Considering an upgrade of your electrical panel? Our world is rapidly electrifying and your home electrical panel is an important part of making sure you are ready for future electrical needs. We lay out a host of major reasons below why you may want to consider upgrading your service panel:
Age
Generally speaking, your home electrical panel has an average lifespan of 25 to 40 years. An older service panel can and often does continue to function after this time, but as they approach the upper end of this range, they can become less effective and more prone to failures. It is important to remember that older panels were built to the standards of their time & may struggle to handle the electrical demands of modern appliances. Also, aging electrical breakers are much more prone to failure and the wear & tear to your panel over time can lead to an increased risk of faults, heating & fire risk.
Signs of an Aging Electrical Panel
Signs of an aging electrical panel may not be visible, so it’s important to know the signs that suggest it might be time for an upgrade:
- Breakers Tripping Constantly: This may indicate that the panel can no longer handle the current load effectively, has loose breaker connections or is suffering from corrosion at the connection points.
- Overheating: If the panel or the wall area around it feels warm to the touch, this could be a sign that the internal components are unable to cope with the amount of current passing through them. Melting of wire insulation or signs of heating on the bus contacts are also a clear sign of issues.
- Rust or corrosion: Any visible signs of deterioration such as rust or corrosion inside the panel can lead to serious safety hazards, including excessive heat & increased risk of fire.
It is important to note that certain service panels such as Stab-Lok (FPE), Zinsco & others which were popular in past decades have been found to suffer from design defects and may dramatically increase the risk of fire in your home. More details below:
Model & Manufacturer
The specific make & model of your electrical panel plays a significant role in its functionality and safety. Older panels are often obsolete, making it difficult to find compatible parts or to meet updated electrical codes. Additionally, certain manufacturers from the past had a poor safety record (link) or may have gone out of business, complicating repairs and support.
Issues with Outdated Panels
Electrical panels that are no longer in production or from manufacturers that are out of business can pose challenges:
- Parts Availability: Finding replacement parts for discontinued models can be difficult and expensive. In some cases, compatible parts may not be available at all, forcing homeowners to opt for a complete panel upgrade.
- Compliance Challenges: Older electrical panel models may not comply with current electrical code standards, and may not have compatible AFCI or GFCI breakers available. Panels that fail to meet modern code standards can pose safety risks and may affect insurance coverage or real estate value.
- Performance Limitations: Panels manufactured several decades ago were not always designed to handle the needs of EV Charging systems & appliances used in modern homes. Upgrading to a newer model can prevent issues like circuit overloads and nuisance tripping, which can become common issues in older systems.
Breaker Space
A common reason for electrical service panel upgrades is lack of breaker space. Lack of breaker space or compatible tandem breakers can limit your ability to perform renovations or add circuits, AC Units or EV Charging Systems to your home.
Benefits of Increased Breaker Space
Upgrading to a panel with more breaker slots can be important because:
- Expansion Capability: More breaker space allows for the addition of new circuits, which is especially important for home renovations, extensions, or the installation of major new appliances. Having extra breaker space ensures that your electrical system can grow with your home’s needs.
- Dedicated Circuits: Certain appliances, such as heaters, HVAC systems, washers & EV chargers require 2 pole dedicated circuits. A 2 pole breaker is larger than normal and needs two open breaker slots. Having additional breaker space makes it possible to perform upgrades & install these dedicated circuits when they are needed.
- Safety and Efficiency: Having sufficient space in your electrical panel to properly organize and separate circuits helps reduce the risk of overload conditions, reduces stress on the bussing & ensures that electrical current can be evenly distributed across the panel.
Planning for Future Electrical Needs
When considering an upgrade to your electrical panel, it is advisable to consider your potential future needs. While you may not want or need them now, installation of EV charging systems, AC units, solar arrays & other high-current appliances is becoming more and more common.
Having the necessary breaker space and panel capacity is highly important before moving forward with install of any of these items, and an undersized panel may not have the capacity that you or the future owners need.
Adapting to Modern Energy Consumption
The electrical needs of modern homes is increasing rapidly, especially with the popularity of electric vehicles. Upgrading your electrical panel can provide several key benefits:
- Power Supply: A modern panel with a higher current rating & breaker space can supply the necessary power to all your devices and appliances without the risk of becoming overloaded.
- Enhanced Capacity: Newer electrical panels are designed to support higher amperage, which is important for a modern energy-intensive lifestyle. Extra current capacity ensures that your electrical system can deliver the power you need safely.
