Lower Electric Bills with a Solar Power System
For most people, electricity bills are just a fact of life. We need electricity for many of the essential aspects of modern life – everything from air conditioning and kitchen appliances to TVs and cell phones require it.
There are three primary problems with electric bills:
- They’re expensive
- They’re continually getting more expensive
- They’re unpredictable
Solar systems are often the best way of mitigating all three of these problems and lowering your electric bill.
Electric Bills Are Expensive
The cost of electric bills depends primarily on two factors: how much electricity is used, and the rate that the utility company charges for that electricity.
It makes intuitive sense that the more electricity you use, the higher your bill will be. However, sometimes the effect can be more dramatic than one would assume.
For example, many utilities have tiered rate structures that increase the rate per kWh used as the total amount of power used hits higher and higher thresholds. This has a multiplier effect on the bill. Not only is more power being used, but that additional power is being charged at higher rates.
By installing a solar system, homeowners can produce their own power and therefore purchase less from the utility. This can significantly reduce their monthly expenses by avoiding the highest rates for power consumption, if not completely reducing their bill all together.
Electric Rates Continue to Rise
Not only are electric rates high now, but they continue to increase over time. Increases in electric rates far outpace inflation and wage growth, meaning that everyday people are spending an increasing share of their income on their electric bills.
Even as utilities add cleaner, cheaper renewable energy into the electric grid, they face enormous costs to maintain and expand the grid. Utility companies spend hundreds of millions every year upgrading their towers, lines, substations, and transformers. These costs continue to drive up the cost of delivering electricity.
Homeowners can lower electric bills with a solar power system. Solar systems have almost no ongoing fuel or maintenance costs – since sunshine is free! Solar systems also produce power right where it’s needed (in the home), which avoids costly transmission infrastructure. As grid maintenance costs continue to rise, solar systems will provide increasingly attractive returns.
Electric Bills Are Unpredictable
One of the biggest frustrations we hear from homeowners is the unpredictability of their electric bills. It’s very difficult to know exactly how much energy a home is using in real time. Oftentimes increased usage throughout the month goes unnoticed until the bill arrives the following month, at which point homeowners are forced into tough budgeting decisions to pay their bills.
But with solar, energy costs are extremely predictable. Many homeowners are able to cover 100% of their energy needs with their solar system and there’s no recurring cost for the system or power.
How to Lower Electric Bills?
Solar saves homeowners’ money on their monthly electric bills. It also protects them against rising utility costs and provides a much more predictable billing cycle which avoids nasty unexpected bills.
