Solar panels vs Insulation, what should you do first?

You hear it everywhere in recent years. ‘Preserve your home, it will make you money!’ The
ads must be flying around your ears. Solar panels here, solar panel there, is your house
insulated yet?

I am a proud resident of a decadent rental house in the middle of Gouda in the Netherlands.
The house I rent is from the construction year 1955. The only decadent thing about the
house is its robust ’50s feel. The first year I was shocked when I saw the consumption of the
previous tenants. With relatively low electricity consumption and gas consumption of at least
5 people. The previous occupant lived alone with no roommates.

Fortunately, last 2021 the landlord gave the house cavity wall insulation. Outfitted with new
plastic window frames and HR++ glass, we are heading into winter in 2021. That got me
thinking. Which is better for your household? Solar panels or Insulation?

Solar panels vs. insulation

Making your home more sustainable is a good idea. By using less energy or generating your
own, you pay less to your energy supplier. Insulate your home or get solar panels. Drive an
electric car and you are ready for the energy transition. Of course, this is easier said than
done.

To lower your energy bill you can do several things. In a nutshell, this comes down to using
less energy or generating your own. When you put solar panels on your roof you generate
electricity. When your home is insulated, you will use less energy.

To understand which option is best for your situation you need to consider these things:

1. Cost of solar panel installation
2. Cost of insulation
3. Personal situation
4. State of the home

To determine the cost, we’ve provided some estimates for you. Still, when requesting quotes,
you will have a more realistic view of the costs. That’s because every situation is different.
Averages do not take this into account.

How much will you save with solar panels?

By generating your power, you don’t have to pay this to your energy supplier. You start
saving right away. The investment pays for itself within 6-10 years. The payback time of an
installation depends on the following:

● the price of the panels
● the energy price
● The location of the panels
● the type of inverter
● whether you have received a subsidy

On average, solar panels last 25 years. After this period, the generation of the panels slowly
decreases. This means that on average you will enjoy 15 years of profit from your
installation.

Still, for many households, it may be better to insulate the house first. Gas still costs more
than electricity. The price of gas has already increased sharply in 2021. This is currently
hitting countless households deep in the wallet.

By insulating your home, you reduce costs. This is because less energy is needed to keep
your home warm. This is because the heat stays inside more easily.

How much does insulating your home cost?

On average, home insulation costs $3,500. From a minimum of $500 to a lot more,
depending on the area. The price of insulation also depends on what you want to insulate.
Per m², the price is between $8 and $130. For example, having a cavity wall insulated is
cheaper than having your facade insulated. In addition, the type of insulation material plays a
role. See below the average insulation prices per m².

Read more on request in connection with respecting my client’s wishes.