Profiting from Solar Energy

When considering solar energy, initial cost is almost always a primary concern. And though the cost of instillation can be considered hefty, these initial expenditures typically capture the most significant portion of this investment.

California's Feed-In Tariff System

What people in San Diego may not know about solar power is that California has a feed-in tariff system that allows homeowners to benefit from an overproduction of solar energy. The policy, with its roots in Germany, allows for the option of selling excess power back to the utility company. In its current form, Germany’s feed-in tariff policy titled the ”German Renewable Energy Act,” has proven to be the most effective policy of its kind. One of the effects of this policy has been an increased implementation of green energy technologies. Given this success of solar energy policy, more than 50 countries have attempted to follow in Germany’s footsteps, including the United States.

Why Choose Solar Energy?

California approved a feed-in tariff system in 2008, and the law has seen several modifications since then. As of January 2010, California solar energy laws adhere to the “California Solar Initiative.” This initiative allows Californians producing more energy than they need the option to sell back the extra. The program does not allow homeowners to install a system with the goal of overproduction, but given solar energy’s inherent propensity towards efficiency, and the increasing efficiency upgrades available, gains will undoubtedly be recognized. Allowing excess to be sold would potentially generate small profit margins from personal solar energy production. This represents significant progress from the original program simply allowing homeowners to garner their surfeit of power throughout the year and apply it against the power they bought from the utility company. Though this aided in reducing homeowner energy bills, this surplus could only be applied for the current fiscal year. Therefore, end of the year reconciliations often meant that homeowners surrendered the surplus of solar energy they had produced. But now, this energy can be turned into profit for those willing to invest in solar energy for their home. This advantage coupled with the drastic reduction in home energy bills really reinforces what a powerful investment solar energy is becoming for homeowners in California.


Interested in going solar? Request your free quote today! Contact HES Solar online or call our San Diego solar experts at (619) 350-0032.


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