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Going Solar

Solar hot water is becoming more and more common in Australian homes due to its being environmentally friendly and also its ability to save money on the electricity bills.  Read on to find out more about going solar.

Choosing a Solar Hot Water System

The majority of solar hot water systems are the traditional flat plate systems that have solar roof panels that collect the heat of the sun during the day to heat the water.  They have electric or gas boosters for when there is an insufficient amount of sun.  The other major design is the heat pump water heater.  These act like a reverse cycle air conditioner in winter – extracting heat from the air and transferring it to water in order to heat it.  Both of these systems reduce our reliance on fossil fuels and can save up to $700 per year on the electricity bill.

Ensuring that your Solar Hot Water System is the Right Size

When buying a solar hot water system, you want to ensure that you are buying something that is suitable for your household – not too big and not too small.  Generally speaking, one person will use around 50 litres of hot water per day.  If you take long showers, have a dishwasher, or often wash clothes in warm or hot water, you may use more than that.  Based on a 50 litre per day level of consumption, the average four person household will need about four square metres of solar collector area (two panels) and a 300-360 litre tank.  This will allow for days with lower radiation or higher demand.  Heat pumps don’t rely on the sun so a slightly smaller system is sufficient – 270-315 litre tank for four people.

Installing the Solar Hot Water System

The installation costs for solar hot water systems vary according to the type of system.  Heat pump systems are generally the cheapest to install at around $200-$300 dollars while the traditional roof mounted systems cost around $400-$600.  Systems that have one part on the ground and the other on the roof can cost up to $700 to install.  The prices will vary according to your situation.  For example, if you are installing a roof mounted system, your roof may first require reinforcement.

Questions to ask your solar hot water system installer include the following:

• Will the installer facilitate the complete process?  This includes tank selection, installation, and obtaining rebates.
• What experience does the company have in installing solar hot water systems similar to yours?
• What warranty does the solar hot water system have?
• Ensure that the competing bids for the installation are in the same format so that you are more easily able to compare quotes.
• Get itemised quotes so that you can evaluate the costs of all of the different components of the system and installation.

Solar Hot Water Rebates

The Australian Government is giving a $1000 rebate to eligible people to install solar and heat pump hot water systems to replace electric storage hot water systems.  This rebate is offered for systems installed on or after July 18, 2007, to March 2012, subject to the availability of funds.  To be eligible, it needs to be installed by a suitably qualified person such as an electrician or plumber, and be eligible for at least 20 RECs (renewable energy certificates).  The solar hot water system must be installed in your principal place of residence and the applicant’s taxable family income must be less than $100,000 in the most recent tax year.

As well as the federal government rebate, some states will also give you an additional rebate, saving you even more money on the cost of your solar hot water system.  For example, in NSW, a rebate of up to $1200 may be available, depending on the amount of RECs that you have.  In Victoria, households may be eligible for a further rebate of up to $1000.  In Western Australia, households may be eligible for a further rebate of up to $700.  Contact your hot water system supplier to find out more information that is relevant to your state.

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