- Future-proofing: As technology continues to evolve, the trend towards even greater energy consumption is likely to continue. Upgrading your panel now to a properly sized unit prepares your home for future technologies and energy needs.
Can Changing my Electrical Panel Reduce my Energy Bill?
This is a common question we receive, and the answer is generally no. Upgrading your home electrical panel will not typically cause a reduction in your home utility bills.
While it is possible that an aging electrical panel with significant corrosion could cause resistance to build up in your system and generate heat, thus increasing energy usage, it is not otherwise true that changing your panel will result in energy savings.
Your home service panel does not impose an electrical load on the system. It is designed to deliver electricity, not consume it.
This is a common myth that unscrupulous contractors spread to convince homeowners of a need that likely does not exist. Don’t fall for it!
Safety and Code Compliance
Modern electrical codes require specialty breakers such as GFCI’s or AFCI’s to be installed in all new buildings, especially for circuits feed kitchen & bathroom areas, hot tubs & outlets in living areas. If your panel is too outdated, getting your hands on these breakers may be difficult or impossible, compromising safety and limiting your ability to perform renovations acceptable by a home inspector.
Safety & Breaker Types
Upgrading your electrical panel not only updates it to a higher standard but also allows you to benefit from the latest advancements in breaker technology, such as Arc Fault Circuit Interrupters (AFCIs) and Ground Fault Circuit Interrupters (GFCIs). These technologies are designed to protect both you & your home against electrical fires and shocks.
Enhanced Safety with Modern Breakers
AFCI Protection
- Arc Fault Circuit Interrupters (AFCIs) are designed to detect and eliminate electrical arcs, which can occur from damaged wires, worn insulation, loose connections or faulty equipment. These arcs can generate intense heat and lead to electrical fires. AFCIs prevent fires by interrupting the circuit within milliseconds when an arc is detected.
GFCI Protection
- Ground Fault Circuit Interrupters (GFCIs) are required by code in areas susceptible to moisture, such as bathrooms, kitchens, and hot tubs. GFCIs protect against electrical shock by immediately shutting off the power when a ground fault is detected. This quick action can be life-saving, preventing serious injuries to you or your family from electrical shocks.
Compliance with Electrical Codes
- Upgrading to a modern electrical panel equipped with AFCIs and GFCIs ensures that your home meets modern electrical safety codes and standards. Canadian Electrical Code requires these protective devices in new construction and major renovations as they are important safety devices.
Home Resale Value
Your home is more than just a roof over your head, it’s a store of value to be maintained and improved over time. Upgrading your electrical panel can significantly enhance the value & marketability of your home. This kind of upgrade often increases the final sale price by several thousand dollars!
Increasing Property Attractiveness
- Appeal to Safety-Conscious Buyers: Homes with upgraded electrical panels which include modern safety features like AFCIs and GFCIs are more appealing to buyers who prioritize safety. This can be a factor for young families or individuals looking for a “turnkey” property.
- Ready for Electric Vehicles: Buyers with EV’s will be reassured by an electrical system which is ready to supply high-energy demands without having to upgrade out of their own pocket.
Enhancing Resale Value
- Higher Resale Price: Properties with updated electrical systems often command higher prices on the market. An upgraded electrical panel is a real improvement that can justify a higher asking price.
- Reduced Time on Market: Homes with updated electrical systems tend to sell faster than those requiring significant upgrades, making them more attractive in competitive markets like our home Calgary, Alberta.
Codes and Inspections
- Ease of Inspection: An updated electrical panel simplifies the home inspection process, helping to avoid issues that could delay or disrupt a sale. A competent inspector will make note of electrical concerns, and a clean inspection report can expedite the closing process.
- Compliance with Local Codes: Ensuring that your home’s electrical system complies with current electrical codes not only enhances safety but also avoids inspection complications during the sale process.
Can a New Electrical Panel Lower My Insurance Costs?
Upgrading your electrical panel can also lead to financial benefits beyond an increased property value—specifically, lower homeowner insurance costs. Insurance companies often assess the risk associated with an older electrical system as higher, which can increase premiums. And the presence of certain electrical panels such as Stab-Lok in your home my lead certain insurers to decline coverage entirely.
Benefits to Insurance Premiums
- Reduced Risk Profile: Modern electrical panels equipped with AFCIs and GFCIs significantly reduce the likelihood of electrical fires. Insurance companies recognize these upgrades as safety enhancements and often offer lower premiums as a result when compared to those without.
