SOLAR 101
What is MicroFIT?
Back in 2009 the Ontario Green Energy Act was introduced with the goal of expanding Ontario renewable energy production, encouraging energy conservation and creating jobs in the renewable energy sector. This Act is best known for creating a number of feed-in tariff rates for different types of energy sources, the most notable of which is the microFIT program.
The microFIT program basically allows homeowners and other participants to get paid for producing renewable solar electricity. The IESO (Independent Energy System Operator, the organization responsible for administering Ontario’s energy system) will buy all the electricity produced from the solar panels at a guaranteed rate and time frame which is 28.8 cents/kW for 20 years.
Cutting the Cost of Solar Panels in Ontario
If your roof is feasible for solar and you are qualified for solar panels, our installer will put up all the cost for the panels and they will be selling the electricity at the given rate. And because they are making money by using your roof space, they’re going to be sharing profits with you for using your roof space. So instead of worrying about how much residential solar panels in Ontario cost, you can earn money for switching to renewable energy in Ontario.
It’s that simple, and there are no strings attached. This is the only program of its kind that’s truly at no cost to you! That’s right: there are no upfront costs, credit checks, maintenance fees, or insurance costs.
For more on MicroFIT, visit: http://microfit.powerauthority.on.ca/how-microfit-works
Why is the Ontario government offering this incentive?
Ontario recently closed ALL of its coal-powered electricity generating stations in an effort to address global warming. Meanwhile, there continues to be a growing demand for electricity from Ontario’s growing population. The main sources of electricity left are Natural Gas generation stations, which also contribute to dangerous CO2 emissions; and Nuclear, which has dangers of its own.
“What we can’t forget is coal power was costing us a lot of money… Not just for the generation of electricity, but in health and environmental costs.”
-Keith Brooks, Energy Specialist, Environmental Defense Canada(1)
Ontario Renewable Energy Sources: The Smart Solution
Home solar electricity generation is a safe and smart solution to Ontario’s growing energy needs. Ontario needs your clean energy – and that is why the government is offering this outstanding opportunity to homeowners. Not only will you be free from the cost of solar panels in Ontario, you are guaranteed to have an emissions-free home– and that is truly priceless.
Why is the Ontario government offering this incentive?
Ontario recently closed ALL of its coal powered electricity generating stations, in an effort to address global warming. Meanwhile, there is growing demand for electricity from Ontario’s growing population. The main sources of electricity left are Natural Gas generation stations, which also contribute to dangerous CO2 emissions, and, Nuclear, which has dangers of it’s own.
“What we can’t forget is coal power was costing us a lot of money,” said Brooks. “Not just for the generation of electricity, but in health and environmental costs.”
-Keith Brooks, Energy Specialist, Environmental Defense Canada(1)
Home solar electricity generation is a safe and smart solution to Ontario’s growing energy needs. Ontario needs your clean energy – and that is why the government is offering this outstanding opportunity to homeowners. You will have an emissions-free home.
FREQUENTLY ASKED QUESTIONS
FREQUENTLY ASKED QUESTIONS
Question Type
How much does a residential solar system cost?
Myth: solar systems are too expensive to install
Share Solar: This is the no cost option for homeowners who do not want to any money to go solar.
Purchase Solar: The cost of a rooftop solar system depends on how many panels can fit on your roof, the type of solar equipment installed, your geographical location, the difficulty of installation, and potential property limitations like trenching requirements if necessary. The cost can range anywhere from $20,000 up to $35,000 for a full 10 kW microFIT system. To see a customized proposal tailored to your specific property, contact one of our Solar Professionals to get a free assessment done.
How much money can I earn?
Share Solar: Refer to Solar Programs for list of incentive options.
Purchase Solar: The 2017 microFIT guaranteed rate this year is 28.8 cents per kWh. Depending on how many panels can fit on your roof, the direction of your roof space, the angle of your roof relative to the sun, and shading factors, the amount of energy your system can generate up to 12,000 kWh per year which translates into $3500 worth of income per year. The average income is Between $250 to $330 per month. Contact one of our Solar Professionals to find out how many panels can fit on your roof and how much income you can earn.
Do I have to sell my solar electricity back to the grid? Why can’t I just use it directly in my home and go off the grid?
By getting approved for an Ontario microFIT solar contract, your hydro company will purchase your electricity at a guaranteed rate of 28.8 cents per kWh for 20 years! The income you generate from selling your solar electricity back to the grid for this price, is enough to cover the cost of the solar system and make you a profit on top (for purchase solar). Using the electricity directly in your home instead of selling it to the hydro company is a different program called ‘Net Metering’. Unlike MicroFIT, Net Metering is the option for homeowners interested in using all the electricity the solar panels produce to directly save money on their hydro bills. Contact us to find out how much you can reduce your hydro bill from net metering.
