90% Cheaper Than a Decade Ago
Updated June 28, 2024
By Morgan Pierce
Have you seen the price of a take-away coffee lately? Or a pound of butter, a loaf of bread? And don’t even talk to me about olive oil – has it become the new fossil fuel? And now the kids are out of school and at home opening and closing the fridge door all day! If you’re like me, you have a little calculator in your brain going “ka-ching!” and racking up the pennies that will have to come from somewhere.
Well, going solar just might be the answer.
I can hear the groans of, “but the cost of solar is so expensive”. Hold on.
Unlike almost anything else you can name, the cost of solar power and storage batteries have “plummeted” in the last decade, according to a study by independent climate researchers at Mercator Research Institute.
The drop in prices for solar and other “fossil-free” renewable technologies has the potential to revolutionise the transition to a climate friendly future. “Some calculations even suggest that the world’s entire energy consumption in 2050 could be completely and cost-effectively covered by solar technology and other renewables,” reports Felix Creutzig, lead author of the Mercator study. “This is an extremely optimistic scenario – but it illustrates that the future is open.”
That’s the big picture. But the drop in the cost of solar is also reflected in what we see around the country. It is a major part of what has fuelled demand for solar in the last few years. In spite of rising costs elsewhere, SolarSmart and other reputable installers have been able to keep price increases for customers to a minimum.
The Irish government has played a key role, too. In April 2023, Environment Minister Eamon Ryan eliminated VAT on the supply and installation of solar panels on homes and public buildings. That single move – made to encourage more homeowners to make the switch to solar – saved our customers about €1,000 on the average solar installation – bringing the cost of solar down to about €8,000.
We in the industry understand that kind of money – and the potential for disruption of a dramatic change to how people power their homes – can seem daunting. That’s why we think of ourselves as – and try to behave like – solar advisers, not solar salespeople.
We work with our customers to find the solar panel system that meets their family’s needs, then work with them more to help them get all the financial supports available.
Grants and loans to reduce the cost of solar
The first such support we recommend is the SEAI’s solar grant. SEAI grants fund homeowners who want to install solar panels. The grant covers the cost of labour and materials. In order to be eligible, your property must have been built and occupied before 2021. The amount of grant money available depends on the size of the system, based on the kilowatt peak (kWp) installed, but can be as much as €2,100.
The available grant can reduce the price of one of our “entry level” solar installations down to about €6,000.
When it comes to funding that balance, government has stepped in again. As we highlighted last week, under an innovative new “green loan” scheme, Irish homeowners can borrow from their local bank or credit union to fund the cost of solar and other environmentally friendly home improvements. Loans from €5,000 to €75,000 are available on an unsecured basis for a term of up to 10 years at highly competitive interest rates.
Getting a solar installation in place is just the beginning though. For most homeowners, the excitement and relief kicks in when they receive their first post-installation bill from their energy supplier – and see the savings that solar has made possible. To get a notion of the savings that are possible for your home, download our Solar App to your smart phone and give it a go.
Investing in Irish solar panel systems can bring many benefits, including reduced energy bills, increased energy independence, and a reduced carbon footprint. If you are interested in installing a solar panel system in Ireland, it is also worth exploring the different grant options and green business loans available and seeking professional advice from one of our solar energy advisors.
Feel free to contact us for more information, we’re here to help.
