Recent headlines warning of a huge hike in energy prices have sent many of us into a panic. The perfect time, you might think, to switch to renewable energy and create a more self-sufficient household.
Not only will you be doing your bit for the planet, you will be doing yourself a favour too: the Sustainable Energy Authority of Ireland (SEAI) grant programme, which runs until 2015, could save you more than €4,000 on the cost of installing renewable technology in your home. What’s more, the right system could reduce your energy bills by ¤1,000 a year.
Yet before you rush to put solar panels or a wind turbine on the roof, or install a high-tech heat pump, there are a few things to consider: what green energy sources will suit you, your home and your family best? How much money will you have to fork out? And, more fundamentally, is it really worth all the hassle?
Our three-part series on turning your home into a power station begins with solar panels. We examine the systems on the market, look at the finances and debunk some common eco myths. We also explain how to avoid the installation cowboys, even if you don’t know your evacuated tubes from your photovoltaic panels.
Solar thermal or Pv?
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There are two main types of solar system. PV uses photovoltaic (PV) panels, made up of semiconducting cells, usually silicon, that convert light into electricity.
The output of PV systems is measured in kilowatts (kW). In the cloudy Irish climate, each kW of installed capacity should generate up to 850 kilowatt-hours a year (1kWh is one “unit” of electricity). The stronger the sunshine, the more electricity is produced. PV panels require, ideally, a south, southeast or southwest-facing roof, with at least five square metres of roof space, although “you can make most directions work, unless it is north-facing”, says Steven Bray, director of Alternative Energy Ireland, which installs solar panels throughout Ireland.
The second type, solar thermal, is by far the most common system in Ireland. It uses panels that harness heat from the sun to warm water, which is stored in a dedicated cylinder separate from your hot-water tank. These panels are either flat plates, which absorb heat through a transparent cover, or “evacuated tubes”, which are essentially glass and copper pipes.
“Homes use a lot of hot water for baths, dishwashers and washing machines and you can save a great deal of money,” says Bray. “You should be able to turn off your boiler between April and October and the system will be working for three out of four seasons, excluding winter.”
Larger solar thermal systems can also be rigged to contribute to spatial heating. This is expensive, however, and requires underfloor heating and a specialist boiler that is four times larger than a standard model.
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Direct sunlight is crucial for any solar system: the sunnier the day, the more plentiful your hot water. For a typical home, Bray recommends an “array” of three to four square metres on a south, southeast or southwest-facing roof. You will also need space for the cylinder, probably in the attic — not so easy if you live in an apartment. On the plus side, solar thermal will work with most conventional boiler systems, but not all combination boilers.
The output of both types of system will be reduced if panels are overshadowed by trees or buildings — and whichever one you choose, your roof will need to be strong enough to take the weight.
“Solar electric [PV] is common in global hotspots like California or Spain, but it’s rare in Ireland because the sun isn’t strong enough, the technology’s not good enough and the numbers just don’t add up. Unlike Britain, where it is heavily subsidised [the UK government pays users 43.3p, or 48c, for each kWh of electricity produced], there are no subsidies for photovoltaic [systems] in Ireland,” says Bray.
“A PV system is only 15% efficient, which means it converts 15% of the power that hits the panel into electricity. Because of this, our weather and the high cost of installation, it takes about 14 years to pay for itself. On the other hand, solar thermal, which heats your water, is 65% efficient and will usually pay for itself within four years.”
Will I need planning permission?
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In 2007, when the Green party was in government, it removed most of the planning barriers to domestic solar installations. So, for arrays of up to 10 square metres, planning permission is usually not required.
It is worth checking with the planners, however, particularly if you live in a historic or scenic area where there might be special rules. In these cases, the local authorities might insist on your array going on the least conspicuous side of the roof.
If you need to make a case for a larger array, you could always mention the eco village in Cloughjordan, Co Tipperary. Two months ago, it began running Ireland’s largest solar array: a “field” containing 500 square metres as part of a communal water heating system.
Roof-mounted panels must not protrude more than 20cm when installed, while standalone ones should not be more than 4m high or within 5m of a boundary.
How much will it cost — and how much will I save?
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A photovoltaic system requires a hefty amount of cash up front and is not grant-aided or subsidised here. If you want to persist, a 2kW system — which should produce about 1,700kWh of energy a year, roughly half the needs of an average household — can cost upwards of €15,000.
According to Bray, it is worth shopping around for any solar system as the price difference between installers and suppliers can be as much as €3,000.
A flat SEAI allowance of ¤800 is available for any solar thermal installation. The standard size is a 3.5-square-metre array, which caters for a household of three to five people and costs about €5,500 with a peak output of 2.35kW. A three-square-metre array costs about €4,500 and a four-square-metre array for six to eight people costs about €6,500.
