New Energy Solutions
1KOMMA5° Australia
How to Cut Your Energy Costs with a Solar Heat Pump
Key Takeaways:
Significant Energy Savings: Solar heat pumps can reduce your household's energy consumption by up to 50% compared to traditional electric heating systems. They offer a more sustainable and cost-effective option for heating and cooling your home.
Lower Operational Cost: When paired with a solar panel system, a solar heat pump can operate using minimal electricity from the grid, typically costing just 30-50 cents per hour to run.
Long-Term Investment: With proper installation and regular maintenance, solar heat pumps can last up to 20 years. Adding a solar battery to your system can further enhance efficiency by storing excess solar energy for use when sunlight is limited.
Other Helpful Articles:
What Is a Solar Heat Pump?
A solar heat pump is a game-changing solution for Australian households looking to reduce energy bills while enjoying the benefits of a comfortable home. It combines two efficient technologies: solar panels and a heat pump system. Together, they work to heat or cool your home using minimal electricity—much of which can come directly from the sun.
Why does this matter to you? Heating and cooling typically account for 40% of a household's energy use. Powering a heat pump with solar energy reduces your reliance on grid electricity.
Solar Heat Pumps vs. Traditional Heating and Cooling Systems
The main difference between solar heat pumps and traditional heating and cooling systems is their energy source and efficiency. Conventional systems like gas heaters and electric air conditioners rely on fossil fuels and consume loads of energy. These systems likely contribute to high energy bills and carbon emissions, while electric systems pull heavily from the grid, further driving up costs.
In comparison, an electric air conditioner can cost you $1.50-$2.50 per hour to operate, depending on its efficiency and the electricity rate in your area. With Australia’s electricity costs averaging 25 to 45 cents per kWh, depending on the region and tariff plan, this can add up quickly.
On the other hand, a heat pump, primarily running on solar energy, could cost as little as 30-50 cents per hour, especially during sunny days when your system is powered mostly by the sun.
Let us look at another angle on how traditional cooling and heating systems differ from solar heat pumps:
Versatility: Most traditional setups require separate systems for heating, cooling, and hot water, which not only increases upfront costs but also complicates maintenance. A solar heat pump, however, offers an all-in-one solution. They are capable of handling heating, cooling, and even hot water needs. This streamlined approach simplifies home energy management while saving on installation and maintenance expenses.
Durability and Maintenance: Traditional systems often require frequent servicing. Gas heaters need regular checkups for safety and efficiency, and air conditioners may incur costly repairs over time. Meanwhile, solar heat pumps are designed for longevity and minimal upkeep. This system experiences less strain and wear with the added benefit of being powered by solar panels.
Benefits of Solar Heat Pumps in Australian Homes
Heat pumps are known for their efficiency, but they still rely on electricity to run. Pairing a heat pump with solar power allows homeowners to draw on free energy from the sun.
Having a system that provides comfort throughout the year without causing a spike in your energy bills is the dream. A solar heat pump system makes it possible to heat and cool your home sustainably using the power you generate. It’s an eco-friendly way to achieve comfortable living that doesn’t come with hefty energy costs.
Switching to a solar heat pump means comfort and savings can go hand in hand. It’s a choice that aligns with financial and environmental goals, making it ideal for modern, sustainable Australian homes.
How Solar Heat Pumps Work to Save You Money?
Efficient Heat Transfer
Unlike traditional heating systems that generate heat by burning fuel or consuming large amounts of electricity, heat pumps work by transferring heat. They draw heat from the air or ground outside your home and pump it inside, or vice versa, depending on whether you need heating or cooling.
This process is much more energy-efficient and requires only a small amount of electricity to move heat rather than generating it from scratch. A heat pump can use up to 50% less electricity than conventional systems like electric heaters or air conditioners.
Solar-Powered Operation
The real game-changer happens when you pair a heat pump with a solar panels. During the day, when sunlight is abundant, your solar system can power the heat pump directly. It drastically reduces your utility bills, especially during peak energy usage times when electricity prices tend to spike. On average, households with solar panels can reduce their energy costs by 50-70%, depending on their consumption and system size.
Considerations Before Installing a Solar Heat Pump in Your Home
Switching to a solar-powered heat pump can offer incredible benefits. We need to assess these factors to reap all these benefits:
Sizing Your Solar Panel Array for Optimal Heat Pump Performance
The size of your solar panel system should be adequate to power your heat pump efficiently. Typically, a heat pump for a household will require a solar array with a higher energy output than a standard home solar system. Consulting a professional for a customised recommendation based on your home’s size and climate will help you generate enough power to run the heat pump consistently.
Consider Installing A Solar Battery
A solar heat pump system performs best with a steady energy supply, which solar batteries can provide. Adding a battery to your system means you can store excess energy produced during sunny days and use it to run the heat pump when sunlight is lower. Your heat pump can work efficiently throughout the day and night, offering true off-grid comfort.
