Calculate how much it will cost to install solar panels for your home in Orange
Solar power in Orange, California
Orange County is one of the best places in the nation to install solar panels for your home. The combination of expensive utility rates and abundant sunshine, plus some great incentives, makes installing solar panels for your home in Orange County a great investment.
Most residents of Orange County purchase power from Southern California Edison (SCE), with some southern parts of the county serviced by San Diego Gas and Electric (SDG&E). If you’re a customer of SCE and SDG&E, going solar is one of the best ways to reduce your electricity bills.
But, the way these utilities credit solar energy is about to change. The California Public Utilities Commission approved new rules that will go into effect on April 13, 2023. The new rules, called Net Billing or NEM 3.0, will reduce how much Californians save with solar and lower the return on investment.
The good news is that these rules aren’t in place just yet, which means you still have time to switch to solar and get the highest savings possible. If you want to save the maximum amount of money on your electricity bills while powering your home with renewable energy, you’ll need to contact a solar installer sooner rather than later. Otherwise, you won’t be saving as much as you could!
Net Metering Broken Down
How does net metering work?
Solar panels produce the most power during the middle of the day when the sun is shining. This happens to also be the time of day that your home is using the least amount of power. When your panels produce more electricity than your home needs, the excess solar energy gets sent to the grid.
With net metering, your utility provider will give you a credit on your utility bill for the solar power you send to the grid. That credit can then be used to offset some of the costs of electricity you use from the grid when your solar panels aren’t generating enough electricity to cover your home’s energy needs.
Customers of SCE and SDG&E are currently billed under something called Net Metering 2.0, or NEM 2.0 for short. NEM 2.0 requires homeowners to use time of use rates and get credited at a rate just shy of the full retail rate of electricity for solar energy sent to the grid.
The California Public Utilities Commission recently approved new rules to switch from NEM 2.0 to Net Billing in 2023. Solar panels save homeowners less money under Net Billing than they would under NEM 2.0. This means if you want the highest possible solar savings, you should go solar as soon as possible. You’ll need to complete the first parts of the solar buying process before April 2023 to stay on NEM 2.0 and save the most money.
The average cost of installing residential solar panels in Orange,
California in 2025 is
$2.72 per watt. The average system size
in the US is 6 kilowatts, which means the average price of a solar system
in Orange, CA
is $13,600.
(after claiming 26% tax credit and other rebates)
The 26% federal solar tax credit explained
If you have a federal income tax liability, 26% of the cost of your solar system can be claimed as a deduction to your taxes. This incentive is claimed when you do your taxes. In order to receive the tax credit quicker it's best to do your taxes as soon as possible after installation.
What if my tax liability is less than 26% of my systems costThere is the option to claim this incentive over several years if your tax liability is less than 26% of the system cost.
How much will solar panels on my home save me?
The answer to this question depends on your electricity usage. Generally speaking the greater your power usage the greater the potential savings from installing solar.
The average monthly usage in California is only 573kWh per month however, you are most likely using a lot more than this since this average includes condos and small apartments.
The Orange solar panel savings calculator below will convert your monthly power spend into power usage (in kWh's) and then work out exactly how many solar panels you need to offset your usage, how much they will cost based on the prices of local solar companies and the amount you will save. Our California solar savings calculator can do this because it contains a database of the electric rates charged by City of Anaheim, San Diego Gas & Electric Co, Southern California Edison Co
How much can solar panels save you in Orange
What does the cost of a real solar system look like?
Facts about installing a 9.81kW solar system in Orange, CA
This system would offset 100% of your energy usage if your typical monthly bill is $258, however your situation may vary so try our Orange solar calculator to get a result tailored to you.
$17,236
Net cost of system
5 Years
Average payback time
14,742 kWh
Annual power production
5¢/kWh
Levelized cost of solar energy
37¢/kWh
If you don't get solar
Cash flow graph based on cash purchase of this 9.81kW system
Life-time savings on this system over the next 25 years
$112,924
(Prices shown after repayments of capital)
247
Solar companies in Orange, CA that provide pricing through the Solar-Estimate marketplace.
Average total cost of solar panel installation in Orange
| System Size |
Cash purchase After 30% solar tax credit |
Financed purchase After 30% solar tax credit |
|---|---|---|
| 3kw | $6,069 | $6,555 |
| 4kw | $7,924 | $8,558 |
| 5kw | $9,730 | $10,508 |
| 6kw | $11,424 | $12,338 |
| 7kw | $13,083 | $14,130 |
| 8kw | $14,616 | $15,785 |
| 9kw | $16,128 | $17,418 |
| 10kw | $17,500 | $18,900 |
Find out what system size you need for your home
Going solar in California
Check out all of the ways energy providers of California can help you be more energy efficient and save money.
The following programs are available:
| Incentive Name | Eligibility | Type |
|---|---|---|
| Residential Clean Energy Tax Credit | Federal | Personal Tax Credit |
| Property Tax Exclusion for Solar Energy Systems | State | Property Tax Incentive |
| Net Billing (NEM 3.0) | State | Net Metering |
| Self-Generation Incentive Program | State | Battery Rebate |
| City of San Francisco - Low-Income Solar Inverter Replacement Program | City | Low-Income Program |
| LADWP - Net Metering | Utility | Net Metering |
| Disadvantaged Communities – Single-Family Solar Homes (DAC-SASH) program | Residential | Low-income solar program |
Find your local rebates and incentives
Please keep in mind that the best source of up-to-date information on incentives are the solar installers who specialize in your area.
