Solar Solutions

AMECO Solar recently joined community leaders and local residents to kick-off the release of Environment California’s new report about the importance of solar energy in LA County.

A Recap of the Solar Community Meeting

It was an inspiring event complete with stories told by Angelenos who have solar panels on the roofs of their homes or businesses, a letter-to-the-editor writing workshop, and a compelling speech in support of solar from Senator Kevin De Leon.

A big highlight of the meeting came from some of LA’s tiniest solar advocates. After the first graders from Betty Plasencia Elementary School gave their reasons for liking solar energy, they sang a song titled “Solar Power to the People” eliciting a lot of “awwws” from the audience.

Inspiring a City to Make Solar a Priority

The community meeting served as a kick-off for Environment California’s latest report, Solar in the Spotlight: Stories of Angelenos Investing in a Clean Energy Future. The intent of the report is two-fold.

First, it’s written to spread awareness of the benefits of solar power to all Angelenos. There are many misconceptions about solar panel installation, one being that many still believe that it’s only for the rich or those with large utility bills.

As you read about the 23 solar success stories highlighted in the report, it’s easy to see how the solar energy clientele has become diversified and is now accessible to people at all income levels. From churches to low-income housing and local business to homeowners, almost everyone mentions how the solar panels are saving them money and how happy they are to be relying on a clean, renewable energy.

Second, the report can be seen as a reminder to Mayor Garcetti about his welcome support for solar energy. While running for mayor, he endorsed the idea that Los Angeles should install 1200 MW of solar power to generate nearly 20 percent of the city’s needs. Now that he’s in office and putting together the plan for his term, Environment California hopes that the report will inspire Garcetti to continue to work on the “20 by 2020 campaign” an official city goal.

Support Solar and Take Action Today

Though Los Angeles has huge potential for solar installation, the city uses solar energy for only 2% of its electrical needs. We have a long way to go to meet the 20% goal.

If you have a couple minutes, please fill out a brief form at Environment California’s website to  sign the petition and help get Garcetti’s attention.

For those who are active on Facebook or Twitter, you can spread the word about solar in LA by posting or tweeting to your friends and followers. Use the @ericgarcetti and @EnvCalifornia handles to make sure that the Mayor doesn’t miss your post.

Instead of waiting in long lines and buying new things, Giving Tuesday is a day where people are encouraged to spend money on nonprofits and make charitable donations. This year, AMECO Solar suggests making a donation to a solar-focused nonprofit who is making our world a better (and brighter!) place.

Saving Lives with Solar Suitcases

We Care Solar is an organization the promotes safe motherhood and prevents infant mortality rates by providing a solar energy kit to health workers. Dubbed the “solar suitcase”, each kit includes a small solar panel and rechargeable battery that powers basic medical equipment. Though originally designed for delivering babies in rural settings, the solar suitcases are now used in health centers and clinics all over the world for a range of medical situations. CNN recently nominated Dr. Laura Satchel (We Care Solar’s Executive Director) as a top 10 CNN Hero.  When you donate through the CNN website, Subaru will match your gift and your impact will be doubled!

Alternative Rock for Alternative Energy

Having met during an Environmental Analysis program in college, the band members from Trapdoor Social have always bonded over two things: music and clean energy. They have taken a creative approach to the release of their upcoming album. All proceeds will go towards the new solar installation project at Homeboy Industries, a nonprofit in Los Angeles that provides job training support for prior gangmembers. Plus, when you give a little, you’ll get a little in return! Every donation from $15 to $5,000 comes with a reward from songs on the B Side of the album to your own private concert.  Make a donation to Trapdoor Social’s campaign and help them reach their $20,000 goal.

Solar Energy for Everyone

Since 2001, the team at Grid Alternatives has been installing solar panels as a way to empower communities in need. Not only do they provide solar energy for families struggling to make ends meet, but they also train workers from local communities to become certified solar installers. The majority of their work has been in California, but they recently expanded to Colorado and are hoping to open offices in other states soon.  Support their mission of making solar energy accessible for everyone by donating online.

Each year, it seems as if the temperatures in Southern California rise higher, and the summer season becomes even longer. In fact, a couple weeks ago Los Angeles registered highs in the 90s (extremely warm for November). Many scientists claim that increased temperatures are just the first signs of climate change and global warming will continue to get worse as time goes on.

