What Your Electric Bill Will Look Like After Installing Solar Panels
Nov. 10, 2023
Electric bill savings are one of the main reasons to go solar. But there is a lot of confusion around what solar panels actually do to your electric bill. Will they eliminate it entirely? Will you still get an electric bill once you have solar panels installed?
In this guide, we explain what your electric bill will look like after you go solar to help you prepare for your solar panel installation.
Do You Still Have an Electric Bill with Solar Panels?
Yes—you will still receive a monthly electric bill after you have solar panels installed. It will, however, be much lower or even negative.
Solar Panels Can Make Your Electric Bills Negative
When you install solar panels in Massachusetts, you enter into a net metering agreement with your utility company. Net metering allows you to export the excess electricity your solar panels generate to the grid in exchange for a credit to your account. When you need more electricity than your solar panels can produce, you will buy it from the grid and your net metering credits will offset the cost.
Net metering credits never expire, so you can rack them up in the summer when you’re producing a lot of electricity and use them to cover your higher utility costs in the winter when your solar panels are not producing as much.
With net metering, it’s possible to have a negative electric bill!
How Much Do Solar Panels Save?
How much you save with solar panels depends on several factors, including how much electricity you use, how many solar panels you install, and how much sunlight you get.
Boston Solar installs custom solar power systems that are designed to cover as much of your electricity usage as possible. Our goal is to cover 100% of your electricity costs, but of course, there are factors to going solar that may prevent this, like roof orientation and how many panels will fit on your roof.
Because there are so many factors at play, it’s best to schedule a solar consultation with an experienced local solar installer to find out how much you can expect to save with solar. Boston Solar offers free consultations that include an in-depth evaluation of your electricity usage and an estimate of your average electric bill with solar panels.
Electric Bill vs “Solar Bill”
There are a few different ways to pay for solar panels, and the financing option you choose will impact your monthly payments and overall savings.
- Cash: Paying for solar upfront in cash will result in the highest lifetime savings.
- Loan: A solar loan allows you to pay for your solar panel installation slowly over time instead of making one big upfront payment.
- Lease: A solar lease is often the most affordable way to go solar. With a lease, you pay nothing upfront and make a fixed monthly payment to a third-party leasing company. It’s important to note, however, that you will not own your solar panels if you lease them.
No matter how you pay for solar panels you will still receive a monthly statement from your utility company (even if you don’t owe anything). If you choose to finance your solar panel installation with a solar loan or a solar lease (both great options) you will also have what’s often called a “solar bill.” Your solar bill is your monthly loan payment or your monthly payment to your leasing company.
Average Electric Bill with Solar Panels: Real Customer Example
To provide a real-world example, we asked a customer from one of Massachusetts's biggest electric utility companies to share their solar energy bill with us so we could show how much solar panels save on electricity bills here in the Bay State. Note that every solar energy system is different—not every customer will have a negative bill.
Eversource Electricity Bill After Solar
Ira W. of Bedford, MA had his 6.9kW solar PV system installed by Boston Solar. His average annual consumption was 6.45kW, but he opted to go a bit larger because he’s hoping to purchase an electric car in the future.
Ira W.'s home in Bedford, MA with solar panels installed by Boston Solar.
The first page of his bill shows a summary of the past year of electric usage, how much is due, current electricity rates, charges, and usage summary. The second page of his bill is a bit more detailed with how much he has been credited to date ($118.49) and his overall total charges for the month. Note that he still must “pay” a delivery fee of $6.43, but this amount is deducted from his net metered balance.
You’ll notice on his electric bill below, that it shows his “NET MTR CRDT” (net meter credit) in unused kWh times the amount he pays per kWh ($0.17970) and his total charges or credits. This month, he banked $70.84 and his total credit to date is $118.49.
He will generate more electricity in the summer months, but he also has central air conditioning, so he’ll be using more as well. He told me, “It’s so cool that I have a negative bill and don’t have to pay anything to Eversource!”
Find Out How Much You Could Save with Solar Panels
Generating your own electricity with solar panels is the most affordable way to power your home. Solar offers incredible financial incentives, including reduced or eliminated electricity costs with net metering credits.
Solar panels and solar batteries are also eligible for the 30% federal solar tax credit. The solar tax credit reduces your solar installation costs so you can break even and start profiting off your investment faster!
There’s no better time than now to go solar and start seeing negative electricity bills. Plus, with Boston Solar’s Production Guarantee, your system’s energy production is guaranteed or we’ll pay the difference! Don’t wait to go solar—call us today for a free consultation and estimate.
Don’t miss out on solar savings! Call 617-858-1645 or contact us to get your free estimate.