Solar power & the grid is it cost effective? (Santa Ana: sales, lease)

[evening sun]

If anyone here already have solar, do you use all the power or do you have some left to sell to the utilities like PGE? I know I am inundated with ads about the rate change in April, but is this really an issue? Does anyone run at a deficit & have to supplement the solar power with grid power? We live in a very sunny area, so I don't forsee any problems, other than we have a smallish home, so not sure how many panels we could have on the roof.

[ccm123]

A former classmate of mine who lives in Southern California had solar installed in the fall of 2020.
He and his wife are retired in their 60’s. They don’t go out much. Their home is roughly 1600 sq ft.
He mentioned that they always have a surplus and don’t need to use power off “the grid.” He mentioned that once the solar was installed, they never had another SCE utility bill (so far.)

To state the obvious, your power consumption patterns will likely be different, so your results
will likely be also.

[RosieSD]

Originally Posted by evening sun

If anyone here already have solar, do you use all the power or do you have some left to sell to the utilities like PGE? I know I am inundated with ads about the rate change in April, but is this really an issue? Does anyone run at a deficit & have to supplement the solar power with grid power? We live in a very sunny area, so I don't forsee any problems, other than we have a smallish home, so not sure how many panels we could have on the roof.

We added solar in 2017 and a solar battery last year. Since 2017, we haven't paid an electric bill. Our annual "surplus" has been running about $100 a year. We live in a 3000 sq foot home, have a pool, and run AC now whenever we feel it's needed (we live inland).

It's important to understand how the solar tie with the grid works. You will still receive a "statement" each month from your electric company (in our case SDGE) showing how much your system has fed into the system, but it is not a bill. The amount of solar power you generate and use will obviously vary from month to month. At the end of the year, you'll receive a final statement that tells you how much your solar system has produced vs your annual grid use. Any excess for the year is your surplus for the year.

Of course, every household is going to use electricity differently. If you work with a good solar company they will look at your usage (via your bills) for the last several years and base the number of solar panels you need based on trying to come as close as possible to an annual break even (or, a small surplus). That is really the key to making solar work in your favor.

I was very doubtful about the benefits of solar, but now I love the security of knowing that we won't get hit with an unexpectedly large electric bill from month to month. We installed the solar battery because we live in an area that is subject to power outages every time there is a Santa Ana, and we were tied of losing food in our freezer. A neat feature of our system is that whenever there is a CHANCE that power will be cut off overnight, our system automatically alerts us and "tops off" our battery from the grid.

That said, the power companies are pushing for a "monthly fee" now for homes with solar who remain attached to the grid. It remains to be seen how that pans out. That push did factor into our decision to add a battery to our system. With some planning, we could *technically* go off the grid entirely in the future if we needed or wanted to.

Tip: Talk to several companies before committing. If you know anyone who has solar in your neighborhood, ask who they used. Also ask for customer references and follow up on them. Read the fine print very carefully in terms of your warrantee, any financing your require, and the company's support after installation. Try to go with a company that has been around for a while; solar companies come and go, and you DO want to have support after everything is installed for the life of your system. We've been happy with our company, but we have friends who have had some snags with their installations.

[frankrj]

Originally Posted by RosieSD

We added solar in 2017 and a solar battery last year. Since 2017, we haven't paid an electric bill. Our annual "surplus" has been running about $100 a year. We live in a 3000 sq foot home, have a pool, and run AC now whenever we feel it's needed (we live inland).

It's important to understand how the solar tie with the grid works. You will still receive a "statement" each month from your electric company (in our case SDGE) showing how much your system has fed into the system, but it is not a bill. The amount of solar power you generate and use will obviously vary from month to month. At the end of the year, you'll receive a final statement that tells you how much your solar system has produced vs your annual grid use. Any excess for the year is your surplus for the year.

Of course, every household is going to use electricity differently. If you work with a good solar company they will look at your usage (via your bills) for the last several years and base the number of solar panels you need based on trying to come as close as possible to an annual break even (or, a small surplus). That is really the key to making solar work in your favor.
.

It really sounds like you did your research.

would you or anyone mind recommending a few?

I hear you can own the panels or lease them for X years and then you have the option to buy them outright at the contract price or today's price?

what is a good kwH rate to expect 6 to 8 cents?

Are some solar panel companies able to set you up (rip you off) at let's say .45 while others are at .20?

Kind of like how subprime lenders and prime lenders do.

[RosieSD]

I'm not sure it makes sense to lease solar panels with the option to buy at a later date. I suspect that would complicate selling your house if you need or want to do so. Not every buyer wants to assume a "lease" on solar (although I suppose you could have the system removed). From a home sales perspective it probably makes more sense to finance if you can't pay outright, so that you can pay off the remainder of the loan from the proceeds of any future sale of your home and make solar a selling point.

Not sure I understand your question about KwH rate. What you're looking to do is balance your use against what your system will generate. If that's in balance, assuming there's no giant future leap in your use, your financial benefits from having solar will go up as the cost of buying electric from the grid does.

I don't think anyone should expect to *make a profit* on home solar. The goal should be to keep your electric costs as low and predictable as possible for the foreseeable future. Hope that makes sense!

[Axxlrod]

If you're in CA, it doesn't matter anymore. If you don't already have solar, you're too late. Net Metering 3.0 goes into effect next week, and that program neuters the point of solar. No surprise the public utility commission sided with the utility companies and not the people.

[evening sun]

Originally Posted by Axxlrod

If you're in CA, it doesn't matter anymore. If you don't already have solar, you're too late. Net Metering 3.0 goes into effect next week, and that program neuters the point of solar. No surprise the public utility commission sided with the utility companies and not the people.

I think if you sign a contract before that date, you are grandfathered in.

[Axxlrod]

Originally Posted by evening sun

I think if you sign a contract before that date, you are grandfathered in.

I believe your application has to be submitted to the elec company by the deadline. That means your system has to be engineered already. Every solar company is slammed trying to beat the deadline. If you didn't get started on your solar project at least a month ago, you're SOL.

[RosieSD]

Axelrod, installing a solar battery with your system can avoid many of the issues with net metering 3.0. A battery stores the energy your system generates, making it available for your household use first. If you've planned your system properly, you should have little need to pull from the grid or to upload to the grid.

This is at least partially why California is offering the SGIP rebates to homeowners who install batteries (see: https://www.cpuc.ca.gov/industries-a...e-program-sgip) There are also other grants available from the state for batteries, including one for people who need electricity for medical device needs (which can be as simple as needing a cPAP for sleep apnea).

Of course, you'll still have to pay the connection fee (and possible monthly "grid service fees" down the road) with a battery under net metering 3.0 and beyond. But, many if not most with batteries are going to find they're still saving money on electricity as they're not pulling/uploading much from the grid.

Also, with a battery and solar, you *technically* also have the option of going off the grid entirely (it's not as easy as that sounds, but it can be done). That's the ultimate in freedom!

[arleigh]

For our first computer I built my own UPS because living in the mountains promised power outages regularly.
it was a long time before the Internet so finding new solar panels reasonable was difficult so I settled for paying $100. An amp for used ARCO panels.
Over time I built a shop trailer and installed all the solar panels I could get and 6 volt deep cycle batteries stored below deck.
This was handy, anywhere we moved that power source came with and we saved power even completely off grid.
My average electric bill because I ran the refrigerator and small air compressors on grid was about $28. A month.