On November 13, the Environmental Defense Fund (EDF) and the UCLA Luskin School of Public Affairs released a report titled “Los Angeles Solar and Efficiency Report (LASER)”. It suggests solar energy as a solution to Los Angeles County’s climate (and financial) woes, revealing how the considerable untapped solar power resources could lead to a boom in both renewable energy production and economic activity.

Empty Rooftops in Los Angeles, Incredible Solar Potential

The researchers analyzed building data across Los Angeles to determine that, if even a fraction of the city’s buildings were equipped with solar panels, the subsequent installation work would create thousands of jobs and the resulting clean energy would put a major dent in carbon emissions. Two major wins for the county that everyone can agree on.

Another important point, LA’s undeveloped solar roofs (meaning those without solar panels installed) have the potential for a generating capacity of 22,984 megawatts. To give our readers an idea of just how much power that represents, the state of California currently has 3,761 megawatts of solar capacity currently installed and the entire United States has less than 10,000 megawatts.

More Solar Panels = More LA Jobs

Even if the county of Los Angeles were to realize just 5 percent of its solar potential, it could generate enough electricity for over 287,000 homes. In addition, the installation work for undertaking such a project would create over 29,000 new jobs.

“This study sends a clear message to Angelenos – the potential to invest in LA’s clean, renewable energy economy and build healthier communities is huge,” said Jorge Madrid of EDF in a press release.

By investing in more solar installations, Los Angeles and surrounding areas could help support economic activity in the region and put in place a good foundation for continued prosperity. The organization hopes the report can be used as a tool for elected officials in the area to enact real change through legislation in favor of solar energy and energy efficiency.

You've probably heard the rumor: you need a $150 bill to even consider solar in California. This common myth makes many in Los Angeles question, "are solar panels worth it in los angeles for me?" Let's clear this up: almost anyone can qualify. The more important question is, do you still have an electric bill with solar panels? Yes, you do. But it's not the bill you're used to. Your new, much lower statement is proof of a smarter energy strategy, reflecting a partnership with the grid, not a dependency on it.

Is Your Electric Bill High Enough for Solar?

Why do the solar marketers focus so much on $150? Typically, the more money you pay for electricity, the more solar panels will be able to save you. It is at about the $150 dollar mark that the payments for investing in solar panels may be equaled by the monthly savings. Many marketers have discovered that if the monthly savings are greater than your electricity costs from day one, then the odds are better for making a sale.

By weaving the $150 limit into solar advertising, some companies are using a clever tool to weed out people with smaller electricity bills. If they were truthful, they should be saying, “If your electric bill is $150 or more, then you qualify for a solar sales presentation!”

Why Go Solar? It's More Than Just Savings

Everyone has a different motive for going solar and it’s not necessarily all financial. There are other reasons for installing a solar array.

Many people are concerned about what they can do to reduce their carbon footprint. Lifestyle changes (like recycling and being a conscious consumer) are an important way to make less of an impact on the earth, but it is hard to live without electricity or hot water, so solar energy is the natural choice for producing clean power.

As an example, two of our customers who own  solar panels in Long Beach were only paying about $30 a month to SCE when they decided to go solar in the early 2000’s. Since their electric bill was on the smaller side, the estimated payback wouldn’t be until the 20th year that they own the system. However, it was important for them to use clean, renewable energy to power their home instead of relying on the fossil fuels delivered by the utility company.

Another reason people install solar panels is to take control of their energy future. Historically, electricity rates have risen by about 6% every year, and there is no telling when the utility companies will decide to raise prices even higher. By producing energy with their own solar panels, homeowners and businesses won’t be victim to the price increases of electricity during the entire lifetime of the solar array (about 25-30 years).

Do You Still Have an Electric Bill with Solar Panels?

Your energy bill is simply a continuing and never ending expense. When you go solar, you are converting an expense into an asset. For those that choose to purchase their solar system, your energy usage will be an investment instead of a monthly cost. No matter the size of your bill, if the solar system pays for itself within its lifetime (usually 25-30 years), then it’s a much better deal that can be had from any utility company.

Having an electric bill less than $150 shouldn’t stop you from considering solar panel installation. Most people with smaller bills can still take advantage of the benefits of solar energy whether financial or not.

Understanding Your Electric Bill After Going Solar

One of the biggest questions I hear from homeowners is, "Will I still have an electric bill after I get solar panels?" The short answer is yes, but it will look very different—and be much, much smaller. It's a common misconception that solar panels completely eliminate your connection to the utility company. In reality, you're creating a new kind of relationship with the grid, one where you have far more control over your energy costs. Think of it less as an expense and more as a statement showing how much you've saved by generating your own clean power. Your new bill will reflect the energy you might pull from the grid at night, plus some standard service fees, but it will also show the credits you’ve earned from the excess power your panels produced.