- Compliance with Codes: Insurance providers may require that homes meet specific safety standards and building codes. Up-to-date electrical systems that comply with current electrical codes are less likely to result in claims, which can lead insurers to offer lower rates.
Considerations for Older Homes
- Policy Discounts: Some insurance companies provide discounts for homeowners that can demonstrate reduced risks through making upgrades like electrical panel replacements. These discounts not only make insurance more affordable but can help to pay for the upgrade over time.
- Avoidance of Coverage Issues: Older homes with outdated electrical systems may face challenges in obtaining or maintaining insurance coverage. Insurers might limit the coverage or set high deductibles for homes perceived to have higher risk. Upgrading your panel can help reduce these concerns and broaden your options for insurance coverage.
Streamlining Insurance Claims
- Smoother Claims Process: In the event of an electrical fire or incident, homes with updated electrical systems often experience a smoother insurance claims process. Insurers are likely to process claims more efficiently when they know the home’s electrical system adheres to the latest safety standards, reducing the chances of disputes over liabilities related to outdated systems.
The Process of Upgrading
Upgrading your electrical panel may seem daunting, but we make it easy. (link) Making the change requires technical expertise & strict adherence to electrical codes and regulations. Let us run you through the process:
Initial Assessment
- Inspection: The process begins with a thorough inspection by a licensed electrician who can assess the current state of your electrical system. This evaluation will identify the capacity of your existing panel, the condition of your wiring, and whether your current setup meets your household’s energy needs.
- Code Compliance Check: This step involves verifying that your existing system complies with today’s electrical codes. Any issues found must be addressed during the upgrade to ensure the install passes inspection.
Choosing the Right Panel
- Selecting Capacity: Based on the inspection, your electrician will recommend the appropriate size and type of panel. Your new panel should be designed to accommodate both current and future electrical needs. This selection will consider the number of circuits needed, the total amperage, and any special requirements for appliances, safety or electric vehicle charging systems.
- Brand and Design: It’s also important to choose a reliable brand known for durability and safety. Some, but not all electrical panels are designed to accept tandem breakers – which can save you significant breaker space and allow for a smaller panel to be installed.
Installation Process
Permit Acquisition: Municipal governments (including Calgary) will require a permit for major electrical work. Your master electrician can handle the permit application process, ensuring that all work is documented and inspected by municipal authorities.
Physical Installation: The actual installation involves several steps:
- A power disconnection by the utility company.
- Organization & labeling of all circuits.
- Disconnection of utility feeds & branch circuits.
- Removal of the old panel.
- Mount & install of the new one.
- Adding breakers & transferring circuits.
This work should only be performed by a certified electrician to ensure it is done safely and correctly.
Testing and Verification: Once installed, the new panel needs to be re-energized & tested to ensure all connections are secure and the circuits are functioning properly. This testing includes checking that all breakers and GFCI/AFCI components operate as expected.
Final Inspection and Approval
- Code Inspection: During & after installation, an electrical code inspector reviews the work to ensure it meets all applicable safety standards and regulations. Passing this inspection is a must.
- Final Adjustments: Any adjustments or corrections identified during the inspection must be addressed promptly to finalize the approval process.
Signs you Need to Upgrade Your Electrical Panel
Unsure if you need an upgrade? Be aware of these signs, knowing what to look for can help you make an informed decision:
Frequent Circuit Breaker Trips
- Overloading: If you find that your circuit breakers are frequently tripping, it could indicate that your electrical panel is overloaded. This is especially common in older panels that were not designed to handle the energy demands of modern appliances and devices.
Dimming or Flickering Lights
- Poor Connections: It may not be your panel which is the culprit. But when lights dim or flicker, it suggests that there are poor electrical connections in the circuit. The main point of connection at your breakers is one of those connections. If this is the case, it may be a sign that an upgrade is necessary as your panel is nearing end of life.
Age of the Panel
- Obsolete: Electrical panels are generally considered to last 25-40 years. If your panel is approaching or has surpassed this age range, it may be obsolete, may have difficulty managing your current electrical demands or may be unable to meet modern safety standards.
- Defective: Certain brands of electrical panels sold in the past have been proven as defective in design, such as Stab-Lok (FPE) (link) brand panels which are common in many older homes. Stab-Lok brand panels come with a significantly increased risk of fire and should be replaced when found.
