Complete Guide For Solar Power Yukon Territory 2020
Congratulations! You’ve found the ultimate guide for going solar in the Yukon Territory!
The Yukon Territory is currently ranked the #4 province/territory in the country for installing a solar power system, scoring as one of the best provinces/territories for cash incentives and utility-related factors.
This page contains all relevant information about installing solar in the Yukon Territory including utility policies, system financing, solar incentives, and natural factors – updated as of May 1st, 2020.
The guide begins by answering the two most common questions about solar systems, then it explores each solar ranking factor.
You can read from top to bottom, or skip to your preferred section by clicking on it below:
Common Solar Questions
When thinking about solar power, the first two questions that often come to a person’s mind are:
- “How big does my system need to be?”
- “How much will it cost?”
You can answer these questions in three basic steps:
1. Sizing Your System
To determine the size of system that you need, you only need to know how much energy you use during the course of a year. Your monthly Yukon Electrical Bill will show your usage (in kWh) similar to the photo below:
You can calculate your annual energy by adding up the amount shown for 12 consecutive months. Don’t make the mistake of multiplying a single month by 12 – usage fluctuates greatly depending on the season.
You can calculate the size of the solar power system that you’ll need with the following equation:
Size of system needed (kW) = yearly energy use (kWh) / annual equivalent full sunlight hours (h)
(annual average ‘equivalent full sunlight hours’ in the Yukon Territory = 965h)
For example, let’s pretend that you added up your power bills and determined that you use 10,000kWh over the course of a year. You would then do the above calculation and determine that you need a 10.36kW solar panel system!
10,000kWh / 965h = 10.36kW
2. Physical Sizing
Now that you know the size of your system in units of kW, you can determine how much space the system will require by converting it to units of sqft.
The average solar panel is approximately 18sqft in size (including some buffer room for racking and spacing) and produces about 300watts of power.
The equation to calculate the space that your solar system require is again simple:
Physical space required = size of system needed (in kW) / size of panel (in kW) * physical size of panel (in sqft)
(average size of panel = 0.3kW, average physical panel size = 18sqft)
Let’s continue from the previous section and assume that you need a 10.36kW system. You would do the above calculation and determine that you need 622sqft of space to install your system!
10.36kW / 0.3kW * 18sqft = 622sqft
(note that 300watts equals 0.3kW)
If you’re putting solar panels on your roof, you should know that:
- A south facing roof is best, east and west facing are good, but north is not great
- You may need to replace your shingles (or entire roof) before installing – because panels are guaranteed for 25 years!
If you’re putting solar panels on the ground, you should know that:
- These systems are more expensive upfront due to piling, mounting , and trenching requirements
- They are more efficiency because they can be easily placed to the optimal direction (south), the optimal angle (~45°), and to avoid shading
- Thus, these systems are more efficient and have better lifetime IRRs and NPVs.
Most residential homeowners in the Yukon Territory put solar panels on their roof. Rural property owners put systems on the roof of their house or shop – or on the ground in their yard.
3. System Costs
The last piece of basic information that you’ll want to know is an approximation of how much your system will cost. To calculate this, you just need to know the size of the system in units of kW.
The rough calculation is simple. Just take the size of your system and multiply it by the $3.07/watt – the average cost of installing a solar system in the Yukon Territory.
You can calculate your total system costs with the following equation:
System cost = size of system needed x cost per installed watt
Continuing with our previous example, we can see that a 10.36kW system would cost approximately $31,805 to install.
= 10,360watts x $3.07/watt
Note that the exact price of the system depends on several factors including the system size, the quality of equipment used, and the complexity of the job.
Even the range in the chart above is just an average – installation prices can easily go as high as $3.50+/watt for premium equipment and high quality installers.
Every year, we score every province and territory in Canada on the relative feasibility of installing a solar power system. This year, the Yukon Territory scores #4, receiving a total score of 73/100.
The remainder of this guide explores each ranking factor individually, while also providing important information about installing solar in the Yukon Territory.
(if you want to learn how we score each factor, please visit our Provincial Solar Rankings page)
Major Program: Renewable Systems Rebate
Savings: Up to $5,000
The Yukon Territory is one of the most abundant provinces in the country when it comes to solar energy rebates and energy efficiency incentives.
