Savings with Solar Electricity
On this page: Lower electricity bills | Save 15% VAT | Save Pollution
01. Lower electricity bills immediately
Without having to do anything at all, the first saving you will notice will be on your electric bill. We'll use a system size of 3kWp as an example.
A 3kWp photovoltaic system will generate approximately 2550kWh (Kilowatt hours) of electricity a year. A kWh is the same as a Unit, which is the term electricity suppliers use.
Prior to having a photovoltaic system installed you would have paid an electricity supplier for this amount of electricity. This would be charged on a per Unit basis. So, if you pay 15 pence per Unit, this amount of electricity would have cost £383. Have a look on your bill and see how much you pay per unit, and don't forget some suppliers use a two tier system.
After having your PV system installed, this amount of electricity would be generated for free - using the Sun's energy. This will mean you will save £383 in the first year.
Savings increase yearly too!
By purchasing a PV system, you would be purchasing your electricity for the future, at todays prices.
Assuming at least 10% a year price increase from electricity suppliers, you would save:
- £383 in year one...
- £421 in year two...
- £463 in year three...
- £509 in year four...
- and £560 in year five...
You can see the pattern. Also, this is assuming quite a conservative price rise of just 10% a year.
02. Save 15% VAT
Unlike other energy system installation such as Oil boilers, Gas boilers, and Central heating, a Photovoltaic energy system installation will only include 5% VAT.
This is quite a saving compared to the 20% VAT charged for most other installations.
This would save in the region of £1600 on a fully installed 3kWp system.
The 5% VAT is applicable on the photovoltaic panels, all related equipment and the installation.
03. Save Pollution
The UK average amount of Carbon Dioxide produced by power stations is 0.46kg per Kilowatt hour. A 3kWp Solar Electricity system will produce around 2550 Kilowatt hours of electricity a year, saving 1.2 Tonnes of Carbon Dioxide a year (up to 1.5 Tonnes), based on the average of suppliers' power. Carbon Dioxide is of course not the only problem, although is often the only one mentioned.
Pollution caused by Power Stations
Sulphur Dioxide
Sulphur Dioxide is a major cause of acid rain, which is harmful to aquatic life, humans, forests, soil, and all life. Acid rain can also damage buildings. SO2 in the air can cause breathing problems and aggravate heart disease, and when mixed with other air bourne chemicals produce sulphate particles which can cause respiratory diseases.
Acid rain changes the composition of soil, damages crops and forests, and turns lakes and streams acidic and unsuitable for fish.
NOx
NOx refers to the many forms of Nitrogen oxide that are produced from the high temperature burning of the fossil fuels. NOx is not good for human health and contributes to heart and lung problems. It is responsible for damaging the ozone layer which is what protects the earth from dangerous Ultra-violet light from the sun. It also causes acid rain.
NOx also mixes with organic chemicals to produce more toxic chemicals.
Particulates
Fine particulates are carried in the air and a large amount are produced by Nitrogen Oxide and Sulphur Dioxide. These are very fine particles that get right down deep into lungs of humans and animals and can cause illness and lung problems including cancer.
Ozone
Not to be confused with the ozone layer, Ozone is produced when NOx mixes with VOCs (Volatile Organic Compounds) in the air which in turn cause more serious lung problems.
Nuclear power
When electricity is produced at Nuclear power stations, High Level nuclear waste is created which cannot be disposed of safely as the waste remains radioactive for thousands of years.
Carbon Dioxide
Increasing CO2 in the air caused by the burning of fossil fuels such as coal, oil and gas increases the greenhouse effect, which is global warming. The increasing temperature of the earth is causing ice caps to melt and sea levels to rise among other things. This is the greenhouse gas that is used as the measure of ones carbon footprint. Carbon Dioxide in the air is itself is not harmful to humans directly, but humans could be directly affected by higher temperatures, with problems such as heat exhaustion and breathing problems for those who are more vunerable. Higher temperatures also cause there to be more harmful Ozone at ground level.