I am a huge fan of One Block off the Grid which provide group discounts for solar installations. (See here if group discounts are availabe in your town.) But what if you don’t want to spend a chunk of upfront change on system but want the benefits? The Company now offers the same group savings through its solar leasing program.
Solar Group Purchasing
Before I summarize my conversation with Lloren about solar leasing, I wanted to give you some history about the Company’s group purchasing program. Over the years, I have been quoted $8 a watt for an installation on my home. A year ago, 1BOG offered a $5.45 per watt price to Northern New Jersey residents. CEO Dave Llorens advised me that the cost of solar has fallen. New Jersey installations costs $4.75 a watt.
However, despite the long term savings, the installation of the system has a huge upfront cost. A year ago when I did the math, a 10 K system could cost me $54,000, which would produce about 11,500 kilowatts per year. Luckily in New Jersey there are state rebates, but I would still would need to pony up $37,000 before I would receive any federal incentives or free electricity.
Solar Leasing is Quite Attractive
So, how do you benefit from solar with the large upfront costs? The Company now offers solar leasing in New Jersey, Massuchuetts, and the greater Los Angeles area. 1BOG expects to expand the program to 8 states by the end of 2011. They are targeting states who have high priced electricity.
If you are wondering if leasing is financially attractive, the Company provides the following rule of thumb:
“Figuring out if a solar lease is worthwhile is fairly easy: if the total amount of your monthly lease combined with your new, lower electric bill is less than what you’re currently paying for energy, leasing is a good option for you. You’ll be able to start saving money from the first day your panels are installed, for little to no upfront investment.”
But why lease from 1BOG? According to the Company, their partnership with SunEdison creates an extremely cost competitive lease.
“Not all solar leases are created equal,” said Dave Llorens, CEO and founder of One Block Off the Grid. “This is the most stable, secure solar lease on the market and includes several competitive benefits that other leases don’t provide. We’re also finding homeowners really appreciate being able to get a firm price quote without anyone coming to their home. They don’t like the pressure of a salesperson in their living room.”
The beauty of leasing is the company is responsible for any repairs needed to the system. Talk about hassle free.
What About the Savings?
After our interview, I asked Lloren for lease numbers for a 4K system in New Jersey. He replied that a 4K would cost $19,665 or $11,799 after the federal tax credit. However, a solar lease could provide a $125 monthly savings due to receiving the New Jersey SRECs for a home with optimal sun exposure and a nice size electrical bill. (NJ SRECs are solar renewable energy credits which are purchased by the utilities to satisfy their clean energy requirements. It is like getting an interest check. Not every state offers this program.)
Still not sure? Check out Deb Maher’s testimonial about her leasing experience. Then get a free estimate to see if solar leasing is your ticket to reducing your electric bill and being kinder to the environment.
Join the Conversation
- Thoughts about leasing?
- Did you buy or lease your solar panels?
- Obtained panels through 1BOG?
- Consider leasing solar panels?
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