Adding solar panels and switching rate plans can lower your Horry Electric Cooperative electric bill
Updated: October 22, 2020Installing solar panels can help reduce your HEC bill, thanks to Florida’s sunshine and the company’s net metering program! Combined with the 30% solar tax credit, KUA customers can see great savings when they switch to solar!
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Solar panel cost calculator
Are solar panels worth it for Horry Electric Cooperative customers?
Perhaps. With a strong South Carolina tax credit of 25% of your solar purchase and installation costs, solar panels for your home can make a lot of sense for Horry Electric Cooperative customers. However, Horry has instituted a $56 monthly solar charge, which makes the finances of going solar more challenging. Horry does allow you to at least get some credit on your power bill for the excess solar electricity your panels produce which you can’t use onsite. Your credits, while accrued at a lower rate than you pay for electricity, roll over to the next month’s bill.
Does Horry Electric Cooperative offer net metering credits for exported solar power?
No, Horry Electric Cooperative does not offer full 1 for 1 net metering. This means that when you export surplus power from your solar panels, you will be paid less by the utility than what you are charged to buy the equivalent amount of power from the grid.
The amount you are paid by the utility is known as a feed-in tariff. In the case of Horry Electric Cooperative, this feed-in rate is $0.04 per kWh.
What incentives, tax credits, and rebates are available to HEC customers for installing solar?
The biggest financial incentive for solar homeowners is the 30% federal solar tax credit. The tax credit equals 30% of the solar installation costs and directly reduces your federal income tax liability.
Some states and local governments offer additional solar incentives. These incentives include state tax credits, rebates, or performance-based incentives like Solar Renewable Energy Credits (SRECs). The best part is that these local incentives can be used in addition to the federal tax credit!
Here is every incentive you may be eligible for as a HEC customer:
Table 1: Incentives
| Upfront Incentives | Value* |
|---|---|
| Residential Clean Energy Tax Credit (Federal) | -$5,283 |
|
Solar Energy State Tax Credit
(State)
25% of costs up to $3,500 or half of state tax liability, per year. Unused credits carry forward for a maximum of 10 years; thus the $35,000 cap. |
-$5,870 |
|
Net Metering
(State)
Investor-owned utilities are required to offer full retail rate for excess kWh produced. New net metering rules for Duke customers require that participants accept service on a time-of-use rate plan and are assessed a minimum monthly bill. Customers who applied for net metering before June 1, 2021 will receive net metering under the old rules until May 2029. |
Varies |
| TOTAL | -$11,154 |
*Based on 10.01 kW system, average installation cost $23,482
How much does installing solar panels save the average Horry Electric Cooperative residential customer?
If you input the details for a HEC customer with a power bill of $170 per month into the best online solar panels calculator, it tells you that you need a 10.01 kW solar system that will produce 14,847 kWh per year and that this system will return the owner a $43,045 profit after repaying the cost of the system.
The solar savings possible for you as a HEC customer will depend on the amount of electricity you use and the cost of the solar system you buy. Savings also vary based on the direction of your roof or any shading of your roof that affects output.
Here is a monthly and lifetime solar savings estimate for the same relatively typical HEC customer with a $170 per month electric bill prior to solar and who installs a 10.01 kW solar system.
How much do residential solar panels cost for HEC customers?
Showing data for:
Prices based on a 10.4kW system, after 30% federal tax credit
Solar prices near you
Net profit (savings less system cost)
$45,095-$55,116
Payback period
7.1-8.7 years
Recommended size for the selected utility bill
10.4kW
Solar panel cost calculator
Detailed information about your estimate
Table 2: Estimate details
|
System Size (for 100% usage offset) 10.01 kW |
|
Annual Power Generation 14,847 kWh |
|
Pay-back time (assuming Cash purchase) 7.7 Years |
|
Internal Rate of Return (IRR) on Investment 9.6% |
|
Gross cost $23,482 |
|
Total Upfront Incentives and Rebates -$9,606 |
|
Net Cost of System after rebates and incentives $13,880 |
|
Total Cost of Utility Power Avoided over 25 years $56,925 |
Please note that the investment return figures do not include the possible increase in property value.
What are the environmental impacts of Horry Electric Cooperative customers installing solar panels?
While most homeowners decide to install solar panels because of financial savings over time, the environmental impacts of this choice are the primary motive for others. Here is a breakdown of the environmental benefits from a Horry Electric Cooperative customer installing a 10.01 kW solar system on their property:
A solar system generating 14,847 kWh per year will save you money AND make the world a nicer place
Saves you
$1,722
on average per year
Reduces CO2 emissions
7.35
tons per year
Equivalent to planting
51 trees
per year
Equivalent to driving
16,258 mi
less per year
CO2 emissions calculation based on the electricity generation and emissions data for your state in 2015 as published by the US Government Energy Information Administration.
What factors affect the price of solar panels for Horry Electric Cooperative customers?
The cost of installing solar panels will vary with brands of solar panels and inverters you choose and also the installation company you choose to install them.
It is common to see really good systems, using quality brands of equipment, being sold for around $2.35 per watt or $13,880 for a standard 10.01 kW solar system after the customer claims the 30% federal solar tax credit.