It’s a well-documented truth that renewable solar energy is an eco-friendly way to power your residence, but does it save as much for your pocket as it does for the environment?

At the most basic level, solar power is energy generated by the sun. The sun’s rays turn out electromagnetic radiation, which is then captured by solar panels used to power your home. Solar cells within the panels act in response to the sun’s rays and produce a type of electricity. A complex circuitry system then broadcasts that electricity throughout your home, powering it just like regular electricity.

There are many types of solar power cells, and the type you use will establish how much money you’re saving based on efficiency. The panels will store unused energy as well, so you’re not completely without power at night or when the sun isn’t up.

As long as you connect your system to a power grid, you’ll be supplied with the power you need, though some of it might still come in the form of traditional electricity. Solar power is most easily made available when your panels are actively accumulating power from the sun. If you have a roof that faces south, east, or west, it should collect some form of solar power while the sun is shining.

Cheaper Utilities

No matter how small your installation, you begin receiving smaller monthly bills from your local utility company from day one. This is probably the biggest advantage of solar energy – immediate electricity bill savings.

Related: Testing Your Home for Radon Gas

But how sizeable are these electricity bill savings? Answering this depends on two central factors:

• Solar energy is a modular technology, meaning you can install as many or as few panels as you like – whenever you like. Each new kilowatt of installed solar capacity brings you bigger electricity bill savings. With a large enough installation, it’s possible to reduce your energy bill completely. Thanks to solar energy, countless Canadians already pay $0 a month to their local utility.
• However large your installation, you can expect your electricity bill savings to grow with time. As utility rates increase, clean energy from the sun remains consistently free. Solar is an investment that pays increasingly large dividends with each passing year.

In our next post, we will discuss the impact that solar power can have on the value of your home, and on the environment, in How Solar Living Equals Cost Savings: Part Two.