Get the Most Return on Your Investment through Microgrids
With the rising cost of energy, the availability of new technologies, and a greater desire to become eco-friendly, homeowners are turning towards microgrids. While microgrids might represent some hefty upfront costs, they help countless people lower their energy costs and improve their home value in the future.
At Waston’s Charging Stations & Electric, we have helped numerous families, property investors, and businesses in Gilroy, CA, and the Santa Clara Valley area increase their property values through the electrification movement. We can help you explore the entirety of microgrids and design the perfect system for your needs.
Read on to learn more about how microgrids can generate economic value for your property.
What Are Microgrids?
Microgrids often referred to as nanogrids, are independent power frameworks that deliver power to a single property. Microgrids in the US are usually made up of solar panels, energy storage systems, whole-house generators, and other elements of electrification, like electric vehicle charging stations and smart home automation equipment.
A nanogrid exists outside the larger power grid, even though it can still be attached to it. Homeowners can enjoy the flexibility of a self-contained power grid with the peace of mind of the larger power grid on standby.
Nanogrids are becoming increasingly popular among property owners as costs rise and local utility grids grow less reliable. Throw in advances in electrification technology, and the value proposition for microgrids increases.
The Need for Microgrids
Nanogrids might seem like some luxury item meant for those who crave novelty. In reality, microgrids are becoming more of a necessity today. Hospitals and data centers worldwide have relied on solar microgrids for years.
Microgrids are in higher demand for homeowners today for three main reasons.
Soaring Prices of Energy
According to the US Energy Information Administration, electricity costs are expected to continue to rise into 2023 and beyond. The EIA estimates that electricity costs could go from a low of $41 - $51 per megawatt-hour to $66 - $153 per megawatt-hour. If prices continue to climb, homeowners will struggle to keep the lights on without hiring their wallets.
Deciding Grid Reliability
Many of our current electrical grids are on the verge of collapse. The North American Reliability Corporation (NERC) reports that many parts of the West, including California, will be unable to meet energy demands. Climate change and extreme temperatures exacerbate the problem, meaning communities across the West will experience more rolling blackouts and grid failures.
As property owners prepare for future problems, microgrids become a present solution to build autonomy from unreliable grids.
Tax Rebates
The federal government and many local governments want to help encourage residents to turn towards electrification to help reduce our reliance on fossil fuels. President Biden recently signed the Inflation Reduction Act (IRA), which focuses on several tax incentives and rebates for going green.
Property owners can earn incentives, rebates, and discounts for energy-efficient home and business upgrades. For example, homeowners can earn a rebate of up to $1,000 to cover the costs of adding a Level 2 EV charger to their homes, and commercial businesses can expand that to $30,000. Taxpayers can reduce their tax burdens by going solar, switching to electric appliances, and upgrading their electrical service panels.
Those who embrace the need for microgrids have an opportunity to save on equipment and installation via the IRA. It has never been a better time to enhance a property.
Electrified Homes Are Worth More
Modern home shoppers are not just looking for move-in-ready homes with a fresh coat of paint and excellent curb appeal. Recent studies show that upwards of 81% of home shoppers want a house that already includes green, smart technology. Data also suggests that homes that already have a Leve 2 electric vehicle home charger sell for 13% more on average than other houses in similar areas. This data further shows that 76% of homes with an EV home charger saw an increase in value, even though they are not for sale.
It makes sense that electrified homes would earn a higher return, and smart homes are less expensive and more convenient to maintain. The National Renewable Energy Laboratory (NREL) found that every dollar saved in utility costs through eco-friendly technology increases the home’s value by $20.
Microgrids are the center for cost-effective homes. A microgrid makes the most of your renewable energy source. Take solar power, for example; some argue that solar power is an inefficient way to power a home or business. When the sun is not visible, solar panels are not producing energy.
Microgrids use energy storage solutions to store energy created during the day, which is then distributed as needed. When combined with a solar house battery backup system, a microgrid can keep the lights on for days or weeks without needing sunshine. When a microgrid is connected to your area’s larger electric grid, you can store energy during cheaper, non-peak hours for use when electricity costs are higher.
Of course, location plays a role in how well microgrid energy helps the value of your property. States in the West statistically get more sunshine than states in the East, and California is ranked as the 5th sunniest state in the country, which makes it an ideal place to set up solar-powered microgrids.
Watson’s Charging Stations & Electric: Your Guides to Electrification
If you are in Gilroy, CA, or the Santa Clara Valley area and considering upgrading your home, let Watson’s Charging Stations & Electric be your guide. We have worked with countless families and businesses to enhance their properties with eco-friendly, cost-saving upgrades.
Even if you do not have solar panels, you can enjoy the benefits of microgrids. Better yet, you can future-proof your house against higher prices and failing grids. When the time comes to take out a home equity loan or sell your property, you will be glad that you got ahead of the game and electrified your home.
Give us a call today to schedule your free consultation and learn more about microgrids can take your property into the future.