These factors are important because they reduce the upfront system costs. We’ve scored the Yukon Territory 13/20 for this section.
- Per Watt. Rebates in the province are awarded based on the size of the system you install, in units of watts. Jump back up to the System Sizing section if you don’t understand what this means.
- Eligible Costs. Rebates have a maximum funding amount that is based on a percentage of total eligible expenses. In general, eligible expenses include the full cost of materials and installation, but not tax.
- Qualified Installation. Finally, rebates in the Yukon must meet certain installation qualifications. This includes the stipulation the signing of the Micro-Generation Interconnection and Operating Agreement.
- Application. Rebate applications, including all paperwork, should be handled entirely by your installation company. We’ve vetted our installation partners to ensure they are capable of doing this for you.
Rebates & Tax Breaks
The largest solar rebate program in the Yukon Territory is the Renewable Energy Systems Rebate offered through Good Energy Yukon.
This rebate allows property owners to save $0.80/watt off the cost of a solar system up to a maximum rebate amount of $5,000.
Here is what the savings would look like for a 10.36kW system:
(10,360 watts) x ($0.80/watt) =
$8,288 = $5000
Thus, the cost of a 10.36kW system would decrease from $31,805 to $26,805. Go back to the Common Solar Questions section if you’re not sure where these numbers are coming from!
Other Energy Incentives
The Yukon Territory also has a number of other energy incentives available to homeowners:
- Good Energy Rebate Program
- For Yukon residents
- Incentives for ENERGY STAR appliances, home upgrades (windows, doors, etc), energy assessments and more
Businesses can now use the Federal Tax Provision for Clean Energy Equipment to fully expense their solar system. This means a CCA rate of 100% and the abolishment of the first-year rule.
Remember, energyhub.org also has a special solar incentive. It’s not huge, but it’s easy to claim – just send us a picture of your system after installing with one of our certified partners.
Production Potential: 965kWh per kW per year
The Yukon Territory is one of the worst provinces/territories in terms of the natural factors that influence the maximal amount of energy that a system can produce. We’ve scored the Yukon Territory 14.5/20 for this section.
The Yukon Territory has the second-lowest potential to produce solar energy in all of Canada, receiving less solar irradiation than any other province or territory except for Newfoundland and Labrador.
According to data from National Resources Canada, the average solar system in the Yukon Territory can produce 965kWh of electricity per kW of solar panels per year.
Here is how much an average solar system can produce each month, as well as the solar irradiance potential map for Yukon Territory:
This yearly average decreases as you move east in the province and increases as you move west. For example, a 1kW solar system in:
- Whitehorse would produce about 961 kWh/yr
- Dawson would produce about 1,027 kWh/yr
- Watson Lake would produce about 947 kWh/yr
- Faro would produce about 939 kWh/yr
- Carcross would produce 953 kWh/yr
Recall that this is the number we used in the System Sizing section!
(maps and solar irradiance data for all other provinces and territories can be found on our Solar Maps page.)
Connection Policy: Micro-Generation
Rate Design: $0.15/kWh, Tiered
The Yukon Territory scores in front of most provinces/territories when it comes to utility-related factors.
Utility factors determine how much money your utility will pay you for the power you produce, along with how much money you will save on your power bill by reducing your usage. We’ve scored the Yukon Territory 25.5/30 for this section.
Net Metering is one of the most important policy mechanisms that makes solar a feasible energy generation option.
Net Metering essentially means that you earn credits for the excess energy that you produce, which can then be used at a later time. It’s common to produce excess energy during the day and summer but not enough at night and during the winter – so this policy is important!
Good net metering policy allows you to earn full credits for your excess energy which can be carried month-to-month. Bad net metering policy allows you to earn only partial credits for excess energy and credits can’t be carried forward month-to-month.
Disconnecting from the grid also means that you won’t be able to participate in your utility’s net metering program.
The Yukon Territory’s Micro-Generation Program falls in the “good” category for net metering policies.
It’s technically called “micro-generation” and it allows for systems up to 50kW in size to be connected to the grid and credits can be carried forward month-to-month until March (you are then paid out for your excess credits)
An interesting benefit about micro generation in the Yukon is that the utility pays out at a rate of $0.21/kWh for hydro communities and $0.30/kWh for diesel communities. This means that you can actually make some money by switching to solar – being paid at a rate higher than the retail rate!
