Tesla Energy’s solar program is officially the cheapest and most efficient in the United States due to many developments and innovations in their technology lately. The price of the solar panels offered by Tesla is 30% lower than the average according to CEO Elon Musk. By calculations, the actual price would be down to $1.49 per watt after federal tax.
One factor that lessened the cost was eradicating the middle man. Sales representatives were no longer needed in the selling of the solar panels - everything was done online.
Musk has great belief in their product that he added a lowest-cost guarantee and a money-back guarantee for their consumers in both the solar retrofit and the solar roof. Tesla set the record for low pricing really high for its competitors in the US. It’s almost catching up to the price of solar panels in Australia, which roughly costs $1.05 a watt.
Why does it cost so much cheaper in Australia than in the US? It’s because permits and inspections required for solar panel installation are greatly reduced in the country. In America, the costs vary by state laws.
What Tesla has done to avoid these soft costs is rely on online technology to process orders for the panels. Size and wattage selection is available in the web order form, and the system automatically calculates your total savings for your choice. The application for a permit to install the panels also adds more expenses. This is one of the reasons why people are hesitant to invest in solar-powered living.
“On solar, we’ve also simplified the fulfillment process with a goal of really fast order to install timelines. We’ve done many residential installs with a single visit to a customer’s home because of the reduced complexity,” says Kunal Girotra, Senior Director for Energy Operations in Tesla.
The company also managed to tap into cities and counties all over America to propose a standard, uniform permit for all installations instead of having different paperwork processes for every order. This entirely lessens the waiting game and allows for quicker approval.
Demand for Tesla Powerwall is also increasing in California due to issued incentives.
Tesla is changing the game for the solar energy market in the States. With its goal to become a global commodity, this move will bring in more potential customers with its reduced costs and pave way for greater expansion.
Tesla Energy does not get enough recognition for the work it has done in bringing back the belief in solar power. It has done a revolutionary job of integrating modern technology towards achieving sustainable living. This Tesla venture is well on its way to catching up with its automotive sibling.