How Much Can Solar Save You ?

How net metering saves your money?

Electricity tariff rates keep changing every year and recent studies reveal it will further increase. This scenario is going to

Net-metering allows customers who generate their own electricity from solar to feed unused electricity back into the grid and be compensated for that. If the energy supplied by the consumer to the grid (selling) is at a special, usually higher, tariff rate than the one at which electricity is bought from the grid (buying), then it is called a “feed-in-tariff”.

Advantages of Net Metering:

The 3 most important advantages of net metering are:

1. Financial benefit for the system owner

Since the system owner is charged for the net energy consumed from the utility grid, the owner gets financial benefits. Eg. If energy generation < energy consumed: owner pays just for the net amount. If energy generation > energy consumed: the owner gets credit for excess generation.

2. Avoid the use of batteries

In a grid connected solar pv system, any excess energy generated can be fed back to local utility grid and can be taken back at later stage when required. Thus, there is no need to store the surplus energy in batteries for later use, thus, avoiding the heavy costs of batteries. Also, since batteries are eliminated, the maintenance costs of the system also reduce to a great extent. Batteries may be required only when there are frequent power fluctuations/outages.

3. Produce more today, use that tomorrow

Typically, a solar power system produces more energy in summer and comparatively less energy in winter. Eg. If in summer, solar power generates 100 units and load requirement is 80 units, then 20 units can be fed back to the grid. In winter, solar power generates only 60 units and load requirement is 80 units, then 20 units can be taken from the grid. Thus, overall excess generation from solar power system is taken care of and net units consumed from the grid becomes zero.

ROI calculation for solar projects are more complex, we advise to talk to our expert team to analyze your usage during day time and evening time, you need a system with or without backup (storage), and sunny hours in your area.

Below table demonstrates how much the average person using 70% of the solar and exporting 30% would save on power over the next 10 years. Customer can have understanding of the ROI based below example.

Size of System Average Quarterly Savings Average Yerly Savings 5 Years Savings with a 4% Power Increase each year 10 Years Savings with a 4% Power Increase each year
3KW 7560 30240 163789 363064
4KW 11004 44016 238404 528460
5KW 14514 58056 314450 697026
6KW 18078 72312 391665 868185
7KW 21757 87030 471382 1044892

Contact our team of friendly experts for free, no-obligation advice on the best solar panels and full systems for your circumstances.

Useful tips for more benefits on Solar systems:

  • Use as much power during the day as possible.
  • Identify the hours that your solar works the best (speak to your consultant) and try to use your heavy usage appliances during these times.
  • Reduce evening consumption where possible and use efficient appliances and lighting such as LED bulbs or Energy Saving bulbs.
  • Replace any old fridges and faulty appliances where possible.
  • Run your air-conditioners through the day to cool your house down instead of during the evening.
  • Run your pool pump on the peak tariff and set it to run during the day.
  • If your hot water unit is on the peak tariff install a timer to ensure that it heats the water during the day.