California has been a top state for solar energy for years, thanks to our sunny climate and excellent solar policy. But recent changes to net energy metering aka NEM 3.0 have left many homeowners wondering whether solar power is still worth it in California.
We believe that it is. Extreme heat and wildfires are getting worse, and the grid is under more strain than ever before. Meanwhile, PG&E’s rate increases are getting out of control.
Solar panels—especially when paired with battery storage—solve these problems by putting you in control of your own electricity production. Keep reading to learn why solar is a good investment in California and why you should get solar panels for your home.
Solar Panels Free You from PG&E
Everything is getting more expensive these days, and electricity is no exception. In 2023, PG&E introduced an 8% rate increase, skyrocketing people’s electric bills. If you’re fed up with PG&E and want to escape, solar panels are the way out.
Solar panels allow you to produce your own electricity, so you can buy less from the grid and save money on your bills. If you take it a step further and install solar panels with battery storage, you won’t even have to buy from the grid at night—you’ll have access to solar power 24/7, significantly reducing your electricity bills and your reliance on PG&E.
Protection Against Future Rate Increases
Installing solar panels doesn’t just save you money on your electric bills now—it also protects you against future rate increases.
When you go solar, you lock in what you pay for electricity.
- If you buy your solar panels outright, you are essentially paying upfront for your next 25+ years of power—any rate increases that come after won’t affect you.
- If you finance your solar panels, you lock in a fixed monthly payment. Most homeowners can secure a loan with a lower monthly payment than their current electric bills. In this scenario, you swap your volatile PG&E bill for a fixed monthly payment that goes toward owning your solar panels.
Keep Your Lights on During a Power Outage
How many unexpected power outages and PSPS events have you dealt with in the past few years? With solar panels and battery storage, you won’t have to worry about a grid outage knocking out your power supply. Your battery will take over automatically during an outage and provide emergency backup power to keep your essentials running.
Element Electric is a certified Tesla Powerwall installer and can get you the best solar battery storage for your home. We can size your battery bank to backup essentials, like your refrigerator, or your entire home.
For many of our customers, a solar panel and battery system is worth it for the peace of mind alone. But under NEM 3, batteries have financial benefits as well—the payback period for a solar plus battery system is faster with NEM 3.0 than solar panels alone.
The Solar Tax Credit Was Just Increased!
Net metering may have been taken down a notch in California, but other incentives are being increased. The federal solar tax credit was recently bumped up to 30% for solar panels and solar battery storage. With the solar tax credit, you can get 30% of your investment back as soon as you file your taxes for the year you install your solar energy system. The tax credit speeds up your payback period so you can start making money on your investment in solar panels faster.
Element Electric can help you take advantage of all the benefits of solar energy for your Davis or Dixon, California home. We’ve been installing solar panels since 2005 and strongly believe solar power is the future of electricity. If you’re looking for a local solar panel installer in Dixon, Davis, or a nearby community, give us a call. We make it easy to make the switch.