California’s energy grid is heavily reliant on solar power, with solar installed on approximately two-thirds of all residential properties in the state. By the end of 2020, solar energy will account for about 10% of California’s energy production, making solar panels one of the most popular ways for California homeowners to reduce their carbon footprint.
When you purchase solar energy panels, you are required to purchase them by the kilowatt-hour (kWh).
Depending on the type of solar panels you purchase, you can add between $20,000 and $30,000 to the value of your home. If you purchase an expensive solar system, you will likely recoup the cost in the energy savings you receive over the life of the system. Solar energy is typically the fastest growing energy source in California, and homeowners report saving $40,000 in fuel costs over the life of the system by going solar.
The amount of kilowatts your solar energy system will produce is based on the solar energy panels' efficiency.
California homeowners can expect to add about $20,000 in net solar value to their home when they install a solar panel system. This figure includes the value of the solar energy your system will produce over the life of the panels, as well as the cost of the equipment. The solar energy your system produces will be based on the solar energy panels’ efficiency.
The photovoltaic (PV) efficiency of the solar panels determines the amount of kilowatts your solar energy system will produce.
California’s solar energy incentives vary based on the type of system you install. The California Solar Initiative (CSI) is a program that offers rebates of up to $0.15/kWh to homeowners who install solar energy systems. The program began in 2006 and continues to offer rebates to qualifying homeowners.
In California, solar energy systems must have PV efficiency of at least 1to produce the required amount of kilowatts.
The amount of money you make from selling excess solar energy to your utility depends on the price you get for the excess solar energy. California’s Solar Renewable Energy Credit (SREC) program is designed to encourage homeowners and businesses to install solar energy systems, and in return, they receive monetary incentives. However, the amount of money you make from selling your excess solar energy will depend on how much you pay for the SREC credits, which in turn depends on the price the California Solar Energy Commission (CSElC) sets for them each year.
The higher the efficiency of the solar energy system, the more kilowatts it will produce.
When it comes to the added value of solar panels in California, it’s important to remember that the price per kilowatt-hour of electricity produced by a solar system is dependent on the type of system you choose. This means that systems which have higher efficiency levels will typically have a higher cost per kilowatt-hour than those with lower efficiency levels.
Solar energy systems with higher PV efficiency will cost more to purchase and install.
California solar energy systems can cost between $15,000 and $40,000, but the amount you’ll need to pay for a solar panel depends on where you live. In California, the average price per kilowatt of installed solar power ranges between $0.15 and $0.30 per kWh, depending on the type of system you have and the amount of sunlight you get.
In California, solar energy systems with PV efficiency above the required minimum of 1cost about 1more than systems with an efficiency of 1or less.
The amount of money you will save over the life of a solar system is dependent on the efficiency rating of your solar panels and the amount of sunlight your home receives. A higher efficiency rating will result in lower costs per kilowatt as you will pay less for the system and will keep your solar panels working longer.
Conclusion
California has one of the highest solar potentials in the U.S., so it makes sense that the average home can expect to see annual returns of about 7 percent on the cost of a typical solar panel installation. The average California homeowner can expect to see about $30 in annual savings on their electric bill after they install solar panels.
Related Links
What is the new law in California regarding solar panels that will take place in 2022?What changes are coming to solar in California?