Assessing the Heating and Cooling Demands of Your Home
The effectiveness of a solar heat pump system can depend on your household’s heating and cooling requirements. Homes in warmer climates may need more cooling power, while homes in cooler climates might rely more heavily on heating. Knowing your energy demands can help tailor the solar panel and heat pump setup to fit your home needs.
Make Your Solar Heat Pump Investment Last
A solar heat pump is an investment, so it is practical to consider longevity. On average, a well-maintained heat pump system can last up to 15-20 years. Securing your solar heat pump system from a reliable brand can improve its lifespan. With professional installation and ongoing support, you can reap the long-term benefits of a solar heat pump.
At 1KOMMA5°, we offer more than top-tier solar heat pump solutions. We provide a complete energy ecosystem designed to work seamlessly together. Our expert installation services and comprehensive support ensure that your system operates at peak efficiency for years. From high-quality solar systems to efficient heat pump systems, we deliver a holistic solution for Australian homes.
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FAQ
Frequently Asked Questions about Installing Solar Power
There are great government rebates/incentives still in place for eligible households. Basically, the larger the panel array, the more STCs your solar system generates as it is based on the expected output of the system over time.
When you buy a solar system, the purchase price is normally reduced by the value of the STCs created by your system. You simply fill out a form on the day of installation to confirm that the system has been installed, and that’s it. There is no additional paperwork that you need to do.
Small-scale Technology Certificates (STCs)
Small-scale Technology Certificates (STC’s) – previously known as Renewable Energy Certificates or RECS – are created when a Renewable Energy System such as a Solar PV system is installed.
The number of STC’s depends on the predicted amount of energy generated and hence the larger the system the greater the rebate. In essence, one STC is created for every megawatt-hour of production capacity of the system.
This is further multiplied by the number of years the system is likely to generate energy (for home solar systems, this is usually 15 years, although the life of the solar panels themselves is considerably more than that).
This incentive program is being phased out until 2030, so each year the number of certificates your system is eligible for reduces.
STC Price
The system for trading and pricing STCs for small systems is managed by the Small-scale Renewable Energy Scheme (SRES).
STCs are bought by Liable Parties (usually electricity retailers) and must be surrendered at the end of each quarter. As the number of STCs that are required to be surrendered is a fixed amount each year, but the number of STCs created is variable, the price paid for STCs also varies and is determined by supply and demand.
The Federal Government legislated in 2010 a fixed price for STCs by implementing a Clearing House system where STCs can be bought and sold for $40. However, there is no requirement for Liable Parties to purchase from the Clearing House, so they are likely to only do so if there is a shortage of STCs or the market price exceeds $40. There is currently a surplus of STCs in the market which means the market price of STC’s below $40
The Feed In Tariff is only something you need to worry about if you don’t have battery storage.
The price your chosen energy retailer pays for any excess electricity generated from your solar panels is recorded as a credit on your power bill.
In NSW, solar power is fed into your home as it is generated and your household will use it first before you draw power from the grid.
This means that for every kWh of solar power used in the home you are directly saving money you’d spend on your power bill. This reduction in your power bill is the main financial benefit of solar power.
Everything else will be bought up at an agreed rate by your electricity retailer.
At the moment, most feed-in tariffs are between 5 and 10 cents per kWh, with many being about 7 cents. They bounce up and down a lot, for example in previous years they have been up over 20 cents per kWh. Typically, they are always at least 5 cents per kWh.
Once you sign up for a 1KOMMA5° Installation, we immediately submit your grid application to the relevant energy distributor. For systems up to 5kWs, this is a formality. For larger systems it can take a few days or more. Once we receive approval, your installation will be managed by our installation coordinator, who will welcome you to 1KOMMA5° and book an installation date for you. This is generally booked within around two weeks and installation dates are available Monday to Friday, weather permitting.
We endeavour to have your system installed within 2-4 weeks unless you request us to hold for whatever reason. Due to our strict safety policy, we do not install solar systems when it rains. In the event of inclement weather, we will rebook your installation as soon as possible. We always work with your requests as we strongly recommend that someone be home on the day of installation.
Green Loans can be an affordable way to pay for your solar power system and is only available for approved products. As a Clean Energy Council Accredited installer, all our systems qualify.
Green Loans can be used to finance 1KOMMA5° systems from $1,000 to $30,000 over a 2-7 year term. Once you have received a referral from 1KOMMA5°, online approval usually occurs within 1-2 business days. Green Loans have a competitive fixed interest rate that is as low as 7.99% p.a.* | Comparison rate 9.21% p.a.^ Establishment fee of $299 added to the loan amount. $2.70 per week account keeping fee included in repayments.
To be eligible to apply you must:
Be over 18 years old and an Australian resident or citizen
Own or be purchasing a home
Be employed, self-employed, a self-funded retiree; or is receiving the Government Age Pension
Have an Australian driver’s license or Passport
Provide two most recent payslips or 90 days of bank statements
There are a number of good, competitive Green Loan providers – ask us about the options available.