The Grid Connection: Why You're Still a Utility Customer

Even with a state-of-the-art solar system on your roof, your home will almost always remain connected to the local utility grid. This connection is actually a good thing—it acts as a giant, shared battery that ensures you have reliable power 24/7. Your solar panels are fantastic at producing electricity during the day, but what happens when the sun goes down or on those rare, heavily overcast California days? That's when the grid steps in to provide a seamless supply of electricity, so you never have to worry about the lights going out. This symbiotic relationship is what makes residential solar so practical and effective for the vast majority of homeowners.

Pulling Power When the Sun Isn't Shining

Your solar panels are early birds, starting to generate power as soon as the sun rises and working hard all day. However, they don't work overtime. At night, your system goes to sleep, and your home will automatically draw electricity from the utility grid to power your lights, appliances, and electronics. The same thing happens during periods of very low production, like a stormy afternoon. Without this grid connection, you'd need a massive, expensive battery system to store enough energy for all your overnight needs. Staying connected to the grid provides a reliable, cost-effective backup that ensures your life continues without interruption, no matter the time of day or weather.

Fixed Fees and Service Charges

Every homeowner connected to the grid, whether they have solar or not, pays certain fixed fees to the utility company. These charges cover the costs of maintaining the power lines, reading meters, and providing customer service. They are not based on how much electricity you use. So, even if your solar panels produce more power than you consume in a month, you'll still see these small, predictable charges on your bill. It’s a standard part of being connected to the grid infrastructure that keeps power flowing reliably to your entire community. These fees are typically minimal and are a small price to pay for the security of a constant power supply.

How Net Metering Affects Your Bill

Net metering is the billing program that makes solar such a great financial decision for so many Californians. Think of it as a two-way street for your electricity. During the day, when your panels are often producing more power than your home is using, that excess energy doesn't go to waste. Instead, it flows back into the utility grid for your neighbors to use. The utility company keeps track of every kilowatt-hour you contribute and gives you a credit for it. Later, at night when you need to pull power from the grid, you can use those credits to offset the cost. This system is what allows you to "bank" your extra solar energy and dramatically reduce your monthly electricity costs.

Earning Credits for Excess Power

The magic of net metering lies in the credits you earn. On a sunny afternoon, your home might only be using 2 kilowatts (kW) of power, but your solar system could be generating 5 kW. That extra 3 kW is automatically sent to the grid, and your utility meter essentially spins backward, logging those credits to your account. These credits are your currency for electricity. When you need to draw power from the grid later, you "spend" your accumulated credits first. The goal of a well-designed solar solution is to generate enough excess power during the day to earn credits that will cover most, if not all, of your nighttime energy usage throughout the year.

Understanding Billing Cycles and Your Annual "True-Up"

With solar, your billing cycle gets a bit of a makeover. Each month, you'll receive a statement from your utility company that shows how much energy you consumed versus how much your panels produced. In sunny months, you'll likely build up a surplus of credits. In winter, you might use more energy than you produce and dip into those banked credits. At the end of a 12-month period, you'll get what's called a "True-Up" bill. This is the annual reckoning where the utility balances all your credits against all your charges for the entire year. For most homeowners with a properly sized system, this final bill is incredibly small, sometimes just covering the standard connection fees.

Net Metering in California

California's net metering policies have been a driving force behind the state's solar boom, but they do change over time. The current program, known as Net Energy Metering 3.0 (NEM 3.0), has altered how customers are credited for the excess energy they send to the grid. While the savings are still substantial, the structure encourages homeowners to use more of their own solar power directly or store it in a battery. Understanding the nuances of the latest policy is crucial for maximizing your return on investment. That's why working with an experienced local installer who understands the specific rules for SCE and PG&E is so important. We can design a system that is perfectly optimized for the current regulations.

Calculating Your Actual Solar Savings

Figuring out your true savings with solar involves looking beyond just the new, lower utility bill. Your actual savings are the difference between what you would have paid to the utility company and what you now pay for your total energy costs, which might include a solar loan payment plus your remaining utility fees. Over the 25- to 30-year lifespan of your system, this difference can add up to tens of thousands of dollars. It's not just about a smaller bill next month; it's about locking in predictable, low energy costs for decades to come while the price of grid electricity continues to climb. This long-term perspective is where the real financial power of solar becomes clear.

