The ever-increasing demand for energy has driven countless people to explore new alternative sources that can help reduce their monthly electric bills.
One such option is a home solar energy system combined with a home battery backup. This duo not only reduces energy costs but also ensures that customers never feel overwhelmed by their monthly solar payments.
In this article, we will explore the many benefits of integrating solar energy systems with home battery backups to maximize bill reduction potential and make your home more energy-efficient.
The Rise of Solar Energy and Solar Panel Installation
Solar energy has been gaining immense popularity in recent years due to its numerous advantages.
The technology behind solar panels has evolved significantly, allowing your house to harvest the sun's rays and convert them into electricity for daily use.
This clean and renewable energy source is environmentally friendly, but more importantly, it is cost-effective, allowing customers to save on their electric bills substantially.
In recent years, solar panels have gotten much cheaper to install. New technology, more efficient manufacturing, and larger-scale production have helped lower the upfront cost.
More people want clean energy, so governments now offer incentives like grants and tax breaks to help pay for solar panels.
As a result, homeowners, businesses, and communities can more easily use solar power. This is good for the environment and saves money in the long run.
Integrating Home Battery Backup
While solar energy systems alone can greatly reduce electric bills, incorporating a home battery backup into the setup can further maximize the cost-saving potential.
Solar energy systems alone can drastically reduce electric bills, yet incorporating a home battery backup into the system will maximize your energy while minimizing your costs.
These batteries store excess solar energy generated during the day, which can then be used when the sun is not shining, such as during nighttime or cloudy days. This ensures a continuous supply of electricity to your home, even during periods of low solar generation.
Option One Solar employs Tesla Powerwall's Intelligent Discharge Technology to automate the release of surplus energy according to the preferences of its clients.
Currently, the Tesla Powerwall 2 demonstrates its intelligent capabilities by charging exclusively at “off-peak” rates and discharging energy during peak periods when homeowners have time-based control over their electricity consumption from their utility providers. This smart system ensures the optimal use of energy resources at the lowest possible cost.
An excellent illustration of this capability involves scheduling the Powerwall system to discharge energy during peak hours of the day, optimizing household consumption.
Benefits of a Combined Home Solar and Battery System
Lower Electric Bills
The primary advantage of a solar energy system with a home battery backup is its potential to reduce or even eliminate electricity bills.
By generating and storing your own electricity, you can significantly decrease your dependence on the grid, effectively becoming your own power company.
Additionally, as energy prices continue to rise, your savings will only increase over time. Solar energy systems have a fixed cost throughout their lifespan, provide free energy after the payback period, and are expandable for any future needs.
Net Metering and Time-of-Use Rates 2023
Net metering allows homeowners with solar energy systems to sell excess electricity back to the grid, resulting in energy credits that can be applied to future bills.
The updated NEM 3.0 significantly reduces customer export rates to the grid, which has turned battery systems into the best investment to cut your bills.
With a home battery backup in place, you can optimize your net metering benefits by storing surplus energy and selling it back during peak demand times when the rates are higher.
Many utility companies offer time-of-use (TOU) rate plans, which charge different prices for electricity based on the time of day. Typically, rates are highest during peak demand hours, usually in the evenings.
For instance, under the recently introduced TOU-D-Prime plan for Southern California Edison (effective March 1, 2023), customers stand to benefit significantly from solar energy storage systems.
By utilizing stored solar energy during peak hours, customers can circumvent higher electricity rates, ultimately leading to substantial reductions in their utility bills.
TOU-D PRIME Summer rate (updated March 01st, 2023. Southern California Edison)
TOU-D PRIME Winter rate (updated March 01st, 2023. Southern California Edison)
Self-Consuming Energy Can Benefit Homeowners during Time-of-Use Rates
As we mentioned above, Time-Of-Use (TOU) rates are an electricity pricing structure where the cost of electricity varies depending on the time of day.
During peak hours, when demand for electricity is high, electricity prices can be significantly higher than during off-peak hours.
This pricing structure can be challenging for homeowners who want to reduce their energy bills. It requires a shift in energy consumption patterns to avoid using electricity during peak hours.
One way to reduce energy costs during TOU rates is to self-consume the electricity generated by a solar energy system with battery backup.
Self-consumption refers to the use of electricity generated by the solar panels in the home rather than selling it back to the grid.
By using the electricity generated by solar panels during peak hours, homeowners can avoid purchasing electricity from the grid at higher rates.
A solar energy system with battery backup is an ideal solution for self-consumption during TOU rates.
During peak hours, when electricity prices are high, the solar panels can generate electricity that is stored in the home battery backup system.
This stored electricity can then be used during peak hours, reducing the need to purchase electricity from the grid at higher rates.
In addition to reducing energy costs, self-consumption can also provide greater energy independence and resilience during power outages.
By using the electricity generated by the solar panels and stored in the battery backup system, homeowners can continue to power their homes even during blackouts or other disruptions to the grid.
Solar Increased Home Value
A home equipped with a solar energy system and battery backup is not only more energy-efficient but also more attractive to potential buyers.
Studies by Zillow have shown that homes with solar installations tend to sell faster and at higher prices than those without.
By investing in this combination, you are not only saving on your electric bills but also increasing your property's market value.
By harnessing solar energy, you are actively reducing your carbon footprint and contributing to a cleaner environment.
Solar power is a renewable and sustainable energy source that does not produce harmful emissions.
By opting for a solar energy system with a battery backup, you can further reduce your reliance on fossil fuels and promote a greener future.
Choosing the Right Solar and Battery Setup
When considering a solar energy system and battery backup for your home, it is crucial to select the right components and capacity to maximize your investment.
It's essential to evaluate factors such as your home's energy consumption, available roof space for solar panels, and your budget.
Option One Solar has your back. Let us help and consult with us and get the best option to go solar.