Harnessing the energy from the sun is great, and storing it to use later is even better – that’s why residential solar batteries are becoming a popular option for homeowners. On-peak energy rates and the end of net metering credits have consumers turning to batteries to keep more money in their pockets.
Certain states, including Arizona, have time-of-use rates. This means power companies charge energy users more when they use power at peak times. Peak times vary based on utility provider. A solar battery allows consumers to use energy gathered in off-peak time to use during peak time, which will help maximize savings.
Net metering credits are received when a consumer sells their excess energy back into the grid. Based on the amount of energy sold back into the grid, consumers are credited a sum of money to be used toward their next energy bill. Some energy companies provide users with an even exchange rate, meaning if you sell 13 cents worth of energy back to the grid, you are credited 13 cents on your next bill. Other energy companies only give partial credits to their consumers – you sell 13 cents back to the grid, but you only get credited 7 cents on your next bill. Arizona took it a step further. In 2016, Arizona’s major energy corporations voted to get rid of net metering credits for rooftop solar customers entirely.
With the benefit of selling energy back to the grid gone, batteries offer a money-saving alternative to help homeowners make the most of their solar energy systems. Instead of the energy going to the grid and providing no economic value to consumers, solar energy customers can store that excess energy in their battery and use it later.
Solar batteries can also save you money through tax credits. The IRS recently decided that solar batteries can be included in the Solar Investment Tax Credit (ITC). This credit allows you to deduct 30 percent of the cost of installing a solar battery from your federal taxes. The batteries need to be charged exclusively from solar for at least five years to qualify for the tax credit.
The solar industry is changing, but your savings shouldn’t have to. If you are considering installing a solar battery, SunHarvest Solar can help. Browse our battery selection, and contact us for more information about how you can save money with solar energy.