Will the solar system reduce my electricity bill?
Your electricity bill will not be reduced if you’re set-up with the microFIT program because all of the electricity produced by your solar system is sold back to your local hydro supplier. If you would prefer to use the electricity in your home to reduce your hydro bill, get installed with the Net Metering program and then you will be able to reduce your electricity bill.
Thinking of Purchasing solar panels? Check out our Book to discover how to choose between Net Metering or microFIT for your home.
How do I know if something is not working?
Your solar system comes with a real time monitoring system that allows you to observe what your solar panels are producing 24 hours per day
Share Solar: The solar installer will monitor the system for you. Zero work on your part.
Purchase Solar: Because you own the solar system on your roof, you are responsible for monitoring its performance. You can access this free monitoring program through any mobile device including smartphones, laptops, tablets and desktop computers. You can even set-up automated email alerts with production updates and a warning if your system is not operating at maximum efficiency.
What type of maintenance am I going to be responsible for?
Share Solar: Solar panel systems are very low maintenance to being with, but either way since you do not own the panels, the solar installer will fully maintain the system for you.
Purchase Solar: Solar panels have no moving parts, so once the microFIT system is installed there is virtually no maintenance required. All of the hardware is rustproof aluminum and stainless steel to protect against corrosion. If you live in a particularly dusty area it may be beneficial to clean the panels ever couple of years, however in most cases the rain will be enough to remove any dust and soiling that has accumulated.
Will the panels still work if it snows?
Yes. The surface of the solar panels is warm enough to melt any snow that falls. If it snows overnight, sunlight can penetrate up to 3 feet of snow. For further verification, please refer to this article: http://www.solarpowerworldonline.com/2016/02/snow-what-solar-works-fine-among-winters-flurries/
How long are the warranties?
Each microFIT solar power system includes a comprehensive 3 year labour, material and workmanship warranty by the solar installer. The major components of your solar power system also have manufacturer performance warranties for 25 years. Speak to one of our Solar Professionals for a more detailed outline of the component warranties.
How long do solar panels last?
Solar panels have a lifespan of 40 to 50 years.
Share Solar: When you inherit the solar panel system in 20 years’ time, panel efficiency will level out at 80-90% production. That means you can use the remaining electricity the panels produce for another 20 to 30 years after the microFIT contract expires. This will translate into over $100,000 worth of savings for many homeowners!
Fun fact: NASA uses the same photovoltaic solar panel technology to power the International Space Station, the rovers on Mars, and telecommunications satellites.
Why not wait until better technology comes around?
Myth: what if the technology becomes obsolete
Unlike smartphones and smart TVs whose technology changes frequently, crystalline solar panels haven’t changed much since the 1960s. What has changed the most with solar since the 60s is the price. It took up until this decade for manufacturing and production on a massive scale to make solar panels more affordable. If any new solar technology did come out, it would also take decades for the price to come down to meet the pricing we have today. Either way the inverters used to convert the DC (direct current) energy captured by the solar panels to regular household 240 volt AC (alternating current) already operate at a peak efficiency of 96.5% so we will not see significant improvements on this technology for many years.
Are solar panels a fire hazard?
Solar panels have no more risk of fire than any of the existing wires in and around your home. As part of the Ontario building code, it is a requirement that we install a main disconnect switch that is primarily for fire fighters to turn off the flow of electricity. Firefighters are now trained about this standard.
Will installing a solar panel system damage my roof?
No. Solar panels are mounted onto the roof using a racking system with flashing. The same flashing that’s already being used on your roof to waterproof it around objects like vent pipes. One side-effect of installing solar panels onto your roof is that they protect the shingles underneath. Majority of damage to shingles comes from exposure to the sun, so having panels installed extends the life of your shingles.
Share Solar: Our installer covers your roof with a third party insurance covering any potential damages for 20 years.
Purchase Solar: At the end of the day, when it comes to your roof, our installers don’t ‘goof’ around, so your system is equipped with a full 3 year installation warranty.
What if I need a new roof?
Share Solar: Our installer offers a one time free removal of the solar system!
Purchase Solar: Even though the solar installer does not cover the cost of removing solar panels for the homeowner, when your solar-less neighbour re-shingles the roof, they pay the price. If you need to reshingle the roof coupled with solar, you have the opportunity to take advantage of the many tax benefits to save you money you wouldn’t otherwise without solar. Your Solar Professional can walk you through how that works.
What happens if I sell my house?
You simply transfer over the microFIT contract to the new homeowner. Now they will be able to benefit from the income your solar system generates. Since your home is an income generator now, this will add to the value of your property, and simultaneously help attract new buyers. According to National Renewable Energy Lab, homes with solar panels sold 20% faster at 3-4% higher than the asking price.
