Understanding solar benefits

What are the environmental benefits of residential solar? 

Solar power is a great way to shrink your home’s carbon footprint. You use the sun’s energy to produce electricity instead of fossil fuels, which harm the environment. An average home installation keeps about 3 tons of carbon out of the air each year. That’s equal to planting 100 trees!  

Solar panels are constructed mostly of glass and metal, so about 80% of the material is recyclable. (Contact Metro for recycling locations: 503.234.3000.) Bear in mind that some components are made of toxic materials that are mined in countries with poor labor standards. But, overall, the advantages make solar a much better option than fossil fuels.  

How much money can I save? 

Your savings will depend on how much electricity you use and how much electricity your system makes. The average home installation in our area saves hundreds of dollars on energy costs annually.  

How does a solar electrical system impact the value of my home?  

In Oregon, there’s a law that makes solar exempt from impacting the assessed value of a home (this is used for tax purposes). But a solar system—which cost only about half of what it did a decade ago—is still a solid investment. Homes with solar generally sell faster and for more money than homes without.¹

Can solar power my home during an outage?  

If you pair solar with battery storage, you will have backup power for use during an outage. It won’t power an entire house, but you can power certain things like your lights, refrigerator or critical medical equipment. You choose which rooms and appliances you want to back up. The solar panels recharge the battery daily so it can provide backup power even during extended outages.  

How does weather impact electricity production? 

While solar panels can generate electricity best on sunny days, they still work on cloudy days. They work on hot or cold days. The only time they do not work is when they are covered in snow, which shades them. This is because they need to be in direct sunlight to generate power. 

¹www.energy.gov/eere/solar/articles/solar-homes-sell-premium-0

Solar system basics

What are the main parts of a residential solar electric system?  

There are two main components of solar—or photovoltaic (PV)—systems: the panel and the inverter. The panels are the part that you see on the roof. The panels are wired together to make a solar array on your roof, or sometimes they can be mounted on the ground. The inverter connects the solar array to your home electrical panel and the utility grid.   

Does the solar energy power my home directly?  

Yes. Your solar system powers electrical loads in your home first, and if there is excess energy it is fed back into the utility grid. If there are times when your solar is not supplying enough energy to cover your loads, you will receive electricity from the grid. Your utility will install a special bi-directional meter that measures the flow of electricity into and out of your home. You will be charged for the electricity you receive from the grid and credited for electricity you supply to the grid.  

What is the lifespan of a solar system? 

Solar panels carry 20- to 30-year performance warranties. That means they will continue to produce at least 80% of their original power output through the end of the warranty period. Some of the first solar panels made in the 1950s are still producing electricity today. Inverters carry a 10- to 15-year warranty but can last as long as 20 years. 

How much roof space do I need for a solar electric system? 

A typical 5-kilowatt residential solar electric system will have 16 to 20 panels and require about 400 square feet of roof space. 

Where can I learn to install solar? 

If you are not a licensed electrician or plumber and want to become a professional solar installer, you must complete a licensing program. For a summary of licensing and apprenticeship programs in Oregon, visit the Oregon Solar Energy Industries Association website. 

If you are already a licensed professional, you can gain solar experience through an installation training course at an IBEW training center, Oregon community college or the Oregon Solar Energy Industries Association website. 

If you are not a professional and would just like to learn how to install solar, consider enrolling in a class through Solar Energy International. They offer classes in several western states, including Washington. 

Do I need batteries with my solar system? 

You don’t need to install batteries unless you want to have backup power during a utility power outage. Solar electric systems have no way to store power without battery backup and for safety reasons cannot produce power during an outage. 

Will my solar electric system work if there’s a power outage? 

For safety reasons, your solar electric system will stop generating electricity during a utility power outage unless you have battery storage. Solar + storage provides backup during power outages so you can keep your lights on, your phone charged or medical equipment operating.   

Do I need to install a new roof before installing solar? 

Your roof must have at least 10 years of remaining life in order to qualify for an Energy Trust solar incentive. This requirement protects you from having to remove solar panels for roof replacement just a few years after you install them. Most solar contractors can estimate the age and life expectancy of your roof. If needed, they may consult with a roofer or home inspector. 

Can I heat my house with solar? 

A solar electric system won’t heat your home directly. But if your home heating system is powered by electricity—such as baseboard heating or a heat pump—a solar installation will help offset the energy you use for heat.  

Energy upgrades first

When should I make energy-efficiency upgrades? 

