Anyone here have Solarcity install solar panels?

[Ducati996]

I just signed up to have Solarcity install a 7kw system on my garage roof which will lock in my electric rate at $0.103 per kw for the next 20 years.
The rate on my last bill was $0.155 per kw.
My new bill when the system is installed & operational will be fixed at $67.99 per month for 20 years.
Anyone else have a solar electric system?
Any thoughts or comments?

Ducati996

 

[hattaresguy]

Sounds like a good deal. Last time I checked into a 5k system it was $30k before tax credits. My uncle paid $40k for his 7k system last year before tax credits.

His electric bill is usually just the service charge, this is on a 6ksf beach house, he keeps on talking about getting a Tesla to take advantage of it more.

 

[HTSS_TR]

My monthly electric bill is about $30 a month in summer, about $40 a month in winter. Installing 5-7kw solar panels will take more than 30 years to recoup the money.

 

[Merkava_4]

Originally Posted By: HTSS_TR
Installing 5-7kw solar panels will take more than 30 years to recoup the money.


Does that mean a 5-7kw solar panel system is too small ?

 

[HTSS_TR]

Any size solar panel system is too expensive for my house. We use about 250-280kw per month in summer, 300-350kw per month in winter. Cost per year is less than $500, even if I can save 80% of that amount with a solar system that costs only $10k, it will take 25 years to recoup the money.

 

[SwampSurvivor]

Hate to say it, but those solar panels are going to lose most of their efficiency before they are paid off ...

 

[brandini]

They also get paid off if you sell your solar energy credits on the open market. That's where you get the money back.

 

[Ducati996]

The first Solarcity proposal was no money out of pocket with a fixed price per kW of $0.139
I then asked if I could get a lower rate if I put money down. The sweet spot for me was $2100 down to be made in 2 payments for a fixed price of $0.103/kw.
My thought on leasing is that they have a vested interest in the system that requires them to keep it in good operating condition to recoup their investment.
The fact that they lose their efficiency does not affect my cost/kw.
Solarcity insures the system and building which sounds good to me.
They are in this business to make money but this also controls my electrical costs for the next 20 years.
Being leased it won’t be considered an investment in my property plus it can be transferred in the event I sell my house with the same terms to the new owners.
That could be a selling point!

Ducati996

 

[Sunnyinhollister]

We installed a 9.5kw system using a small outfit that had been around for a while. The used Hyundai panels and Enphase inverters. If memory serves the cost after rebates and tax credits was about $21k. We sized it a little larger because I wanted to make sure there would be no bill at the end of the year. This year we got back $500.

 

[Vikas]

Be careful and look at the guaranteed annual increase in the rate. Once you realize that it is compounded, then take a look at your own electric bills before believing any solar company's propaganda.

 

[KenO]

I'm still not a believer in household solar. Solar water heaters maybe, but not for electricity production. I think I'd rather build a windmill. And why would you want to lock in your monthly bill? Rates are going to fluctiate forever,a nd so is your usage. With a solar system, what about months where you use no electricity from the grid at all, or better yet, when you generate electricity and should be getting PAID to return it to the grid??


BTW HTSS_TR - how do you manage to use so little electricity? I use nearly 10x that amount.

 

[Ducati996]

Originally Posted By: Vikas
Be careful and look at the guaranteed annual increase in the rate. Once you realize that it is compounded, then take a look at your own electric bills before believing any solar company's propaganda.


The first proposal they sent me had a 2.7% annual increase every year.

There is no rate increase with this proposal, that was the selling point for me.

Ducati996

 

[Ducati996]

I'm still not a believer in household solar. Solar water heaters maybe, but not for electricity production. I think I'd rather build a windmill. And why would you want to lock in your monthly bill? Rates are going to fluctiate forever,a nd so is your usage. With a solar system, what about months where you use no electricity from the grid at all, or better yet, when you generate electricity and should be getting PAID to return it to the grid??

Why do you see solar hot water as more viable than solar electric?
Building and maintaining a windmill with any significant output I think would be fairly costly and require frequent maintenance and battery’s to store the power.
I use approx. 8000kw per year and my bill has been going up not down and my usage does not vary more than 500kw per year. I will save approx. $50 a month at today’s rates. Why wouldn't I want to lock in a lower rate for 20 years?
The possibility of me using no electricity is ZERO!
Over production will generate energy credits I can use at a later date (they don’t expire) or I can give them to someone perhaps my father in law or get a check in the mail.

If you could reduce you electric bill by 50% AND guarantee no rate increases for 20 years and save a small piece of the environment would you?

