If you have expensive power, if your utility allows net metering, and your local subsidies are generous then your installation might have a reasonable payback. Payback is simple math with the total installed cost, the estimated system power generated on an annual basis, and your cost per kWh of electricity. Installers will try to conceal the actual total cost and will overestimate annual power generation to make it look like a great deal.
School me on solar
- Thread starter Plumber1
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I helped my dad install solar in 2020 on his pole barn. We installed the panels on the roof and had my cousin do the rest. He has a side gig installing solar setups in the area. I think all in, we had $12k in the setup, 26 panels. We have one of the most expensive electrical providers in the country so paired with fairly low midwest wages it was worth it to him. We figured 5-6 year payback. Lately I've been hearing it would cost $30k+ to have the same setup installed which doesn't sound appealing at all.
The thing no one has yet mentioned is what will our rates be in 5-10 years from now. How about 20 year? That math doesn't look worth it based on today's rates but they only go up from today.
The thing no one has yet mentioned is what will our rates be in 5-10 years from now. How about 20 year? That math doesn't look worth it based on today's rates but they only go up from today.
I can add a bit to this discussion. I live in CA (yes I know) and installed solar panels last year. A couple of things when it comes to CA and solar, NEM2.0 ended last year and now we are NEM3.0. What's the difference? With 2.0 you sold your unused generation back to your power company at retail pricing. With 3.0, you only get wholesale pricing. The difference is almost 5x. That's why with 3.0 you need to look at storing your power instead of sending it to the grid. That will offset your cost much better and give you added protection from blackouts. Will it prevent you from paying the power company, probably not but it may get you close depending on your system.
Here's what I did, I installed a small system (I don't use a lot of electricity) since I use small AC units and not central. I installed a 4K system with mircoinverters. I purchased the equipment, went through the permitting with the city, then installed it myself. After the 30% tax rebate (I always owe taxes), I was able to offset the cost enough where the whole system cost me about $7500. My bills were about $100/month on average through the year (higher in the summer and lower in the winter), I know pretty low, but with the expectation that it'll go higher over time. I'm coming up to my 1 year use date and my calculations are showing that I'll pay about $6/month on average or less but that's partly due to the "climate" rebate CA gives (about $75/year). Yes, I'm under NEM2.0. For me it was worth it. I should be able to pay off my system in about 6 years. Would I do it again under NEM3.0? That depends on the battery cost and switch. The self installation saved a lot and would certainly do that again.
Here's what I did, I installed a small system (I don't use a lot of electricity) since I use small AC units and not central. I installed a 4K system with mircoinverters. I purchased the equipment, went through the permitting with the city, then installed it myself. After the 30% tax rebate (I always owe taxes), I was able to offset the cost enough where the whole system cost me about $7500. My bills were about $100/month on average through the year (higher in the summer and lower in the winter), I know pretty low, but with the expectation that it'll go higher over time. I'm coming up to my 1 year use date and my calculations are showing that I'll pay about $6/month on average or less but that's partly due to the "climate" rebate CA gives (about $75/year). Yes, I'm under NEM2.0. For me it was worth it. I should be able to pay off my system in about 6 years. Would I do it again under NEM3.0? That depends on the battery cost and switch. The self installation saved a lot and would certainly do that again.
The battery provides use at night without the need to pull from the grid. Assuming you generate enough to run what you need during the day as well as store power for use each night you can greatly reduce your cost from the utility. Power outage protection is a plus at that point.
Just remember ladies, batteries are expensive and don't last that long.
IIRC PV panels have a lifespan of 15 or 20 years so maybe the answer is you get to start over.
They would be nice but they are not needed if you have net metering.
According to the PG&E calculator install cost would be $18,249 with an 8 year breakeven and a $5,472.00 tax credit so I guess cost would be about $13k not a bad deal
6.08 kw system
6.08 kw system
I'm curious, does their calculator account for differences in advertised rating vs real world output, or for general degradation which is about 1% reduction per year?
OP is from CA and they have essentially removed net metering. They even tried to establish a minimum charge to get those that installed solar that have net metering. The power companies are not happy to lose out on revenue and future income.
California fucked up energy 35 years ago - and I saw it coming. Fuck that state.
They don't have enough electricity to go around during peak load time and yet they do shit like that. <facepalm>
Its worse than that - they've been closing down existing power plants for decades now. You can't make this stuff up.
Natural gas-fired power plants typically account for almost one-half of in-state electricity generation. California is one of the largest hydroelectric power producers in the United States, and with adequate rainfall, hydroelectric power typically accounts for close to one-fifth of State electricity
generation.
So let's get rid of natural gas fired stoves, water heaters, etc and then gas-fired power plants. Oh yea then buy all electric vehicles after we remove 1/2 of the electricity by shutting down these plants. WTF is Gavin Newsom thinking, he is not thinking about CA he is thinking I will be the next POTUS after Kamala's out
Natural gas-fired power plants typically account for almost one-half of in-state electricity generation. California is one of the largest hydroelectric power producers in the United States, and with adequate rainfall, hydroelectric power typically accounts for close to one-fifth of State electricity
generation.
So let's get rid of natural gas fired stoves, water heaters, etc and then gas-fired power plants. Oh yea then buy all electric vehicles after we remove 1/2 of the electricity by shutting down these plants. WTF is Gavin Newsom thinking, he is not thinking about CA he is thinking I will be the next POTUS after Kamala's out
Its been going on for decades - it didn't make any sense then, and it doesn't make any sense now. NewScum is complete ruination - I saw that coming in my last days in the state. That was after watching AG Kamala work tirelessly against ordinary California citizens.
Oh another anecdote: I worked across the street from the huge Moss Landing power plant for over 2 decades. There is a "new" part and an "old" part - the "old" part my late father helped build ca 1966. The "old" part was mostly on standby. When they'd call one of their "flex alerts", I'd look across the street to see how many of the two stacks on the "old" part were active. Sometimes one, usually NONE, and I can only recollect ONCE when they both were going. That told me all I needed to know about their "short of power flex alerts" - another manufactured crisis.
Now, of course, the "old" part has been decomissioned - over 1.5 GW generating capacity...
Now, of course, the "old" part has been decomissioned - over 1.5 GW generating capacity...
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