Adding solar panels and switching rate plans can lower your New Hampshire Electric Cooperative electric bill
Updated: October 22, 2020Installing solar panels can help reduce your NHEC 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 New Hampshire Electric Cooperative customers?
Probably. With the state’s $1,000 solar rebate program and local options for property tax abatements, home solar panels can make a lot of sense for New Hampshire Electric Cooperative customers. Unfortunately, NHEC imposes a member surcharge for anyone who wants to go solar every month. That amount can make your long term solar investment picture look not as bright. NHEC’s solar rate plan also allows 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 accruing at a much lower rate than you pay for electricity, roll over to the next month’s bill.
Does New Hampshire Electric Cooperative offer net metering credits for exported solar power?
No, New Hampshire 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 New Hampshire Electric Cooperative, this feed-in rate is $0.01 per kWh.
The rate NHEC pays for your excess power is about 25% of retail rates.
What incentives, tax credits, and rebates are available to NHEC 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 NHEC customer:
Table 1: Incentives
| Upfront Incentives | Value* |
|---|---|
| Residential Clean Energy Tax Credit (Federal) | -$8,482 |
|
Local Option - Property Tax Exemption for Renewable Energy
(State)
Cities have the option to exempt the cost of a solar system from property taxes. Not statewide. |
Varies |
|
Net Metering
(State)
Utilities, except municipal, must offer net metering. Can offer full kWh credits on the bill or send customer check for avoided cost rate of excess kWh. |
Varies |
| TOTAL | -$8,482 |
*Based on 9.54 kW system, average installation cost $28,273
How much does installing solar panels save the average New Hampshire Electric Cooperative residential customer?
If you input the details for a NHEC customer with a power bill of $170 per month into the best online solar panels calculator, it tells you that you need a 9.54 kW solar system that will produce 11,332 kWh per year and that this system will return the owner a $48,887 profit after repaying the cost of the system.
The solar savings possible for you as a NHEC 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 NHEC customer with a $170 per month electric bill prior to solar and who installs a 9.54 kW solar system.
How much do residential solar panels cost for NHEC customers?
Showing data for:
Prices based on a 8.3kW system, after 30% federal tax credit
Solar prices near you
Net profit (savings less system cost)
$37,451-$45,774
Payback period
7.2-8.8 years
Recommended size for the selected utility bill
8.3kW
Solar panel cost calculator
Detailed information about your estimate
Table 2: Estimate details
|
System Size (for 100% usage offset) 9.54 kW |
|
Annual Power Generation 11,332 kWh |
|
Pay-back time (assuming Cash purchase) 8.9 Years |
|
Internal Rate of Return (IRR) on Investment 7.3% |
|
Gross cost $28,273 |
|
Total Upfront Incentives and Rebates -$9,852 |
|
Net Cost of System after rebates and incentives $18,424 |
|
Total Cost of Utility Power Avoided over 25 years $67,310 |
Please note that the investment return figures do not include the possible increase in property value.
What are the environmental impacts of New Hampshire 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 New Hampshire Electric Cooperative customer installing a 9.54 kW solar system on their property:
A solar system generating 11,332 kWh per year will save you money AND make the world a nicer place
Saves you
$1,955
on average per year
Reduces CO2 emissions
5.61
tons per year
Equivalent to planting
39 trees
per year
Equivalent to driving
12,409 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 New Hampshire 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 $2.96 per watt or $18,424 for a standard 9.54 kW solar system after the customer claims the 30% federal solar tax credit.