In terms of the top solar markets, the “Big Five” have historically been California, Arizona, New York, New Jersey, and Massachusetts. In 2020, we will be seeing new growth in Florida, Texas and Nevada. These states have a markedly different profile than the legacy markets that have driven growth to date.
Aaccording to Wood Mackenzie data, these emerging markets have very low penetration levels. For example, nearly 17 percent of the total addressable market in California has adopted solar. In Arizona, NY, NJ and MA (the remaining legacy markets), they range from 3.5-10.5 percent market penetration. By comparison, Florida and Texas are at 1 percent market penetration.
In California – it’s official. Solar will be required on new California homes starting in 2020. According to Kelly Knutsen, Director of Technology Advancement for the California Solar & Storage Association (CALSSA), homeowners would save $40 dollars each month. This translates to roughly $500 per year, due to these new standards.
Many resale homes do not come with solar. However, solar is a very attractive option for new homeowners. This is because the cost to add an energy efficient solar power system would add roughly $40 per month to the mortgage payment. At the same time, with a projected savings on the homeowners’ energy bills expected to be about $80 per month.
With solar power, energy efficient homes will definitely save families money on their energy bills. And this is from the moment they walk through their front door. Home buyers can also have a solar plus storage option. This allowstheir home-grown clean energy to work for them day and night.
What does this mean for Solar Energy Marketers?
California is still one of the top solar markets for 2020. If you’re in California, you need to reach out to homeowners in your area right now. You definitely need to get your foot in the right doors. Currently the solar industry installs solar on roughly 150,000 new and existing homes in California each year. Roughly 15,000 of those projects are new homes. 135,000 installations on existing homes.
If you’re in Florida, legislation has recently changed. Florida is now in the top three states in America for the installation of solar panels for residential homes. Florida isn’t called the sunshine state for nothing. Solar is becoming a more viable option for residents all across the Sunshine State. This is especially true for eco-friendly households.
Today Florida doesn’t have clean-energy targets. It ranks third in the U.S. in terms of potential rooftop solar installations. This is according to the Solar Energy Industries Association. Projections call Florida to become one of the top solar markets for 2020.