US Inflation is Soaring: Long Island Solar Panels Can Help You Save
Inflation increased significantly in March, with consumer prices rising at an annual rate of 3.3%, compared to 2.4% in February. Overall energy prices were up around 10%, according to the latest data published by DPA and Yahoo Finance.
Inflation is hard for families because when the price of everything is rising, it’s impossible to find areas to cut costs.
For homeowners on Long Island, there is actually relief available. Investing in solar panels today can reduce your monthly spending while giving your family long-term protection from inflation.
Set Your Energy Rates for the Next 25 Years with a Solar Installation
When you install residential solar on Long Island, you effectively lock in your energy rates for the next 25 years.
Solar is an inflation hedge because it shifts you from being a majority consumer of electricity to owning your production. When you buy your energy from a utility like PSEG Long Island, you are subject to market volatility. Everything from fuel delivery surcharges to rising labor costs can affect the cost of electricity from the grid. As operational costs rise with inflation, they are passed directly to households through utility rate hikes.
Installing solar panels now means you pre-pay for 25+ years of electricity (based on the average lifespan of solar panels) at today’s equipment and labor prices. The price of a kilowatt-hour from the grid might double or even triple over the next two decades, but the electricity you generate will remain free.
This creates a more predictable financial situation for your family, shielding your income from energy market shocks. This is what we call energy independence, and it’s the reason that tens of thousands of households on Long Island have already switched to residential solar.
Immediate Financial Benefits When You Switch to Solar
Even if we ignore the potential long-term savings of generating your own electricity during the day, there are immediate financial advantages for your solar installation.
- New York State offers a 25% Personal Tax Credit. It’s based on the total cost of your system (panels, battery, labor, and equipment) and is limited to $5,000. It can carry forward for up to five tax years.
- Net Metering Savings: Long Island’s net metering system allows you to send excess solar energy back to the grid during the day. You will earn credits that offset the power you pull from the grid at night.
- Property Tax Exemption: Solar can increase the value of your home, but in New York, it won’t add to your property taxes. Solar equipment is 100% exempt from property tax increases for the first 15 years.
- Solar’s Value Can Appreciate: Historically, energy rates in New York have always trended upwards. As the cost of electricity increases, the actual value of the electricity you generate will also increase.
You Can Get a Free Home Solar Estimate to Learn More
Solar is suitable for most homes, but you should always review the financials with as much data as possible. Power Solutions is one of the best-rated solar contractors on Long Island. Our detailed consultations are designed to empower homeowners. A cost/benefit analysis will outline potential savings relative to the cost of your solar panels. We provide the information. You make the choice.
Request a free ballpark solar estimate online, or call us at (631) 348-0001 to start the consultation process today.