Improving the energy efficiency of your home is always a good idea, but it is especially important before going solar. Why? Because energy upgrades have lower upfront costs, pay off sooner in energy savings, and they reduce the solar system size you will need. Plus, if you make big improvements after a solar installation, your system may provide more electricity than you need. To get started on energy-saving upgrades, check out Energy Trust’s DIY tips and cash incentives.  

How do I know how much electricity I am using?  

Look at your electricity bill to see how much electricity you are using. It will include:  

• How much energy you used in kilowatt-hours (kWh) 
• A basic charge for providing energy to your house 
• An energy charge for the energy you use  
• A delivery cost for transporting that energy, like transmission and distribution charges 
• Additional charges such as taxes, fees and regulatory charges 

If you have more questions about your energy bill, check the link for your utility: 

• Pacific Power: Utilities 101: Understanding Your Pacific Power Bill 
• Portland General Electric: Understanding my Bill 

Deciding if solar will work for you

How do I know if I can get rooftop solar?  

To be able to get solar, you must own a single-family detached, duplex, or triplex and have the rights to your roof. This means that you are responsible for it and can make improvements to it. If you live in a condominium or a manufactured home in a manufactured home community, you may not be able to get rooftop solar. If you live in a manufactured home that is on land that you own, you can get ground-mounted solar. Homeowner associations cannot prevent you from having solar, but you may have to follow aesthetic standards. Your roof must also get enough sun. The only way to know for sure is to have a solar contractor review your home, but you can do a quick check through this solar calculator. 

If I can’t install solar on my home right now, is there some other way to get solar benefits?  

You can subscribe to a community solar project through the Oregon Community Solar Program. Every month you will receive credits on your electric bill for the portion of your subscription.  

I don’t own my home. Are there any resources to help me buy a home? 

If you would like to own a home, sign up for the African American Alliance of Homeownership’s Pre-Purchase Counseling program. You do not need to be African American to sign up.  

Can my homeowner association (HOA) keep me from getting solar? 

HOAs can’t keep you from getting solar, but they can require your system to meet the aesthetic requirements. 

Cost and incentives

What are the out-of-pocket costs? 

Project costs depend on a lot of factors, like the quality and price of equipment, length of warranties, what the warranties cover, necessary structural or electrical upgrades, or even the length of the wires that run from the solar panel. The average size of systems that received incentives from Energy Trust of Oregon in 2022 was nearly 9 kW², which cost about $26,000.³ There are incentives that reduce that cost: But you don’t have to get a system that large. You can get one that matches your budget. 

Are there ways to make solar less expensive?  

There are many ways to make a system more affordable. Before going solar, make home energy-efficiency upgrades to lower the amount of electricity you need—then you can install a smaller system and save money. Also, instead of installing a system large enough to meet all of your energy needs, you can reduce the size to meet your budget. In addition, there are many resources that you may qualify for, including: 

• Energy Trust of Oregon cash incentives for solar and Solar Within Reach increased incentives for income-qualified homes.  
• Oregon Solar + Storage rebates with increased rebates for low- and moderate-income homes. 
• Power to the People PDX’s match savings account 
• Federal 30% solar tax credit (you must owe taxes to claim the credit) 

How much is the federal tax credit? 

There is a 30% federal tax credit for homeowners who install solar energy systems (leased systems are not eligible). If you receive an Energy Trust incentive for your solar system, your eligibility for federal tax credits is not affected, but it may impact how your credit is qualified. Consult a tax professional for guidance on applying for this tax credit.  

Is the federal solar tax credit refundable or nonrefundable? 

The federal solar tax credit is nonrefundable. That means if the amount you owe on your federal taxes doesn’t meet or exceed the solar installation cost, you cannot claim a refund 

Does the solar contractor usually help with incentives, or do I have to figure that out myself? 

The solar contractor will get the Energy Trust incentive for you and knows how to help you get the Oregon Solar + Storage rebate. If you need any help with the tax credit, speak with a tax professional when you file your taxes. 

What financing options are available?  

Some solar contractors offer financing. Banks and credit unions also offer loans. Some community programs like Power to the People PDX can help you figure out how to pay for solar.  

How do I calculate my payback period? 

Your installer will create an estimate of how many kilowatts of electricity your system will produce on average per year. From this average kW figure, you can determine your average cost savings per month by dividing by 12. Then, you divide the total system cost by the average cost savings per month.

²Energy Trust of Oregon Solar Incentive Status Report – August 19, 2022
³Solar Panels in Portland, OR: 2022 Cost and Companies | EnergySage

Choose a contractor

How do I find solar contractors? 

Energy Trust maintains a list of licensed and insured solar trade ally contractors. You can request a free custom analysis and bid through the Energy Trust website and you will be matched with qualified contractors in your area based on your interests.   

