Benefits of Grid-tie/Battery Back-up Solar Power
1. Emergency back-up electricity (no blackouts!), ensuring critical circuits remain powered.
2. Electric bill reduced or eliminated.
3. Incentive programs offset installation costs 30-40%.
4. The energy your system generates is free once investment returns are realized.

 

Grid Tie Systems, Net Metering, and Incentives

 

 

Grid interconnected solar generation systems are widely considered to be the most efficient form of small-scale, photovoltaic power. The following information explains grid-tie systems, net metering, and available incentives. 

Grid-tie System Architecture
Grid-tie systems are designed to offset a portion of the average annual energy consumed at a home or business.  In other words, investment in a solar system is proportional to the amount of energy one wishes to produce to offset utility costs. 

Systems will range in cost.  The final price is based on the size of the system and how the solar array is mounted.  An array can be mounted on either the roof, the ground, or on a pole. 

Generally speaking, 1000 watts of solar panel capacity will produce around 1050 kilowatt hours of power per year.   A 3000 watt system will produce around 3150 kilowatt hours per year.  If 6300 kilowatt hours per year are consumed, this system would offset 50% of the power consumed. A solar electric system half that size would cost roughly half as much, and it would produce half the power.  One’s investment is proportional to power generation with a slight decrease in price per watt as the system size increases. Prices and the amount of energy produced vary based on site-specific requirements.

Key requirements for a good solar site include maximum sun and limited shade for most of the day.  An array southerly oriented is preferred, but avoiding shading on the panels is of greater importance than an array facing perfectly south.   

The grid-tie system has few components.  It is made up of solar modules, a mounting system, disconnect switches, metering, wiring, and an inverter.  Solar modules produce direct current (DC) power.  A home operates on alternating current (AC) power.  The conversion is completed by the inverter.  Power is controlled and back-fed by the inverter into a standard household service panel. The inverter typically carries a 10-year warranty.  The solar modules are built to produce at least 80% of their rated power in 25 years.  Solar electricity components produced today are efficient, durable, and reliable.

All work completed meets or exceeds National Electric Code and State of Vermont requirements.

Incentives
Incentives to purchase and design grid-tied systems are available from the state and federal government. Solartech is considered a “Solar Partner” with Renewable Energy Vermont. Therefore, our customers are qualified to receive state rebates upon completion of installation at a current rate of $.75 per DC watt installed. The amount of this incentive is based on the size of the solar array. The maximum allowed incentive for the latest round of funding is for a 10KW system which will result in a maximum incentive of $7,500.

The second incentive available to clients is a 30% federal income tax credit. Note that this is a credit toward taxes owed and not an income deduction. This tax credit can be rolled over for use in future tax years. Additional details are available from the IRS, from tax preparation services, or refer to IRS Form 5695.
Lastly, there is no state sales tax on renewable energy investments. For further information on incentives visit www.dsireusa.org.

Incentives Example:
A 2 KW (2000 watts) system is installed for an estimated cost of $13,500. Actual price varies by job site. Upon completion of the installation and of required documentation, the State of Vermont will rebate to the customer $1,500 (2000 watts x $.75). This brings the installed cost of the system down to $12,000. The customer is also able to deduct from their federal tax liability 30% of the installed cost of the system. In this case $4,050 ($13,500 x 30%), this brings the installed cost of this system down to $7,950. The amount of the state incentive will be treated as income by state and federal tax agencies. The end result is that the estimated final cost of this system is ~ $8,100.

GRID-TIE ROOF MOUNT SYSTEM EXAMPLES:

Average Power Consumed Per Year	~6600 KWHR
System Size/Type	1840 Watt Roof Mount	2820 Watt Pole Mount	5170 Watt Roof Mount
Estimated Power Production Per Year	2208	3384	6204
% of Power Consumed Offset	33%	51%	94%
Estimated System Cost	$ 12,420.00	$ 18,330.00	$ 32,312.50
Estimated State Incentive	$ (1,380.00)	$  (2,115.00)	$ (3,877.50)
Estimated Federal Tax Credit	$ (3,726.00)	$  (5,499.00)	$ (9,693.75)
Estimated Total Out of Pocket Expense	$   7,314.00	$  10,716.00	$ 18,741.25

 

Net Metering
The lasting financial benefit available once purchase and installation incentives are realized is net metering. The power generated by a grid-tie system is utilized by the home or business, but any excess power is fed back into the utility grid. This results in the electric meter either slowing down or spinning backward in proportion to the amount of energy generated and consumed. The utility customer then receives a credit at the retail electric rate for the amount of power produced and fed back into the grid. Solar electric systems are designed to offset a percentage of one’s annual electricity consumption. Net Metering essentially means that you are able to sell power to the utility at the same rate that you purchase power from the utility.