Ducati996

 

[KenO]

Originally Posted By: Ducati996
Originally Posted By: KenO
I'm still not a believer in household solar. Solar water heaters maybe, but not for electricity production. I think I'd rather build a windmill.
And why would you want to lock in your monthly bill? Rates are going to fluctiate forever,a nd so is your usage. With a solar system, what about months where you use no electricity from the grid at all, or better yet, when you generate electricity and should be getting PAID to return it to the grid??

Why do you see solar hot water as more viable than solar electric?
Building and maintaining a windmill with any significant output I think would be fairly costly and require frequent maintenance and battery’s to store the power.
I use approx. 8000kw per year and my bill has been going up not down and my usage does not vary more than 500kw per year. I will save approx. $50 a month at today’s rates. Why wouldn't I want to lock in a lower rate for 20 years?
The possibility of me using no electricity is ZERO!
Over production will generate energy credits I can use at a later date (they don’t expire) or I can give them to someone perhaps my father in law or get a check in the mail.

If you could reduce you electric bill by 50% AND guarantee no rate increases for 20 years and save a small piece of the environment would you?

Ducati996



Fixed the quote for you. And it all depends on the numbers. I'm not a fan of 'credits' though, I'd only want to deal in real cash terms. So, you're netting $0 for any electricity returned to the grid at present?? How much was the setup again? Amortized over how many years? I'd have to sit down with the numbers when I'm at home (at work now) and figure out what the setup is costing you. Your power is really $.15/KWh though? Seems a lot, mine is KWh here in GA.

 

[Cujet]

There are a number of companies pulling this off successfully. I think they are purchasing solar panels at well below market rates. While the system may be labeled as a $21,000 system, it, in reality, costs the company about $6000 for 7000w worth of solar panels. Plus, they get some form of "kickback" that reduces the cost further still. If I were to guess, the actual business model has the cost at 1/3 the quoted price.

I do believe integrated utilities like this can work. But the engineering has to be right, and the panel/inverter costs must be low.

 

[tom slick]

I just met with Solar City to see what they offer. Their PPA deal seems to mitigate the ROI concerns I've had about owning solar. They own the equipment and all of the risk. I'd use their equipment with an agreement to buy its power generation at a rate cheaper than the local utility.

My local utility uses a tiered rate system, I'm paying 13, 15, 32 to 36 cents per kwh depending on the tier of usage. With some reasonable assumptions their system would save me $500 a year.

 

[PandaBear]

The way I see it, these lease deals are like car lease or financial deals that are not there to make money but to increase sales volume for now. Once you look at it that way, it makes sense for many companies and customers.

Also if you have a dedicated crew of people that install this all the time, full time, and have all the permit process in an assembly line like efficiency, your cost drop SIGNIFICANTLY.

If I use a lot of electricity and have a south facing roof, I may lease one like that too, just big enough so that I can reduce my higher tier electricity rate (those expensive ones like 13c / kwh) instead of completely eliminate the lower tier one (i.e. 10c / kwh).

 

[Ducati996]

Originally Posted By: tom slick
I just met with Solar City to see what they offer. Their PPA deal seems to mitigate the ROI concerns I've had about owning solar. They own the equipment and all of the risk. I'd use their equipment with an agreement to buy its power generation at a rate cheaper than the local utility.

My local utility uses a tiered rate system, I'm paying 13, 15, 32 to 36 cents per kwh depending on the tier of usage. With some reasonable assumptions their system would save me $500 a year.


Hi Tom Slick
I think Solarcity is a good deal & I'm excited about it.

If you contacted Solar city because of this post tell them I referred you so I can get the $200 referral credit.

I'll split it with you!

I have a date of December 5th for the engineers to look at my house for the planning stage.
I hope there are no unexpected surprises.

Ducati996

 

[tom slick]

Actually my neighbor recommended them to us a few weeks ago.

Are you going to generate enough power to cover all of your needs? How many months do you expect your pre-payment to cover?

The system we are looking at generates enough to cover keep us out of the upper tiers.

 

[Ducati996]

Originally Posted By: tom slick
Actually my neighbor recommended them to us a few weeks ago.

Are you going to generate enough power to cover all of your needs? How many months do you expect your pre-payment to cover?

The system we are looking at generates enough to cover keep us out of the upper tiers.


No!
I called it a pre-pay which may have been misleading, it is actually money towards the system that allows me a lower fixed cost per kw.
If I went with no money down the cost/kw would have been $0.106 per kw or $75 a month for the first year with a 2.7% rate increase per year for 20 years which is the duration od the lease.
By putting $2100 up front my cost per/kw is $0.103 or $74 a month fixed each month for 20 years.