Solar power in Anaheim, California
Anaheim is one of the best cities in America to install solar. Great sunshine and expensive power alongside excellent incentives make solar an amazing investment for your home.
Most Anaheim residents purchase their power from either Southern California Edison(SCE) or Anaheim Public Utilities(City of Anaheim).
Do Southern California Edison or the City of Anaheim offer any rebates for installing solar?
All the great rebates of the past have unfortunately expired however, due to the rapid decline in price over the last 10 years such rebates are no longer necessary to support solar.
Is net metering available for customers of SCE and Anaheim Public Utilities?
Each Utility are required by the PUC(Public Utilities Commission) to offer net metering to their solar customers. The tricky part is that Southern California Edison and the City of Anaheim offer two very different forms of net metering.
Net Metering Broken Down
When your solar system produces more energy than what is being used in the home the excess power is sent to the grid. Your utility most compensate you at retail value in the form of credit on your bill in exchange for that power. A great example would be if your monthly power bill was for 800kWh but your solar system throughout the month exported 800kWh, this means you would incur no bill. Net metering is essentially a “one-for-one” system for crediting unused solar generation and using it to offset your usage from your utility.
What if my solar system exports more energy than my home consumes?
The city of Anaheim and SCE both carry over unused credit from the end of the month to be used on future bills still at the retail value. When it comes to valuing unused credit at the end of the yearly billing cycle each utility has a different policy.
Southern California Edison will value each remaining kWh at the "avoided-cost" rate (about 3¢-4¢.) per kWh. The avoided-cost rate is essentially how much it costs your power company to produce the power or purchase it from a wholesale provider.
The City of Anaheim allow the customer to choose to be credited in cash annually or receive bill credit monthly. If you elect to receive cash each kWh of credit remaining at the end of the year will be valued at the ACC rate of $0.0442/kWh.
Southern California Edison’s new NEM-2 changes and how it affects your investment?
On the 1st of July 2017 Southern California Edison changed it’s net metering policy to require new solar customers to switch to time-of-use billing. This means the value of energy your solar system sends to the grid will vary depending on if it’s exported during on or off-peak hours. Naturally energy exported during on-peak hours will receive higher value.
The worst part of these NEM-2 changes is the “non-bypassable” charge of about 2¢ per kWh for electricity your home draws from the grid. Unfortunately you cannot offset this charge with net metering credits.
The good news is these changes only reduce returns from net metering by about 10%. Thanks to the 30% federal solar tax credit and the decline in equipment prices over the last few years solar is still booming in Anaheim and all of California.
The 30% federal solar tax credit explained
If you have a federal income tax liability 30% 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 30% of my systems cost
There is the option to claim this incentive over several years if your tax liability is less than 30% of the system cost.
So how much can I save by installing a solar power system on my home or small business in Anaheim in 2018?
The answer to this question depends on your electric usage. Generally speaking the greater your power usage the greater the potential savings from installing solar.
The average monthly usage in California is only 580kWh per month however, you are most likely using a lot more than this since this average includes condos and small apartments.
You are probably using about 1000kWh per month and a bill of roughly $180. If you have a roof that supports solar and receive maximum production from your panels. A zero down solar loan for a system of this size would be roughly $100/mo, this would save you about $60 per month. To purchase the system outright would cost about $16,974 after claiming the 30% federal solar tax credit.
City of Anaheim’s PACE program
Much like a zero down solar loan PACE is paid for by an increase in your property taxes. PACE gives you day one savings and if you do decide to move houses you don’t have to continue paying for a solar loan you aren’t using. Since PACE works by a property tax increase whoever owns the house pays for the solar system.
Even if you are not convinced about solar we recommend that at the very least you use the solar panel calculator for Anaheim to find out:
- How many solar panels you need to cover your power bill;
- How suitable your house is for solar;
- What incentives your house may be eligible for;
- The cost of solar panel installation in Anaheim and whether you are eligible for zero down solar deals; and
- Your likely payback period and return on investment from installing solar
Estimate your solar savings
The average cost of installing residential solar panels in Anaheim, California in 2020 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 Anaheim, CA is $13,600. (before claiming 26% tax credit and other rebates)
What does the cost of a real solar system look like?
Facts about installing a 8.29kW solar system in Anaheim, CA
This system would offset 100% of your energy usage if your typical monthly bill is $218, however your situation may vary so try our Anaheim solar calculator to get a result tailored to you.
Net cost of system
Cash - after 26% solar tax credit
5 Years 6 Months
Average payback time
Annual power production
levilized cost of solar energy
If you don't get solar
The forecast average utility price over the next 25 years
Cash flow graph based on cash purchase of this 8.29kW system
Life-time savings on this system over the next 25 years
(Prices shown after repayments of capital)
Solar companies in Anaheim, CA that provide pricing through the Solar-Estimate marketplace
Average total cost of solar panel installation in California
|System Size||Cash purchase
After 26% solar tax credit
After 26% solar tax credit
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:
Please keep in mind that the best source of up-to-date information on incentives are the solar installers who specialize in your area.