Personal Finance

Will you save money when plug-in solar panels appear on store shelves?

Will you save money when plug-in solar panels appear on store shelves?
Plug-in solar panels will be available for purchase in supermarkets and hardware stores starting on August 27

We look at the potential impact on your energy bill.

Next week, households will have a new energy-saving option: plug-in solar panels that they can purchase at the grocery store.

With Ofgem's price cap still high, energy bills have increased recently due to the Iranian conflict and the cost of living crisis.

Rooftop solar panels are frequently cited as a green solution that may lower your electricity costs.

However, many lack the roof space or authorization to install them, and not everyone can afford the initial expense.

Watch the entire video here. However, starting on August 27, stores like supermarkets and hardware stores like BandQ and Lidl will be able to sell plug-in solar panels due to changes in government energy power regulations.

These can be set up in gardens or on balconies to harness solar energy.

What does a plug-in solar panel entail?

Compared to rooftop solar panels, plug-in solar panels are smaller and less potent.

They are widely used throughout Europe, but until regulations were changed, they could not be used in the UK.

Instead of fastening it to your roof, you can use a cable that plugs directly into a standard socket to connect it to your mains from a common sunny area in your house, like a balcony or garden.

The idea is that those who live in apartments or are unable to install solar panels on their roof, such as renters or leaseholders, can still attempt to lower their energy costs by switching to solar power.

Electricity is produced from sunlight, much like a rooftop panel.

However, there are some differences: the rooftop models allow you to store power in a special home battery, whereas the plug-in panels cannot. As a result, you must be at home to use the power while it is being generated.

How much could a plug-in solar panel save you?

According to government estimates, the panels could result in annual energy savings for households of between £70 and £110.

But there are other expenses as well. The kit will need to be purchased, and it should cost between £400 and £600. To install it, you will also require a skilled craftsman.

Breaking even could therefore take several years.

Anything that is plugged in will use energy from the panel before drawing it from the National Grid and your main bill, so the savings will ultimately depend on how much energy you use.

Does a solar panel that plugs in make sense?

According to the Energy Saving Trust, installing a rooftop solar panel can cost up to £6,000, so a plug-in panel is initially less expensive.

However, the ability to save energy is reduced.

The plug-in panels' maximum power has been set at 800 watts.

According to the website Money Saving Expert, that amounts to two kilowatt hours of electricity per day, whereas the average household in the UK uses 7.4kWh.

Additionally, since the panels don't store energy, it's best to use them while you're at home so you can take advantage of the power they produce.

Depending on the terms of their rental or lease agreements, renters and leaseholders may also need permission to install a plug-in panel.

The founder of green energy provider Elite Renewables, Martyn Fowler, stated: "Using electricity while it is being generated maximizes its value. You have avoided purchasing electricity from your supplier if the system generates a unit and you use it in your home.

"The most beneficial homes are those with a consistent daytime load. Compared to a property that is left empty all day, a person who works from home is probably going to use more of the generation."

Orientation is important as well.

"Over the course of the year, a panel mounted vertically on a balcony will generate less than the same panel at a good angle facing south," Fowler continued.

"A practical way to get started with solar is through plug-in solar. Although it won't change your energy bill, it can be a cheap way to start producing some of your own electricity and cut back on grid usage."