How do you define solar power as “soft costs,” and why are they important? This article explains how soft costs affect the price of solar power systems. We look at some new methods being developed to reduce the soft cost and maintain the rapid growth of solar energy across the United States.
What are soft costs?
Soft costs refer to the non-hardware expenses related to going solar. These include permitting the installation, financing, and permitting solar systems, and the charges solar companies must incur to find clients, pay their suppliers, and pay their bills. The above “soft costs” are tacked on to the total cost a consumer must pay for a solar power system.
It’s no secret that prices for solar energy have dropped dramatically over the past five years. But, prices will have to continue falling to achieve The SunShot Initiative’s objective of making solar power more affordable than conventional electricity in 2020.
SunShot Driving Solutions
Through a variety of financing programs through a range of funding options, the SunShot Soft Costs team works with a variety of funding programs. SunShot Soft Costs team collaborates with all the various stakeholders to discover innovative ways to save money for solar businesses and customers.
The solar industry draws on the imagination of American businesses and young entrepreneurs to enhance operations and boost profits. With the help of software, solar firms increase sales leads, improve the management of their portfolios and help make financing more manageable. Digital solutions help make business operational efficiency more efficient. Efficiency increases, which means they can pass on savings to their clients.
From Permit-to-Plug-in
Due to the variety of jurisdictions, utilities, and laws in each state and locality, companies don’t follow a standard procedure or method to bring solar clients on the internet. This means consumers experience a lag between when they purchase the solar system and when it’s installed. This is an unpleasant experience and increases the cost.
Additionally, support is required for local and state government bodies that are just beginning to explore solar. SunShot’s technical assistance programs work with skilled solar experts to provide governments with the expertise and tools to launch their solar initiatives. Solar has a greater chance of thriving if there’s an easier path for solar customers, new companies, and local leaders.
We’ve also recently launched our SunShot Prize: The Race to 7-Day Solar, A national prize competition that encourages utility companies, communities, and companies that sell solar to join forces to make solar systems operational within seven days.
Training the Workforce of the Future
In addition, solar businesses cannot grow without highly skilled employees who can perform their duties on the day of their employment. Today, the solar sector is fueled by 200 thousand Americans and expands quicker than the U.S. economy. We must reduce any gaps in training so that solar firms can easily find new employees and develop at their speed.
Solar energy also affects many workers in related industries, like real estate agents, code officials, and firefighters. They aren’t directly involved in solar energy but must know how it impacts their daily tasks. By educating these professionals, we can also enhance solar sales, speed up the installation process, and cut costs across all levels of the value chain.
Please find out more about the unShot Soft Costs team and apply for their most recent initiative to expand your understanding of the latest developments in solar technology and enhance the state’s energy planning practices.