PPA vs buying

[Tml]

Good points so far, thank you

I tend to agree that conservation is the first step. It is hard to imagine that I have had 2 kids move out in the last few years and my bill hasn't changed, maybe even has cost more. I remember a few years ago I was worried about my job and went around turning off all the lights that were left on and tv's that were not getting watched for the entire month. It did save me money.

The 20 year commitment is what scares me the most with the PPA or I think I would jump on it. Who knows how much SCE rates will continue to increase (supposed to be another 5.9% this year). Then I assume the PPA rates will rise too?

I will look into some of your suggestions. I would love to know if I am actually using what they say I am. Every one of my neighbors literally says they can't believe my bill and the only thing I can see I have different is a pool. When I called SCE the guy calculated that it does cost me around $135 per month to run the pump.

So far I will get in touch with my electrician friend and ask if he can help me with the meter to see if it is right and I will look into the training center. I go to Irwindale often. I also know an owner of a pool place so I will get some info on the variable pump and I should be able to get that done regardless.

Besides the pool pump what things cost the most to run? Refrigerator (I have 2), washer/dryer (I bought new upright energy efficient ones 3 years ago), A/C (I know this kills me in the summer) my is 30 years old and still works great, but I imagine a new one would help a lot.

[PVman]

One last thing I should mention is that the California state rebate for solar (CSI) is almost out of incentive money for residential PV. They estimate it will be exhausted in a few weeks. By the way, the current rebate amount for residential PV is only $.20 per watt (eg 3kw PV system = $600) so it is not a huge loss if you aren't able to get it.

[PVman]

Oh, by the way, take a look at the SCE training center in Irwindale. https://www.sce.com/wps/portal/home/business/tools They have some good info, classes, etc. They are a good resource.

[PVman]

I would agree that a variable pool pump may help with the high energy usage. I have been told that it is better to save money by reducing your inefficiencies than to invest in a large solar PV system. They are probably right. First correct these energy consumption problems then you'll have a better idea what size solar PV to install. Some people install just enough PV to get their usage out of Tier 3 & 4 while other try to zero out their entire electrical demand. Either is a valid option in my book.

[Ian S]

If you don't have the cash but really want solar, then some sort of solar lease /financing/ppa is the only alternative. If you think you are using too much electricity, you might benefit from an energy audit or even picking up a kill-a-watt meter and investigating yourself. Several folks here have pointed out for example the benefits of a variable speed pool pump in cutting electric use. You really should try conservation efforts first especially before committing to a 20 year PPA. If you can cut your usage significantly, you may be able to get by with a smaller i.e. cheaper solar system should you still want one. BTW, I'd avoid anything like a lease/PPA with an annual escalator. Some solar companies are coming up with more attractive financing methods now so that may be an option. Keep in mind there's still a 30% federal tax credit. It's not refundable but it can be carried forward if not all used in the first year.

Look around at the discussions here - there's many folks from Socal who have gone through the process and can answer questions and recommend installers.

[Tml]

I have been on the fence about getting solar for my house for years now. I live in Orange, California and have SCE as my utility company. My daily average electricity usage is 44 (kWh). SCE said my yearly average was between 1400/1650.

My Tier breakdown is:
1) 304kWh at .13
2) 91kWh at .16
3) 213kWh at .28
4) 769kWh at .32

I really can't understand how my bill on my flex plan is $420 a month when my neighbors are between $120-$220. I do have a pool and we don't exercise turning off lights and tv's like we should, but it is not overly crazy for 3 people. I am always in Tier 4 and most of my usage is at .32cents/kWh. So frustration has got me thinking about solar.

With so much info out about solar, who do you trust? Between buying, leasing and PPA it gets confusing. Sounds like leasing is not very good from what I have read.

For people who know nothing about solar panels, inverters, hardware and other things involved with solar it makes it kind of tough to get companies to give their sales pitch. They would all make it sound good I am sure.

A vivint solar sales guy is working our area lately. I am surprised I can't find more information on them, but I assume their plan sounds good. They offer a PPA for a 20 year commitment (ugg) at .15kWh with a 2.9% escalation. If I could get my usage at .15cents/kWh it appears it would save me a lot of money. They own it and maintain it so I don't have to do anything.

There has to be a catch or trade off with a PPA?
Also, I am sure people would say it is better to buy than get a PPA. I would not have a problem getting an equity loan to do that, but I worry about getting ripped off big time since it is so much money to put up.

I am just figuring if I can get out of Tier 3/4 with no out of pocket cost or having to deal with the system it benefits me. I hate hate hate the 20 year commitment especially with the fact of if we had to get out of it early it would cost a lot. I am not planning on moving and if we ever did I would rent my home.

I would appreciate everyone's comments as to your thoughts on the PPA and why it is/isn't a good idea. I am kind of the "guy" in the neighborhood who is trying to figure this out for the other neighbors who are interested. Thanks for your time!!!