Signs you may be dealing with misleading solar savings
If a solar company promises you "$0 energy bills forever," it's likely a sign of misleading solar savings. Free solar panels or guaranteed solar energy savings without on-site assessments are other "promises" to watch out for.
Unfortunately, such tactics have become so common that the solar industry has received so many complaints.
Time Magazine, for instance, said the U.S. Federal Trade Commission (FTC) received over 5,300 solar panel-related complaints from January 1 to September 19, 2023. It's a 746% increase since 2018.
Arm yourself with knowledge, and you can avoid these unethical, illicit tactics.
Do You Actually Save Money With Solar?
Yes. You can achieve solar savings with a well-designed, properly installed system, but it won't be overnight. Depending on your location, system size, and panel quality, it can take several years to recoup your solar investment.
The U.S. Department of Energy has provided several sample scenarios of how consumers can save money with solar. A doctor in California who purchases a rooftop system for $15,000 with cash and gets a 30% tax credit, for instance, can expect to:
- Save about $200 monthly on electricity bills
- Pay back the system's cost in under five years
- Get free solar electricity only after the payback period
Can Your Bill Still Be High Even With Solar?
Yes, such as if you have an "undersized" system.
"Undersized" means you have a smaller-sized system or fewer panels. Its generation capacity is much lower than your household energy consumption.
Let's say your household's daily electricity consumption is 30 kilowatt-hours (kWh). Your solar panels, however, can only produce 15 to 20 kWh per day. In this case, you'll still get a high energy bill, as your system's solar electricity generation is significantly lower than your daily consumption.
What Are the Signs You're Dealing With Misleading Solar Savings?
Any promise of solar savings that sounds too good to be true is most likely just that, particularly if the claim sounds exaggerated (e.g., "free panels," "$0 bills forever," or "guaranteed savings").
Detecting solar scams and solar panel fraud is even more crucial if a solar contractor combines the above claims with high-pressure sales tactics. They may inject a sense of urgency to compel you to contract with them by using terms like "limited-time offers" or "limited slots."
What to Do if You Encounter These Solar Concerns
If you have any reason to believe your contractor has misled you or you're dealing with a potential scam or predatory practice, reach out to the company and inform them of the matter.
Gather all relevant documentation (sales proposals, email and text correspondence, and contracts). Send your contractor a formal letter regarding the issue and request corrective action (e.g., adjusting financing).
If your contractor fails to respond or cooperate, seek professional legal assistance to cancel your solar contract. Report them to the FTC, CFPB (Consumer Financial Protection Bureau), and your state's Attorney General.
Don't Fall for Solar Savings Scams
Remember: You can be financially safe with solar, provided you do your due diligence and not allow unscrupulous actors to lure you in with their exaggerated claims about solar savings.
Beware individuals who promise "free" panels, too. If you ever meet anyone who says you can get free electricity for life, you should also report them to the authorities.
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