Grid parity, also called socket parity, is a measurement that compares the levelized cost of solar electricity with the cost of residential retail electricity. When grid parity is reached, it becomes more economical for you to install solar panels on your roof rather than purchasing power from your utility company. Read More Here
Analysis assumptions:
• Solar electricity estimates are determined using solar radiation
values for state capitals.
• Solar generation figures are based on an average-sized
residential solar PV system of 5 kW that is operational for 25
years.
• Default installation cost is estimated to be $3/watt (not
including the 30% federal tax credit). This figure is based on an
NREL study published in September 2017.
• Where available,
state-based solar tax credits were also included in the levelized
cost calculations (other incentives, such as performance payments
or property tax exemptions, are not included).
• Utility rates are based on the monthly residential rate data set
as reported by the EIA.
• Utility rates are computed using the last 12 available months in
the dataset.
| Cost of Residential Solar Power |
|---|
| $ per Watt
|
| Investment Tax Credit |
| Cost of an averaged sized (5kW) residential solar energy system |
| $ ${Math.round(solarPower * 5000 * switchTaxCredit)} |