Even With Electric Cost Uncertainty, Solar Still Makes Sense – Maybe More Than Ever!

  • Nate Lewis
  • Chief Revenue Officer

Currently the California Public Utilities Commission has a proposal before it that would allow Southern California Edison to condense their four service tiers into two, as well as add a fixed $10/month fixed charge for every household. beginning in 2019. An alternative plan suggests three tiers, but either way, it looks as though energy rates will go up for those who use the least amount of energy, and decrease slightly for those who use the most.

Are These Changes Good or Bad for Solar?

How would this “redistribution” affect the decision to go solar? The answer: solar may make sense for even more consumers than ever before. Some of those that didn’t consider solar before because their energy usage wasn’t enough to warrant it may now find themselves in a situation where the purchase of a solar system has an even shorter payback period.

Alternatively, a lease for the number of panels required to offset 100% of their usage may now bring a guaranteed payment for 20 years that is low enough to their electric bill to make sense, even with a fixed charge of $10/month.

For customers at the higher tiers whose bills would be somewhat lower, the percentage of reduction may extend the payback period on a purchase somewhat, but over the expected lifetime of solar panels such as SunPower (40 years), the savings are still extraordinary. After year seven or eight or nine, depending on the power the individual system generates relative to the usage, power is essentially “free” except for the fixed charge.

Who wouldn’t be happy to pay just $10/month for electricity for 30 years or more?

Contact Renova Energy to Learn More About Solar Installation in the Coachella Valley

If you’re considering solar, the new rate structure will be taken into account and proposals will be generated that show you your savings. Consider exercising your right to explore energy independence with solar now, and energy storage soon, when you pair your solar with batteries. Then you can enjoy true energy independence. Call Renova Energy to get a free quote for solar installation of your home or business in the Coachella Valley.

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