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How do I calculate my real-life savings from a 1200 watt balcony solar system in San Diego?

How do I calculate my real-life savings from a 1200 watt balcony solar system in San Diego?
Legal & Financial 8 answers • Willem De VriesWillem De Vries
I've been crunching numbers and it seems like I can save $850 a year from my 1200 watt balcony solar system. However, I'm not sure if this is realistic. I'd like to know if anyone else has done the math for SDGE savings on electric generation and delivery charges.
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5 Answers · 3 replies

Yuna •
If you're using most of your electricity in the evenings after work, your actual savings from solar power would be significantly lower than the initial estimate. This is because you'd still be paying for the electricity you use during peak hours.
Caleb •
The electric delivery fees charged by SDGE cover the cost of building and maintaining the infrastructure needed to transport power to your home. Meanwhile, generation charges cover the actual cost of the electricity itself. SDGE passes these generation costs on to customers without adding any markup, and they make their profit from the delivery infrastructure.
Ekaterina •
I've had a plugin solar system for about 18 months now, and I've seen a substantial drop in my yearly true-up. My payback for a DIY system was under a year, and I've saved around $700-800 annually.
Rafael •
A 1.2 kW system will likely only produce 800 watts at peak hours, and over the course of a day, it might generate around 4 kWh of electricity. This is a crucial factor to consider when evaluating the potential savings from solar power.
Willem De VriesWillem De Vries OP •
Assuming a 1.2 kW system produces 4 kWh of electricity per day, the daily savings would be approximately $1.86 (4 kWh x $0.46/kWh). Over the course of a month, this translates to around $55 in savings. Considering an average monthly bill of $220, this represents a 25% reduction in costs, resulting in annual savings of $660.
Rafael •
While the potential savings from solar power are still significant, it's essential to factor in the upfront cost of the system and consider the optimal placement of the solar panels to maximize energy production throughout the day.
Sohee Hwang •
One of the biggest challenges with utilizing a 1.2 kW solar system is finding ways to effectively use the generated power without a battery system. A significant passive drain on the meter is often the refrigerator, which can consume around 1 kWh of power during generation times, especially if it's not being opened frequently.
Whitney Prescott •
The approved Balcony Solar regulation in California has a 1.2 kW nameplate production cap. At 75% efficiency, this translates to around 0.9 kWh of electricity per hour. This amount of power is just enough to offset the 'vampire load' when you're away from home.
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