What to Expect: A Look at the Numbers

Your solar production will naturally fluctuate. You'll generate more electricity during the long, sunny days of summer than you will in the winter. Weather patterns, a string of cloudy days, or even seasonal changes in the sun's angle can affect your daily output. A professionally designed system takes all of this into account. When we design a system, we use sophisticated software and historical weather data to accurately forecast your expected annual production. This ensures your system is sized to meet your energy needs over the course of a full year, balancing out the high-production months with the lower-production ones to minimize your annual true-up bill.

Your "Total Energy Cost": The Real Bottom Line

To get a clear picture of your finances, it's helpful to think in terms of your "total energy cost." If you financed your system, this would be your monthly solar loan payment plus your new, smaller utility bill. For many of our customers, this combined monthly cost is often less than what they were previously paying the utility company each month. The best part is that your solar loan payment is fixed, while utility rates are not. Once your loan is paid off, your total energy cost drops to just the small, fixed utility fees, and you get to enjoy decades of clean electricity for nearly free.

Locking in Savings as Utility Rates Rise

One of the most compelling reasons to go solar is to protect yourself from rising energy costs. Historically, electricity rates in California have increased significantly year after year, and there's no sign of that trend stopping. When you install solar panels, you are essentially pre-purchasing 25 to 30 years of electricity at a fixed, predictable price. Every time the utility company announces another rate hike, your savings from solar grow even larger. This provides incredible financial stability and peace of mind, turning a volatile, unpredictable expense into a controlled and manageable investment in your home's future.

Factors That Can Influence Your Post-Solar Bill

Even with a perfectly designed solar system, your electric bill can still have some variability. Several factors can influence your monthly statement and your annual true-up, from the initial size of your system to changes in your family's lifestyle. Understanding these variables can help you manage your energy consumption more effectively and ensure you're getting the maximum benefit from your solar investment. It’s all about aligning your system's production with your household's actual energy use, both now and in the future. Being aware of these factors allows you to make smart adjustments and keep your energy costs as low as possible.

System Size and Energy Offset

The goal of a solar installation is to "offset" a certain percentage of your annual electricity consumption. A system designed for a 100% offset should produce enough power over the year to cover all of your usage. If your system is sized for a 75% offset, you can expect to pay the utility for the remaining 25% of your energy needs. The right offset for you depends on your budget and your energy goals. During our consultation, we use your past utility bills to analyze your usage patterns and recommend a system size that aligns with your financial and environmental objectives, ensuring there are no surprises on your future bills.

Changes in Your Household's Energy Use

Life changes, and so can your energy consumption. Buying an electric vehicle is a fantastic way to lean further into a green lifestyle, but it will also significantly increase your home's electricity demand. The same goes for adding a pool or hot tub, installing central air conditioning, or even having family move in. If your energy needs increase after your solar system is installed, your offset percentage will decrease, and your utility bill will be higher than initially projected. It's important to anticipate these kinds of future changes when first designing your system so it can be sized to accommodate your evolving lifestyle.

The Importance of System Monitoring and Maintenance

Modern solar systems are incredibly reliable and require very little maintenance, but they aren't completely "set it and forget it." Most systems come with a monitoring app that allows you to track your energy production in real-time. It's a good habit to check your app periodically to ensure everything is performing as expected. A sudden drop in production could signal an issue that needs attention, like a dirty panel or a technical problem. Staying on top of your system's health ensures you are always generating the maximum amount of clean energy and savings. At AMECO, we only use top-tier equipment to minimize these issues for our residential customers.

Maximizing Your Savings and Energy Independence

Going solar is the biggest step you can take toward energy independence, but it doesn't have to be the only one. By pairing your system with smart technology and energy-conscious habits, you can squeeze even more value out of every ray of sunshine. These strategies allow you to use more of your own clean power directly, rely less on the grid, and gain greater control over your energy future. It’s about creating a holistic energy ecosystem for your home where you are in the driver's seat, making conscious choices that lower your costs and increase your resilience, especially in the face of potential blackouts or rising utility rates.

Is a Solar Battery Right for You?

If your goal is maximum savings and energy security, adding a solar battery is the next logical step. A battery allows you to store the excess solar energy your panels produce during the day instead of sending it all back to the grid. This stored power can then be used to power your home at night, during peak-rate hours when grid electricity is most expensive, or—most importantly—during a power outage. For many California homeowners, the peace of mind that comes with having a reliable battery backup system is the ultimate form of energy independence, ensuring the lights stay on no matter what.