Solar Setup Fees
However, the Yukon Territory’s Micro-generation Program dictates that you need to pay a fee for an interconnection study whenever you connect a system to the grid, but not for a bi-directional meter.
This is very similar to most provinces including Quebec.
The Yukon Territory is one of the better provinces/territories for solar with respect to electricity prices – higher prices mean higher savings potential.
Based on a monthly usage of 1,000kWh, the average total cost of electricity in the Yukon Territory is $0.145/kWh (this number includes both fixed and variable costs).
This number is higher than the Canadian average of $0.135/kWh (excluding the territories), meaning that property owners in the Yukon Territory have a lot of potential savings!
(methodology and data on other provinces and territories can be found on our Electricity Prices page.)
Utility Bill Rate Design
Good electricity rate design allows you to save money when you save energy. This might sound intuitive – but not all provinces are same. Superior designs have low fixed monthly fees and tiered electricity rates. Inferior designs have high fixed fees and flat electricity rates.
The Yukon Territory scores in the front of the pack when it comes to these factors – having tiered rates and fixed monthly fees of $15.
For example, reducing your electricity bill from 1,500 to 750 kWh per month will save you 55% on your electricity bill in British Columbia, 47% in Yukon Territories, but only 45% in Prince Edward Island!
Note that fixed monthly fees don’t disappear even if you switch to solar – you’ll pay them as long as you remain connected to the grid. But this isn’t a bad thing – $15/mo is a small price to pay for using the grid as your back-up energy source!
(methodology on our Electricity Prices page.)
The only way to completely remove your fixed costs is to go off the grid, something most homeowners in the Yukon don’t do because of high battery costs.
Disconnecting from the grid also means that you won’t be able to participate in your utility’s net metering program.
Upfront Cost: $3.07/watt
Financing: Partial PACE
Yukon is one of the best provinces in the country when it comes to financial factors because of moderate up-front costs and a partial PACE financing option. We’ve scored Yukon 20.5/30 for this section.
Cost of Installation
The upfront cost of installation is obviously one of the largest factors that determine whether or not a person is going to switch to solar. The current average price range in Yukon is about $$2.77-$3.38/kWh.
(not sure what this number means or how to use it? Jump back up to the Common Questions section.)
However, the price can easily be higher or lower depending on the size of the system, the complexity of the job, the type of equipment used, and even on the quality of your installation company.
In general, aiming for the cheapest price shouldn’t be your goal. Most solar panels are guaranteed to last for 25 years, so you want to make sure that your installation job is good enough to support that.
You’ll also want to be sure that the company you choose will be around in 5 to 10 years from now in case you need service or warranty work done. If you get a quote through us, we’ll connect you with a pre-vetted installer!
Property Assessed Clean Energy (PACE) is an innovative financing option that allows you to cover the entire upfront cost of your solar system (or energy efficiency upgrades) with a $0 down, long amortization period, low interest ‘loan’.
However, unlike a typical loan, this loan is attached to your property (not you) and is paid back on your property tax bill as a Local Improvement Charge (LIC). The only eligibility is that you need to own a certain portion of your home.
The Rural Electrification and Telecommunications Program (RETP) is the name of Yukon’s PACE program. However, this is only available for rural customers who are not currently connected to the grid.
Other Energy Financing
Obviously though, PACE is not the only way to finance a solar system. Systems can be financed by cash, bank loans, installer financing, home equity loans, a home equity line of credit, a mortgage (for new builds), or through energy loans.
Several options exist for Yukon Territory homeowners:
- Home Repair Loan Program (energy loan)
- Interest rates at prime +1%
- Up to 15 years amortization
- Yukon Housing contact number: 867-667-5759
- RBC Energy Saver Loan (energy loan)
- Up to 10 years amortization
- RBC contact number: 1-800-769-2511
- TD Bank (various options)
- TD contact number: 1-866-389-8888
Solar Power Yukon Territory
Because of the Yukon Territory’s financing options, large solar rebate, and moderate electricity prices – we rank YT as being the #4 best province/territory in the country for switching to solar power.
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