Physical Damage
- Visible Wear and Tear: Signs of rust, corrosion, loose breakers & bussing or other physical damage to the panel or its components can compromise its function and safety. Such damage may require a full panel replacement to ensure the safe operation of your electrical system.
Renovation or Addition of Major Appliances
- Increased Electrical Load: If you’re planning a home renovation that includes adding rooms, or if you’re installing major new appliances that consume a lot of power, an upgrade might be required to accommodate these changes without straining your system.
Safety Concerns
- Lack of GFCI/AFCI Breakers: Modern electrical codes require specific types of circuit breakers, such as GFCIs and AFCIs, to prevent shocks and electrical fires. If your current panel does not support these safety breakers, it’s time to consider an upgrade.
What Will it Cost to Upgrade my Electrical Panel?
Upgrading an electrical panel is a significant investment, and understanding the costs is important for you as a homeowner. The cost can vary widely based on several factors, including the size of the panel, the complexity of the installation, and local Calgary labor rates. We provide a thorough description of the cost to install a new electrical panel <— here.
Breakdown of Panel Replacement Costs
Panel Size and Capacity
- Amp Capacity: The cost can vary depending on the size of the panel to be installed, with a higher ampacity rating commanding a higher price. The cost of the panel itself is not a large amount of the total job. A 200amp panel will sell at electrical wholesalers for $2-300.
- Breaker Capacity: A panel with a larger breaker capacity will cost slightly more than a smaller one, and also take up more physical space.
Labor and Installation
- Professional Fees: A large chunk of the cost will come from labor. This includes the removal of the old panel, installation of the new one, and any necessary rewiring to meet current electrical codes. Depending on the size & complexity of your install, labor charges may range from $9-1100 as a rough estimate.
- Complexity of Installation: Costs can increase if the new panel requires significant rewiring or updating the service entrance cable. Homes with older wiring systems might need more extensive upgrades to ensure everything is up to code.
Breakers & Additional Components
- Breakers: Circuit breakers, especially specialized ones like AFCIs and GFCIs, can vary in cost, with specialized breakers often priced at $100 each or more. Electrical breakers will likely be the most expensive part of the install price, as modern electrical codes typically require a number of specialized breakers be installed.
- Permits and Inspections: In Calgary and other municipalities, an electrical permit & inspection is required for this type of project. Expect to pay from $3-400 for an electrical permit & inspection during weekdays, and a higher rate if weekend inspections are necessary.
Additional Charges to Expect
- Utility Charges: In order to make the job safe for both you and your electrician, the local utility provider will have to disconnect power from your home temporarily. This will incur a charge which varies depending on provider, time & area. Enmax in Calgary charges approximately $400 for this service during normal working hours.
- Miscellaneous Parts: Hardware, connectors, ground & lockrings, Noalox & a number of other consumable items will be included by your contractor in the final price.
Estimating the Total Cost
On average, homeowners in Alberta might expect to pay anywhere from $3,500 to $5,000 for a full panel upgrade. This range can extend higher for more complex installations or additional upgrades needed to support the new panel. It’s advisable to get multiple quotes from licensed electricians to compare costs and understand what each quote includes. This helps ensure you are not only getting competitive pricing but also quality service.
Key Takeaways
- Safety First: A primary motivation for upgrading an electrical panel is often safety of people & property. Modern panels equipped with AFCIs and GFCIs offer superior protection against electrical fires and shocks, ensuring that your home remains a safe environment for you and your family.
- Future-Proofing: With the increasing electrical demands of modern technology and appliances, upgrading your panel ensures that your electrical system can handle these demands today and in the future. This makes your home ready for whatever new technologies may come.
- Financial Benefits: While the upfront cost of an upgrade can be significant, the long-term increase in property value, and lower insurance premiums can make it a cost-effective decision.
- Professional Guidance Is Crucial: Upgrading an electrical panel is not a DIY project. It requires professional assessment, installation, and often, permits and inspections. Working with a licensed electrician ensures that the upgrade meets all local codes and safety standards and is tailored to your specific home and needs.
Final Thoughts
If you believe that an upgrade might be necessary, or if you’re planning home improvements that will increase your electrical load, don’t hesitate to take action. Consult with a professional to assess your current system, understand your options, and plan a comprehensive upgrade.
Celtex Electric & Automation is an electrical service provider in Calgary, Alberta that specializes in electrical panel upgrades, service upgrades & more.