We've outlined what questions to ask, and which red flags to avoid!
You've decided to take the first step towards energy independence and have requested a custom solar evaluation for your home - Great!
But now you're inundated with a ton of new info...watts... inverters... Let's be honest it's a lot of new info all at once. Don't worry, our comprehensive guide will lay out exactly what you need to know, what questions you should be asking your solar sales rep, and what red flags to avoid!
First, there are two types of solar set ups in Canada; Grid Tied and Off-Grid. 95% of Canadians live connected to the grid, so this guide will focus on grid tied systems. Our guide to Off-Grid systems will be posted soon.
"Grid Tied Solar" aka Net-Metering
Net metering allows you to utilize the energy produced from the solar panels for your home. Energy is created by the panels, and used in the home if there’s a demand. Any excess that you don’t use, can be sent back to the grid as credits. These credits are then used at night when the sun isn’t shining. Credits will typically carry over for 12 months from the date they were produced. This varies Province by Province.
Your salesperson should be able to clearly explain this process, They should be taking the time to ensure that you understand how the system works, and how your credits are handled.
Solar System Sizing
At this point, you have likely provided your salesperson with your historical energy consumption over 12 months.
This information is vital for the installer to be able to determine that number of panels you need, and the portion of your energy requirements that the solar panels will cover.
Your home's energy usage will help determine your solar system size and estimated Solar production.
System size is determined by multiplying the output of each panel, by the number of panels they intend to use. For example if each panel is 450 Watts and you have 20 panels then 450 x 20 = 9,000 Watt system (also called a 9kW, for kilowatt).
Solar production is the total number of kilowatt hours that your system will produce annually. For example your 9kW system may produce anywhere from 8,000 kilowatt hours (kWh) - 10,000 kilowatt hours (kWh) per year depending on many factors such as the system's orientation or shading.
Most installers will use a computer program that factors in historical weather data when calculating your system’s output. Because the sun isn’t always shining, weather patterns in your area will be important for accuracy. Don't leave this part up to guesswork.
Solar Generation Charts
A good solar quote will provide a graph that compares the energy you use, to the energy the solar panels produce for each month of the year. This chart will be helpful in determining how much power you will produce throughout the year. In some months, the system can cover less than you require. In other months it can be equal, and in some months (normally the summer) it can produce more than you require. Your salesperson should be able to clearly explain how credits are carried over and what happens to leftover credits.
Keep in mind that if your solar system produces less than 100% of your annual requirements, you will need to pay for any additional electricity needs from your energy provider. For example, if your system covers 80% of your annual requirements, you will need to purchase 20% from your energy provider. Getting as close to 100% is ideal, but less than 100% is still highly advantageous compared to purchasing everything from your energy provider.
Live Monitoring Apps
Solar installers should be able to provide you with an online monitoring app. These apps receive live data from your system via Wi-Fi, and share the data to your phone or computer. This information is helpful for being able to view the performance of your system including your daily, monthly, and annual energy produced.. Make sure that you aren’t paying extra for this feature, as it should be included in your package.
Solar Panel Design
A good solar quote should always include a diagram showing a bird’s eye view of your home, and where each panel will be placed. Although the diagram may change slightly after their team does an on-site inspection, the initial diagram will still be important for you to be able to visualize how the system will look on your roof.
Solar panels will always receive the strongest sunlight when facing south because our position on the northern hemisphere. The best roofs will have a majority of south facing panels, as those panels will always be in the sun. East and west facing panels are still very effective as they receive sunlight for a portion of the day (east in the morning, and west in the afternoon). North facing panels are least effective. Although they will still produce power, your system should have as few north facing panels as possible as they do not receive direct sunlight. If your diagram shows mainly or only north facing panels, your salesperson should be honest and explain that your roof may not be the best candidate for solar. If not, this could be a red flag!
Shading
Shade is your solar system’s worst enemy. If you have tall trees around your home, keep in mind that any panels placed in that shade will be negatively impacted. Your solar quote should factor in any shading so that your energy production figures are accurate. If your design shows no shade, but you’re aware of trees or obstructions near your home, make sure that you ask your salesperson if they have factored that shading in their calculations.
Solar System Equipment
Panels
Your solar system uses three main components. The solar panels, the inverter(s) and the racking system. Individual Solar panel output can vary extensively from about 250 watts to just under 500 watts. Although a larger size may seem better, its important to understand that higher outputs typically due to a larger footprint. In other words, a higher output panel is larger, so you can fit less in the same amount of space as a lower output panel. A higher output panel does NOT necessarily mean the panel is better or more efficient. In fact, smaller panels can be better in certain situations, as there is more flexibility with placement.
