Does Solar Make Economic Sense? NYT Says No, San Francisco Chronicle Says Yes
If the NYT is right, then solar panels are a bad investment. The biggest differences in the two articles: The Chronicle puts the cost of a residential solar power system at $29,000 (before rebates and tax credits) while the NYT puts the initial cost at $54,000. That’s a $25,000 difference, nearly double the cost. New Jersey’s rebate amount, used in the NYT story, is more than double the California rebate amount used in the Chronicle story.
I don’t wan to steal all of Ecotality’s thunder so if you really want to dig into the numbers click over and have a look. I will say that the bottom line on the cost of solar and whether it is right for you is an unequivocal….. it depends. The same conclusion that Ecotality reached. Ecotality did introduce one of two things that the original NYT and Chronicle articles left out. They suggest that excess electricity, electricity generated by the homeowner and sold back to utility companies be factored in. That would only be fair since those homes would be recopping part of the cost by being a power provider to others. The other factor not mentioned by any party is the future value of the solar system installed. This could be divided into two parts: the added value to future buyers of the home ( all things being equal if I was in the market for a home and had several to choose from I would lean toward one with the solar already installed) and the second part is the future savings in comparison to power off the traditional grid should energy prices for fossil fuels continue to climb.