Myth: what if no one wants the panels when I sell my home?
Let’s address the idea of home value relative to solar panels for a moment. The solar industry has grown over 40% year over year reaching over 1 million residential homes installed with solar panels across North America. The reality is hydro costs will keep increasing and it’s only a matter of time before more and more of your neighbours go solar too. Demand for alternative sources of energy will keep rising and the value of your home compared to one without solar panels is higher. Ask yourself this: would you rather move into a home with LED lightbulbs or Incandescent lightbulbs?
Aesthetic concerns? A lot of homes with solar panels installed, are not visible from the front simply because the best exposure areas happen to be located in the back and the sides of the home. (South exposure is the best. East and West work too.)
Good news is your home will be listed with solar just like features like A/C, washer, dryer etc. on real estate listings pages online, so just like a home with an addition like a pool, no one will approach you to dig out the pool first before they buy the home. You won’t attract those types of buyers in the first place.
Alternatives to power homes with products like solar is trending, so you will find more people who want more than those who do not.
Is my homeowner’s insurance going to increase?
Share Solar: Because you do not own the panels under this program and are not responsible for maintaining them, the solar installer takes out a third party insurance policy covering damages up to $5 million.
Purchase Solar: Since installing a solar system on your roof adds to the value of your home, you should notify your insurance company. In some cases this may reduce your premium, in others it may increase your premium by up to $10 per month.
Insurance providers who have a history of offering competitive premiums to homeowners with solar panels: Aviva Insurance, Pearson Dunn, TD, Statefarm, Cooperators
If you’re curious to see what other home insurance providers have to offer, ask one of our Solar Professionals to get you in touch with an Insurance Broker.
What if the government cancels the contract?
The microFIT and FIT contracts are guarantees from the government that your hydro company will purchase electricity produced by your solar system at a promised rate. These programs are geared towards community groups, educational institutions, municipalities, aboriginal groups and homeowners. If the government tries to cancel your contract, they will be cancelling on the most important groups of people in our province. There is no way the province will take that risk which will just end in a class action lawsuit. The only possible cancellation is for contracts that have not been offered. Contact us today and we will get you approved with our free microFIT application service. Contracts are limited and only available for the first 5000 applicants each year.
What happens after the government MicroFIT contract expires in 20 years?
Once your MicroFIT contract expires, you will be able to rewire the panels to send the electricity directly in your own home and use the solar power generated to offset your electricity bill. In most cases, the power produced from a solar system can offset 80%-100% of a home’s electricity usage!
How long does it take to install?
Installation is quick, the whole process only takes 2 to 3 days. Engineering, building permit and microFIT contract offer make the whole process take about 4 to 6 months on average. Please refer to the Qualify Page for a list of Project steps.
SOLAR RESOURCES
SOLAR RESOURCES
Solar In the Media
CP24: Electricity bills to increase
Home Value $ : Home Value Calculation
Eco homes : Property Brothers
Home Appreciation : NY Times
Renewable Energy World: Three Ontario Families’ Solar Experience
Forbes: How much do Solar Panels boost home sale prices?
Ontario Climate Change Act : 5 things on Ontario Climate Change Act
The Examiner: Officials say solar projects paying off
Digital Trends: French commercial buildings must have solar panels or plants
Ontario Home Green Audits : Mandatory Energy Audit
Solar Power World: http://www.solarpowerworldonline.com/2016/02/snow-what-solar-works-fine-among-winters-flurries/
Globe and Mail- Ontario Predicts Steady Rise in Electricity Costs for 20 Years
Renewable Energy World- Homeowners Microfit Experiences
CP24- Electricity Rates Set to Increase by $137/per Year
Selling Into The Sun: Price Premium Analysis of Selling Home With Solar
Eco Watch- Solar Employs More Than Coal, Oil, and Natural Gas Combined
Solar Power World – Solar Works Fine Among Winter Flurries
Independent Electricity System Operator
IESO: How MicroFIT Works Video
IESO About MicroFIT: http://microfit.powerauthority.on.ca/about-microfit
IESO 2017 MicroFIT Price Schedule: http://fit.powerauthority.on.ca/sites/default/files/2017-FIT-Price-Schedule.pdf
Province of Ontario
Ontario Ministry Of Energy: Info on FIT and MicroFIT Program
Canadian Environmental Law Association: Overview of Ontario’s Green Energy Act
Ontario Energy Board – Historical Electricity Prices
Would You Like to Speak To Someone?
We’re happy to answer your questions and discuss your options for going solar. Reboot Solar reps are available M-F: 10:00am – 8:00pm EST. Give us a call!