Make sure that your installer is offering a Tier 1 solar panel. Tier 1 solar panels are built with higher standards (to last longer and produce more power) and have a highly regarded reputation within the solar industry for quality, service, and bankability from the manufacturer.
Inverter
Solar system inverters are designed to convert the Direct Current (DC) power that the solar panels generate, to Alternating Current (AC) power that is used in your home. The two types of inverters are:
String Inverter – A single inverter for the entire panel system. If the installer uses a string inverter, ensure that they are also including power optimizers. This allows each panel to function independently in case one panel is shaded or fails. Otherwise, multiple panels will be affected by the one panel with shade, as they are connected together in series.
Micro Inverter – Multiple, smaller inverters are used for each panel. This allows each panel to function independently. With this option, the solar panels are hooked up in parallel (vs. series) which means surrounding panels will not be affected by one that is shaded or fails. Micro inverters do require more maintenance, however replacement costs are generally lower than string inverters. Make sure to ask about your inverter warranty.
Racking
Solar racking is designed to sit overtop your existing roof shingles. Holes are drilled into the roof, and the racking is mounted with long bolts to your rafters. This provides a very safe and secure fit that is resistant against extremely high winds. Any holes should be sealed using weather sealing, and any drill points require flashing overtop, providing full leak protection.
If you ever need to replace your roof, or if your roof requires work, it may be necessary that the solar system is removed. Once your roof work is completed, the system will need to be reinstalled. This work can carry some significant costs, so it is vital that you speak with your salesperson about the costs associated with the labour.
Warranties
Panels – A 25 year warranty is typical for Tier 1 manufacturers. During this time, if a panel stops working or is producing minimal power (this will be seen on your monitoring app) the panel will be replaced by the manufacturer. Your installer should facilitate any warranty claims on your behalf.
Inverters – Inverters will normally have a warranty anywhere from 10-25 years. This is an important question to ask, as replacing inverters will be costly. Often, there is an option to extend the warranty, which is why its important to ask if your pricing includes the extended warranty and what that cost will be. This will help when comparing quotes.
Racking – Racking systems are quite robust and require little to no maintenance. Typical warranty for racking is 20 years.
Keep in mind that installers will provide different labour warranties. Although the parts are replaced by the manufacturer for 25 years (panels), labour costs may be involved if you are past your installers specific policy.
Warranties from the manufacturer do NOT cover damage due to natural causes (ex. Tree fall). It is important that you speak with your home insurance provider to discuss the solar system, and any additional amounts added to your premium.
Solar System Pricing
Solar system pricing is normally calculated as a cost per watt. To calculate your cost per watt, simply divide the total cost of your system before tax, by the total number of watts in the systems total size. (ie. $24,000 / 8,000 Watts = $3 / W)
Cost per watt can range from $2.80 - $3.40 depending on many factors. Although a higher cost per watt may seem less desirable, it is important to review other factors of the quote, including warranties and company history/experience. Assuming everything else is equal, cost per watt is an important way for you to determine your best option when comparing quotes.
Deposits are common when comparing quotes. A deposit protects the installer in case you cancel your project once work has been completed. You will always have a 10-day cooling period during which time, you can cancel with no penalty. After that period, your installer may keep a portion or your full deposit should you decide to cancel. You are more likely to not receive your deposit back once work has been completed.
If you are not approved for the program by the government, the installer must return your deposit regardless of any work completed. Any pushback on this exception is a red flag.
Financing Options
Most solar installers will require you to pay for the system using your own funds, or through a payment plan. Using your own financing, it is important to factor in any interest costs if you plan to use a line or credit or some other form of loan.
The same applies for a payment plan provided by the installer. Ensure that you ask if the payment includes interest, and factor that into the total.
Government payment plans may also be available depending on your eligibility. Currently, the Federal Government's Canada Greener Homes Program offers a $40,000 interest-free loan which can be used to fund your solar system. The application process for approval does take time, and will require a number of financial documents that must be submitted to the underwriters. If you plan to use this option, ensure that you discuss it with your salesperson as it is not always something they can facilitate for you.
Key Questions to Ask your Salesperson
These questions are vital for understanding the installer’s offer. Its always best to get this information on paper, so you can reference any information if a problem arises.
What is the overall system size, and annual power production?
What type of panel is used, and what is the output of each panel?
What type of inverter is being used?
What are the specific equipment & Labour warranties
What is the cost to remove and reinstall the panels should my roof require work?
Is a deposit required? And is the deposit refundable if I am not approved for the program?
How long has the installer been in business?
Will there be project management in place to assist with applications, and submitting documents to the government?
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