The savings on hot water vary depending on oil prices, usage and, of course, the weather. However, Bray estimates savings of €700 a year with the standard size of array. The benefits of a four-square-metre system could save you about €1,000.
The cost of installing a system that also heats the rooms — which requires underfloor heating and a specialist boiler — is about €12,000 for an average home. Bray estimates that it will cut energy bills by about ¤500 a year, on top of the hot water savings. The system would take about 24 years to pay for itself.
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Are solar tiles a better idea than panels?
If you are building an extension or replacing an existing roof, you should consider integrated solar tiles because they look much better — appearing to be part of the roof itself. While opinions differ on performance, Alternative Energy Ireland believes that panels perform about 10% better than tiles while costing 30% less on average. Tiles may be your only solution if your house is listed or protected, however.
How long do panels last?
Most solar panel arrays come with 20-year warranties, but the cheapest kits can come with a guarantee of just five years. Most systems are likely to keep working at up to 80% capacity for 50 years. Bray recommends a general service every five years at a cost of about €250 to clean the panels and check the wiring.
Window-cleaning equipment that allows you to clean panels from the ground, using sponges attached to lengthy rods, can be bought online.
Should I act now or wait?
Prices of solar equipment have fallen by about 20% in the past two years, but they are unlikely to fall much further as the industry predicts no big developments, savings or breakthroughs.
“The last big leap in technology was made 15 years ago with the arrival of evacuated tubes. Since then, nothing. Remember, though, that the research departments of huge corporations such as Mitsubishi and Siemens have been all over this for years, so it’s not for want of trying,” says Bray.
“While solar kit and installation prices are unlikely to change much, energy prices probably will go upwards. So I would argue for installing sooner rather than later.”
The SEAI grants are available for another four years.
What if I don’t have the money?
You’ll get €800 from the SEAI, but what about the rest of the money? Credit unions are open to offering loans for solar arrays, on the basis that the technology will help reduce your outlays in the long term.
Last February, Bank of Ireland launched Ireland’s first green equity-release mortgage, which allows you to borrow €5,000 or more for the installation of any home improvements that have been approved by the SEAI. This includes solar arrays. Customers can borrow up to 90% of the value of their home with payments scheduled for periods of between five and 30 years.
How do I find an installer?
The SEAI’s full list of recommended suppliers is published on its website. “This means they are tax compliant and have achieved a level of competency installing solar systems — usually by attending a relevant course,” says Ruth Buggie of the SEAI.
“However, we encourage all homeowners to conduct their own research and to get references. Always insist on a formal contract of works. There is a printable standard version available on our website.”
The SEAI also conducts spot checks on the work carried out for grant-approved installations.
Will solar panels boost the value of my property?
“I can’t say that a solar system adds calculable value directly to a home, but if I had two identical houses on the same road, the one with solar water heating would sell first,” says John Lappin of Property Team Lappin, an estate agency in north Dublin. “In a market where prices are falling, that can mean the difference of a few thousand euros.”
Recent figures from the agency Sherry FitzGerald show that national house prices fell by 15.3% in the year to June — or at a rate of just under 1.3% a month. So a delay of two months in selling a home worth €200,000 could cost the owner €5,000 — the price of installing a solar system.
A solar array will also have a positive impact on the home’s Building Energy Rating, which is likely to influence cost-conscious buyers.
Other considerations
Solar thermal systems that use the hot water generated to heat rooms work extremely well in homes that have been insulated to high standards (for example, Passivhaus designs) or in homes that have been retrofitted with high-performing insulation. Some homes recently built in Ireland are so well insulated that, with the addition of a solar thermal system, they require almost no “active” central heating whatsoever.
Additional reporting: Emma Wells
Carole Morewood, 31, of Terenure in Dublin had her 3.5-square-metre thermal system installed by Alternative Energy Ireland just over a year ago. “I had pledged to become more green, but was more than a little cynical about the effectiveness of solar. Now I think it’s absolutely fantastic. Since March, we’ve had piping hot water every day. I can take a shower first thing in the morning, do the dishes and the washing. It works in winter too, just not so hot. I’d say it’s about 75% cheaper at this time of year.”
At the eco village in Cloughjordan, Co Tipperary, a communal hot water scheme has been running for two months off Ireland’s largest solar panel array. The span of 500 square metres will serve 128 homes, several small businesses, a hostel and a community centre. “We’re charging 3.5c per kilowatt hour,” says resident Greg Allen. “This is a quarter of the cost we pay to utility providers.”