How to save money on your energy bills and reduce your carbon footprint
Using solar energy isn’t only good for the environment. Over the long-term it can help save money on your energy bills.
By 2050, the government wants to achieve its net-zero target. It’s a goal set-up to combat climate change, and by this date the UK aims to no longer add to the greenhouse gas emissions in the atmosphere.
Part of the strategy to achieve net-zero is to shift the country’s dependence on fossil fuels to more sustainable solutions.
Fossil fuels are natural sources of energy – such as coal, oil, and gas. It makes up nearly 80% of the UK’s energy consumption but is also known to be one of biggest contributors towards greenhouse gas emissions.
So, one way households can reduce their dependence on fossil fuels is to switch to a renewable energy solution – like solar energy.
While you might believe making this change will be a costly endeavour, it can save money in the long-term.
Why install solar panels?
Installing solar panels is cheaper than you may think.
That’s because energy generated from the sun is free, so you only need to consider the costs of installing solar technology.
While these upfront costs can be hefty, if you’re not spending money on electricity each month then these funds could be used to finance the costs.
And once you’ve paid off your financing, then you can enjoy this money as an added boost to your finances each month.
Who are Egg
Egg is a renewable energy brand with a focus on solar power. It offers businesses and households across the country solar panel, battery storage, and EV charging solutions.
Make sure to fill out their online questionnaire to get a free solar panel and battery storage quote. And, with knowledgeable experts at hand, their staff is always at hand to help with any queries.
How much does it cost to install solar panels?
While the cost of installing solar panels starts at £4,500 with egg, your quote will range greatly. Ultimately the cost you pay depends on a variety of factors, like the size of your property, whether your roof is in direct sunlight, and the type of solar panel chosen.
But to illustrate how much financing could cost a month, imagine a home is installing technology worth around £8,500.
egg’s financing could spread the cost of this between five, 10, or 15 years at a rate of 10.9% APR. Some personal loan financers don’t offer terms as long as this.
It means your monthly payments would be between £93 or £182, depending on your term.
By contrast, energy prices through a supplier fluctuate if you’re on a variable tariff. And from April it’s rising again.
According to Ofgem, the industry regulator, the average household uses 2,700 kWh of electricity a year. That works out to nearly £950 over the 12 month period based on the energy price cap from April, or £80 a month.
Remember, while you may pay more for financing your solar panels – eventually your payments will come to an end.
How can I break even faster?
There are ways to break-even faster if you use solar energy.
One is to make use of the Smart Export Guarantee – a government backed scheme where any excess electricity generated can be redirected onto the National Grid. Energy suppliers can then pay you for using your excess electricity – with rates varying from 3p per kWh to 21p per kWh you export. .
Depending on your supplier, this means you could earn between £45 and £315 a year if you export 1,500 kWh of electricity into the national grid.
Determining your household’s carbon footprint through its electricity use can be difficult. You might easily find your electricity consumption through your statements, but then breaking this down by fossil fuel is likely trickier.
Generating power through coal emits a different amount of CO2 than oil, for example. And even if you can find this information, you might need the precise type of coal to get an accurate estimate.
But according to ITP Energised, an energy consultant, around 217 grams of CO2 is emitted for every kWh of electricity produced in the UK. So, based on Ofgem’s average electricity consumption of 2,700 kWh a year, the average UK house emits 586 kilograms of CO2 in this period.
If your household switched to solar energy, this figure falls to almost zero.
Reducing your carbon emissions by this amount is effectively the same as stopping a return flight from London to Madrid.
Get a quote for your solar panels.
Important information
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