While the idea behind solar power may seem like an easy way to generate electricity, putting it into practice can be challenging. As a result, many people overlook the potential of solar power and choose alternatives such as fossil fuels or nuclear energy – both of which have their advantages but also come with their own set of disadvantages. Fortunately, the solar energy rate in India has been dropping over the years and continues to do so, making it more affordable for average households to reap the benefits of solar power. We’ll examine the state of solar power in India and how you can benefit from it.
The Rise Of Solar In India
The history of solar in India dates back to the 1970s, when solar power systems were first used to light homes and businesses in the country. At first, these solar power systems were quite expensive and only available to businesses and high-net worth individuals. But as the energy price in India rose over the years, so too did the demand for home solar power systems. This coupled with government policies promoting renewable energy made it possible for average households to own and operate a solar power system. Today, there are over two million households in India that have adopted solar power. This amounts to about one out of every eight Indians.
Why Is The Solar Energy Rate In India Falling?
Thanks to the declining cost of solar power and efficiency improvements, the solar energy rate in India has been decreasing. In the past, this rate was generally about seven or eight rupees per kilowatt-hour. However, during the last couple of years, this rate has decreased to about five rupees per kilowatt-hour. For comparison, the average tariff for electricity in India is about three rupees per kilowatt-hour.
In a country where over 90% of the population relies on electric power for their daily needs, this decrease is undoubtedly significant. It means that investing in a solar power system has become much more economical than before. And as we’ve established, the demand for solar power in India is growing, with over two million households having adopted solar power. This figure is predicted to hit three million by next year.
How Much Does It Cost To Run A Solar Power System?
Paying for electricity is one of the major costs associated with running a solar power system. In addition to this, you’ll need to purchase solar panels, an inverter, and various other accessories. Depending on how large your system is, these costs can add up quickly. For example, a 5kW system will cost about $4,500 – a quarter of what it would have cost just a couple of years ago.
Is It Worth Running A Home Solar Power System?
This cost analysis is all the more significant because, previously, solar power was only available to businesses and high-net worth individuals. So if you’re looking to invest in solar power and don’t have the budget for a commercial system, you might ask, is it really worth it to run a home solar power system? The answer is yes, and here’s why.
As we established, the cost of running a solar power system has decreased significantly over the years. In addition to this, we can point to government policies promoting renewable energy and solar power as reasons why this technology is still worthwhile. In India, these policies have led to a 96% energy demand growth from renewable sources – namely hydropower, wind, and solar power; with many states, such as Rajasthan and Madhya Pradesh, opting for 100% renewable energy by next year. In light of this, it’s clear that investing in a solar power system is one of the most effective ways to fight climate change.
The Advantages Of Solar Power
Although the cost of operating a solar power system has decreased significantly over the years, this does not mean that it’s a flawless technology. This section will highlight the advantages of solar power.
Offers Variety
With the abundance of sunshine in India, it’s clear that solar power offers a variety of benefits for residential and commercial use.
Firstly, in terms of climate change, solar power is a sustainable energy source. This means that it doesn’t contribute to greenhouse gas emissions and is, therefore, environmentally friendly. In fact, solar power can be as green as wind power because there’s no combustion or emission of any kind. So, while wind power is a zero emission source, solar power typically only generates about 20% of the harmful pollution that conventional energy sources produce. In terms of climate change, this is quite a feat.
Low-Cost
Secondly, the cost of operating a solar power system is quite low. When you compare this to other electricity generation methods, such as fossil fuels or nuclear power, the difference is truly immense. As we established, the cost of operating a solar power system has been decreasing over the years. This coupled with the abundance of sunshine in India makes solar power a cost-efficient option for businesses and high-net worth individuals.
Makes Sense For Most Households
One of the reasons why solar power is becoming so popular is because it makes sense for most households. As we established, the cost of operating a solar power system has been decreasing over the years, with many homeowners now able to reap the benefits of this without risking financial ruin. This is largely due to government policies promoting renewable energy and solar power. These households can now afford to purchase a system, connect it to the grid, and start generating electricity – all without risking their financial security. For them, the benefits of solar power outweigh the downsides.
Great For Off-Peak Power Needs
Another advantage of solar power is that it’s great for off-peak power needs. During the day, when the sun is shining, you can generate enough electricity to meet your needs – whether this is for a small house-hold or a large business. However, at night, when the sun goes down and you need power to keep the lights on, there’s no other option than to pay for electricity – unless you have a solar power system.
Homeownership Is Inevitable
One of the major reasons why solar power is becoming so popular is because it’s an inevitable part of homeownership. As we established, the cost of operating a solar power system has been decreasing over the years. This coupled with the declining cost of solar panels and efficiency improvements makes it more affordable for average households to purchase a system and generate their own electricity. Allowing them to be a bit more independent and reduce their reliance on electric companies.
Disadvantages Of Solar Power
While the cost of operating a solar power system has decreased significantly, this does not mean that it’s perfect technology. This section will highlight the disadvantages of solar power.
Utilities Need To Be Portioned
One of the major disadvantages of solar power is that utilities need to be proportioned. As we established, the cost of operating a solar power system has been decreasing over the years. But, at the same time, the cost of connecting to the grid has increased – particularly in areas that use large amounts of electricity. So, while the cost of generating electricity is coming down, the cost of connecting to the grid is going up – making it more expensive to use solar power. If you want to use solar power to generate electricity for your home, there’s a good chance that you’ll need to invest in a battery system to store the energy – especially if you use a lot of electricity.
No Guarantees
In addition to this, one of the major disadvantages of solar power is that there are no guarantees. As we established, the cost of operating a solar power system has been decreasing – but this doesn’t mean that it’s cost-free. As we’ve seen, the cost of connecting to the grid can increase, as it does in areas where subsidies aren’t provided. So, while the price of electricity generated from solar power has been coming down, the cost of buying it has been going up – resulting in the need for a bit of an income hedge.
Where Can I Buy Solar Panels?
While there are numerous places you can buy solar cells and other components – from China to Malaysia – the best place to buy solar panels is in Germany. This is because Germany is a world leader in solar technology and export a large amount of these panels every year. This, in turn, makes it cheaper for average households to purchase solar power.