Here’s 4 Advantages for California Homeowners When Buying a Solar Power System in 2023

With the end of 2022 coming up and the start of 2023, you have four reasons to buy a solar power system for your house.

Solar power is going to be important in the next few years, as issues with the power grid and more electric cars become more prominent. Having a source of power for your home or business that is always available could be the biggest difference in how things work in your life.

In addition, tax rate changes and solar panel availability could mean that 2023 is the best time in the next few years to invest in a solar power system.

1. Federal Tax Credits End In 2024

The Federal Solar Investment Tax Credit (ITC) was originally going to end in 2020, but has been extended to end in 2024. The tax credit in 2023 will be 23% off most solar power system installations. But, after December 31, 2023, the ITC will not be renewed and there will no longer be any tax credits.

It doesn’t appear that any new credits or an extension of the current credits will happen past 2023. This means that if you want this tax credit for your new solar installation, now is the time to get it.

2. Cost Per Panel Going Down

One of the materials used to make solar panels is polysilicon. It is estimated that the cost of polysilicon will go down from suppliers and COVID-era issues with shipping are being resolved.

This could mean that the cost of solar panels may drop in 2023.

A lower overall price for solar panels in 2023 could mean cost savings during installation. Combined with an end to federal tax credits in 2024, the overall cost of Solar panels could drop because manufacturers are trying to sell off any extra inventory before the end of 2023.

3. Issues With Local Power Grids

Having a solar power system that can supply your home or business is becoming more critical. More power flex alerts have been called in 2022 than in the last five years and issues with improving local power infrastructure are increasing.

This could mean more brown-outs, black-outs, and power cuts due to capacity issues. With these issues, a solar power system with a battery backup can mean the difference between having power or not having it when you need it the most.

4. More Electric Cars On The Road

With the new mandate of an end to gas-powered car sales in California by 2035, electric car sales will be going up in 2023. To recharge all of these cars, power grid and generator usage will increase significantly. This could mean additional flex alerts, higher power prices during flex alerts, and increasing strain on a power grid that already has issues. Having a solar power system means that when demand is high, you have protection against energy cost increases.

Conclusion

The future is always a little bit uncertain. But, there are a number of changes on the horizon that you should be aware of. These changes mean that in 2023, there might be a great opportunity to install or upgrade your solar power system.

Westcoast Solar is here to help with your solar power needs. From roof-mounted solar systems to ground-mounted solar systems, Westcoast Solar offers you a wide range of options. We can even upgrade or repair your solar system, regardless of the manufacturer or previous installation company.