The Future is Bright for Saving Money with Solar in Central California
The future of California solar is as bright as ever with rising utility costs, and a shift to independent solar production and usage. Solar plus storage is gaining popularity and proving to be the new way to live more independently. Solar technology capabilities and renewable policies are driving factors for increasing solar installations.
Residential solar growth is expanding due to the following factors: rising electricity tariffs, improved battery technology, increased demand for household electricity.
Electricity tariffs are increasing due to system maintenance, as the utilities are focused on improving infrastructure and upgrading transmission and distribution lines. Due to clean energy regulations and policies, there are programs that focus on increasing electrical grid capacity. PG&E is a good example of a local utility company that passed their business costs onto the rate payers by implementing five rate increases in 2024.
Battery technology is improving, and their cost is decreasing. With a reduction in costs, the ROI of solar and battery projects are offering a 4–7-year payback and allowing homeowners to become more energy independent while saving money.
Household electricity demand is on the rise with new standards that are in place for the adoption of Electric Vehicles (EV) and subsequently at home chargers. The EV initiatives have resulted in EV ownership growth while electric appliances are also being phased in to replace gas as they are more energy efficient.
The demand for more electricity to be generated and consumed directly by individual homeowners is the solution to offsetting the increase in electricity to accommodate our lifestyle and to run our households more efficiently and economically.
The best part is, there are not only reasonable and affordable solutions to the electrical supply network, but there are incentives for those who invest in solar and battery for their home. The Solar Investment Tax Credit (ITC) was created as a mechanism to support the growth of solar energy and offers a 30% tax credit for individuals installing solar on residential property.
With the ever-increasing use of electricity and the need to upgrade and maintain the grid infrastructure, solar energy is a proven technique and solution to diversify the resources needed to meet the growing demand of energy needed.
