This topic explains how and why solar saves money by reducing or eliminating your utility bills
“Considerably reduce or completely eliminate your utility (electricity and gas) bills with solar energy”
If you own a property (residential, commercial or industrial) in Pakistan, utility bills take up a huge portion out of your monthly budget (income or savings). In Pakistan, utilities which are supposed to be a basic commodity are very expensive and not everyone can afford paying such high prices every year.
A study by the Islamabad Policy Research Institute (IPRI), an independent and non-partisan think-thank shows that energy demand in Pakistan is increasing every year by more than nine percent (9%) and is likely to increase 8-fold by 2030 and 20-fold by 2050 in Pakistan.
One of the major reasons of using solar is that you can to considerably reduce or significantly eliminate your utility bills. A lot of research is being carried out in developed countries like the U.S to prove just that, even though utilities are comparatively stable and predictable there.
For a Pakistani homeowner, an average monthly electricity bill of Pakistani Rupees fifteen thousand (PKR 15,000/-) adds up to PKR one lac and eighty thousand (PKR 180,000/-) in twelve (12) months. Further adding that up (without considering inflation) in twenty plus (20+) years amounts to PKR thirty six lac (PKR 3,600,000/-).
To summarize, you’ll be paying your utility companies (IESCO, LESCO, K-Electric, SNGPL, etc.) PKR 180,000/- each year and in twenty plus years you will be paying them PKR 3,600,000/-. Using a customized solar energy system makes you less susceptible to the rising cost of utilities and even takes you out of this cycle.
By using solar energy, you can eliminate your utility bills completely or reduce them considerably until they are no longer a significant factor in your budget. Your savings with solar depends on different factors, like how much energy your system produces and how much you consume, but the biggest factor is the rates you would otherwise pay to your utility.
Ask yourself a hypothetical question; is the cost of a Toyota Corolla the same it was twenty years ago? Common-sense says it’s not. Why is that? This is mainly due to inflation. Don’t worry you have no direct control over inflation; It’s the government that makes the policies and drives the economy.
Taking this example, just imagine what would your utility bill be, say five (5) years from now? The current market trends indicate they would definitely be much higher. Over the last ten (10) years, residential electricity prices have risen up at an average of 9 percent (9%) annually and the utility companies are known for their fluctuating and unreliable prices.
Keeping this in view, if you invest in a solar energy system now, it would first pay off your utility bills plus it would also keep you secure from unpredictable and additional expense you incur in the next twenty plus years.
With solar, it makes perfect sense to be less dependent or completely independent of your utility service provider. It also provides relief to your utility companies by removing blockages and bottleneck in their distribution network. So you’re helping Pakistan as well.
Note that an average lifecycle of a solar energy system is over twenty years. Even if you aren’t hundred percent (100%) on solar, you can still save money by lowering the units you consume through your local utility.
Reducing high monthly expenses sounds logical and makes perfect sense. What if, the utility service in your area is down?