What questions should I ask solar contractors? 

• How much experience does your company have with solar installations in the Portland area? 
• Will your company perform the installation? 
• What certifications does your company hold? 
• What products does your company offer? 
• Does your company provide financing? 
• What kind of warranties do you offer? 
• How long will the project take? 

How do I compare bids? 

Bids should have two sections: system design and financial proposal. The system design should have the array (solar panel set) size in watts (W) or kilowatts (kW) and how much electricity it should produce in a year in kilowatt hours (kWh). You may also have roof repair, structural upgrades or an electrical service panel upgrade as well. If one doesn’t cover that, ask them who you could call to make them.  

The financial proposal should have the full cost of the project outlined, including equipment, hardware, labor, incentive or utility paperwork, permitting and warranty. It should also have a payment schedule that tells you the payment amounts and when you must pay them. If your project has any repairs or upgrades, compare their costs as well. The bids might have very different costs because the system sizes or equipment is different. It is important to look at dollars per watt, to compare the sizes. It is also good to look at the incentives and tax benefits. 

For more information, see tips from Energy Trust on comparing bids and choosing a contractor. 

What home improvements might I need to do before the solar can be installed and how much would they cost?  

Homes built before 1990 may require additional structural engineering to the roof to support the weight of solar panels. Additionally, if your roof is older than 10 years old, roof replacement may be recommended to support the full lifespan of the solar panels. The national average cost for roof repair is $1,000, but the costs vary from $300 to $15,000.    

Solar systems need 200-amp service, so if yours is 100 amp, it will need to be upgraded. The average costs vary from $1,300 to $3,000.⁴ Homes built before 1978 typically require a service upgrade. Your contractor should be able to help you understand any upgrades or repairs you might need to do. 

What resources are available if I want to do my own solar installation? 

We don’t have recommendations for buying your own solar panels, but there are many online resources available. Solar Energy International offers installation classes in several western states, including Washington. 

Can I receive an Energy Trust incentive or tax credits if I install my own solar system? 

Self-installed systems are not eligible for Energy Trust incentives or Oregon state energy tax credits. 

What warranties are available? 

Solar panels usually come with an up to 30-year standard production warranty. This guarantees that your system will produce around at least 90% of what the equipment manufacturer estimates your system will produce. Inverters come with warranties for over ten years. This part is the most likely to fail so it is probably a good idea to discuss options and replacement costs with your installer. Installers may provide a workmanship warranty for their installation.  

⁴What Is the Cost to Upgrade an Electrical Panel? (2022) (thisoldhouse.com)

Installation and maintenance

 What are the steps in a solar installation?

Here are the steps your contractor will take to install your system:  

• Get permit approval. Your contractor gets this from your local jurisdiction.  
• Mount the solar array. Most residential systems are mounted on the roof. 
• Mount the inverter. Inverters will be mounted either in the shade or inside. 
• Mount the DC disconnect switch. This will be close to the inverter.  
• Mount the utility meter. This will also be close to the inverter.  
• Connect the system. The inverter and solar panel system output need to be connected to the circuit breaker in your breaker box, which ties into the grid.  
• Get inspection approval. Once your system is completed, your utility provider will approve it.  

How long does it take to install a system? 

The process timeline depends on whether your home is structurally ready for solar. For homes requiring structural upgrades, this process can take from three to six months because it involves getting permits from the city or county and getting approvals from the utility. The actual solar installation is usually done within a few days. 

How do I maintain my solar system?  

Because there are no moving parts, solar systems generally require very little maintenance.⁵ The only thing that you may have to do is rinse the solar panels with your garden hose once or twice a year if there is no rain or snow for periods. Inverters have solar monitoring systems built into them that track your system’s performance, which you can see on a device placed in your home or by using an app or going on a website.⁶ 

What do I do if something happens to my system? 

If you have a problem with your system, contact your installer who will be able to find and fix it. Don’t try to fix it yourself. Remember: solar systems are complex and can be dangerous to fix. Also, doing it yourself might void your warranties. After the installer tells you what the problem is, you will know who to contact. The installer will be responsible for some issues and the component manufacturer for others. When the agreement on how to have it fixed is in order, your installer will make the necessary repairs.  

What do I do when my panels stop working as well? 

When you are ready to upgrade your solar system, look into recycling the old panels. In the Portland area, contact the Metro recycling hotline to find recycling locations near you that accept solar panels: 503.234.3000. You might also check with your contractor.  

⁵Homeowners-Guide-to-Solar-Financing.pdf (cesa.org)
⁶Solar Monitoring Systems: SolarEdge vs. Enphase | EnergySage