Utility Export Rates Explained
Export rates replace net metering, determining the compensation for surplus solar energy your system feeds back into the grid. Typically, these rates are lower than standard grid electricity costs, so generating and exporting excess power may not be as financially rewarding when compared to net metering. Additionally, this backdrop highlights the strategy of potentially opting for a solar system that’s just right in size – not too big to avoid excessive energy export – or one that incorporates a battery system, discussed more below.
For a comprehensive guide to understanding how solar export rates work and their impact on your solar investment, visit Energy.gov’s Homeowners Guide to Going Solar.
Arizona customers can click on the following links to learn more about current export rates programs from Arizona’s largest Utilities: APS or SRP.
Optimizing System Size
Given that export rates generally offer less financial incentive compared to net metering, designing a system that caters to around 60% of your usual electricity consumption could be more economically advantageous. This approach ensures that every kilowatt-hour produced is a kilowatt-hour saved from your utility bill. A knowledgeable energy consultant would be able to show the different scenarios that could help contribute to making an informed decision.
Leveraging Batteries for Optimal Solar Utilization
For those aspiring to achieve 100% self-sufficiency in home electricity, integrating home batteries with your solar setup is a game-changer. Batteries ensure a reliable power supply when needed by storing extra energy to be used during peak hours (when utility rates are higher), nights, or power outages. Batteries can increase your grid resiliency and reduce utility-supplied power dependency. With this setup, you could limit utility charges to unavoidable fees and local taxes. Details on how solar batteries can enhance your solar system’s efficiency, especially under export rate plans, are available at SEIA’s Solar & Storage initiative.
Your Solar Pathway with Solar Topps
Solar Topps is the best leader for your solar journey, knowledgeably navigating local utility rates to match the solar system size to your energy needs. Besides system installation, we can integrate battery storage solutions for scalable energy storage to meet your needs. Starting with a system that provides 60% of your electricity doesn’t hinder future expansions as rates and incentives change.
Eager to embrace solar? Reach out to us at 480-940-1201 or Get A Quote to embark on your journey with Solar Topps, where we make solar simple and the savings significant.