It’s no secret that going solar can save you a lot of money on your electric bill. But even with solar panels, your bill might be higher than expected.
So what’s going on?
This post will examine some common reasons why your electric bill might be higher with solar panels and explain how to fix them.
Read on to learn more!
Why Is My Electric Bill So High With Solar Panels?
Here are a few reasons why your energy bill might be higher even with solar panels installed. One reason is that your solar system is not providing all of the power you’re using.
Even the most efficient solar panels only convert a portion of the sunlight into electricity, so you’re still drawing power from the grid when it’s cloudy or dark outside.
Another reason could be that your energy consumption has increased since installing your solar panels.
This is especially common if you’ve added new appliances or devices or if you have more people living in your home.
Solar panel production also varies depending on the year and weather conditions. For example, when there are shorter days and more clouds in the winter, your solar panel system will produce less electricity.
Likewise, severe weather conditions like a recent hurricane can also affect solar production levels.
Your electric company may also charge higher rates during peak periods, such as summer evenings when everyone uses air conditioning.
While solar panels can save you money on your electric bill over time, there may be periods when your bill is higher than usual.
Contact your solar company for more information if you’re concerned about your energy usage or solar production levels.
Solar Panels Not Reducing Bills
It’s a common misconception that solar panel installations will immediately reduce your electricity bill. In reality, it’s much more complicated than that.
Solar PV systems are designed to offset your energy usage by supplying the grid with renewable energy when your system is generating more power than you are consuming.
However, your utility company will only give you credits for the excess energy sent to the grid. These credits are applied to your account at their discretion – usually during their annual billing cycle.
This means that you may not see any reduction in your bill for months or even years after your solar installation.
Additionally, most homeowners don’t have enough power generated by their solar PV system to offset their energy usage completely.
As a result, they will still be charged for the electricity they consume and the minimum monthly fee from their utility company.
In some cases, solar panels can even increase your electric bill if they are not installed correctly or do not generate enough power.
There are tell-tale signs that your solar PV system is not operating correctly, such as a sudden increase in your electric bill or a decrease in the number of credits you receive from your utility company.
How Much Do Solar Panels Save On Electricity Bills?
It is typical for a home solar power system to produce roughly 900 kilowatt-hours (kWh) of electricity every month.
Owning a solar power system can save you up to 90% on your monthly energy bills, as the average home consumes 893 kWh of electricity each month.
Electric Bill Before And After Solar Panels
For most solar panel owners, the electric bill before and after installing solar panels is a night-and-day difference. And it’s not just because they’re using less energy from the grid.
Homeowners can eliminate their energy bills with an appropriately sized solar energy system.
In fact, in many cases, the solar company will write them a check each month for the excess energy that their system produces.
But how does this happen? Firstly, it’s essential to understand how much energy your home consumes.
This varies significantly from household to household and even day-to-day. Still, once you have a baseline understanding of your usage, you can assess how much solar production is necessary to offset that consumption.
From there, it’s simply a matter of installing enough solar panels to cover your needs. In most cases, solar panel owners find that their system pays for itself within a few years.
After that, it’s pure solar savings, money that would have otherwise gone straight to the electric company.
So if you’re thinking about making the switch to solar, don’t wait – the sooner you do it, the sooner you’ll start seeing results.
Will Solar Panels Eliminate My Electric Bills?
Even if solar panels are installed, you will still be billed for electricity. If you have a net metering credit, the bill might not ask you to pay anything but reflect how you offset yours for the month.
Because solar panels are a limited resource, your electric bill will likely be higher if you use them.
Most utility companies limit the size of solar systems to match the site’s historical energy consumption average.
On the other hand, more solar panels will allow you to generate more power for your residence or business.
Contact your local solar specialists today if you’d like to learn more about how solar works and how much money it may save you on your power bill.
Thanks for reading.
Why are my solar panels not saving money?
One possible explanation is that their roof is too small to accommodate enough solar panels to offset their power consumption.
Another reason could be that their utility company’s net metering program is unfriendly, resulting in lower savings for the homeowner.
Another possible explanation is that too many trees shade the roof.
Another possible reason is that you are reading your meter wrong or have a faulty meter.
What happens if my solar panels produce more electricity than I use?
If your solar panel system generates more electricity than you require, you can export excess power back to the grid.