Using Stored Energy to Reduce Grid Reliance

A solar battery fundamentally changes your relationship with the grid. Instead of selling your excess solar power to the utility for a credit, you can save it for yourself. You can then use that stored, "free" energy in the evening, drastically reducing the amount of electricity you need to buy from the utility. Under California's NEM 3.0, this strategy of "self-consumption" is more valuable than ever. By using your own stored energy, you maximize the financial return of your solar system and insulate yourself even further from utility time-of-use rates and unpredictable price changes, giving you ultimate control over your bill.

Smart Energy Habits for Solar Homeowners

Your solar panels do the heavy lifting, but small changes in your daily routine can make a big difference in your overall energy savings. Becoming more mindful of when and how you use electricity is a powerful way to complement your system's production. These habits don't require major sacrifices; they're simple adjustments that help you align your energy consumption with your solar production. By making these smart shifts, you can lower your home's overall demand and ensure that the clean energy you produce is put to the best possible use, further reducing your reliance on the grid.

Practice Energy Efficiency

The cheapest kilowatt-hour is the one you never use. Before and after you go solar, practicing energy efficiency is a simple way to lower your bills. This can be as easy as switching to LED light bulbs, sealing drafts around windows and doors, or upgrading to ENERGY STAR® certified appliances when it's time for a replacement. Reducing your overall energy consumption means your solar panels can offset a larger percentage of your usage, or that you can achieve your energy goals with a smaller, less expensive system. It's a win-win that saves you money and reduces your environmental footprint.

Shift Your Consumption to Daytime Hours

One of the smartest habits a solar homeowner can adopt is to shift heavy energy usage to the middle of the day. When the sun is high in the sky, your panels are producing an abundance of free, clean electricity. This is the perfect time to run your dishwasher, do laundry, or pre-cool your home with the AC. By using your appliances while your system is at peak production, you are consuming your own power directly instead of pulling from the grid. This simple behavioral change can significantly reduce your reliance on the utility and is especially effective for maximizing savings under California's current net metering rules.

Key Questions to Ask Your Solar Installer

Choosing the right solar partner is just as important as choosing the right equipment. A reputable installer will be transparent, knowledgeable, and ready to answer all of your questions. Before you sign a contract, make sure you feel confident in their expertise and approach. Don't hesitate to ask about their experience, the specific products they recommend, and how they calculate your projected savings. A good installer will welcome your questions and provide clear, honest answers that empower you to make the best decision for your home. This initial dialogue sets the tone for the entire project and ensures you have a trusted partner for years to come.

Frequently Asked Questions

Will I still get an electric bill if I have solar panels? Yes, you will still receive a monthly statement from your utility company. However, it will look very different. Instead of a large bill for electricity usage, it will primarily show your connection to the grid, any fixed service fees, and how much energy your system produced versus how much your home consumed. For many homeowners, the final amount due is significantly smaller, sometimes only covering the basic connection charges.

Why do I still need to be connected to the utility grid? Staying connected to the grid ensures you have a reliable, 24/7 power supply. Your solar panels generate electricity during the day, but at night or on very cloudy days, your home will automatically draw power from the grid. This connection acts as a seamless backup, so you never have to worry about your lights going out. Without it, you would need a very large and expensive battery system to power your home around the clock.

What is a "True-Up" bill? A True-Up bill is the annual statement from your utility that reconciles your account for the entire year. Throughout the year, you earn credits when your panels produce more energy than you use (typically in the summer) and use those credits when you need to pull power from the grid (like at night or in winter). The True-Up bill settles the difference. With a properly sized system, this final bill is often very small.

Will my savings change if my energy use increases in the future? Yes, your savings are directly tied to how much of your energy use is offset by your solar production. If you add an electric vehicle, a pool, or central air conditioning after your system is installed, your home's overall energy consumption will increase. This means you will pull more power from the grid, and your utility bills will be higher than initially projected. It's wise to consider any potential future energy needs during the initial design process.

Do I need a battery to save money with solar? A battery is not required to save money, but it can significantly increase your savings and provide energy security, especially under California's current net metering rules (NEM 3.0). A battery allows you to store your excess solar power to use at night instead of selling it to the grid. This strategy, called self-consumption, helps you avoid buying expensive electricity during peak hours and provides backup power during an outage.

Key Takeaways

• Your electric bill transforms, it doesn't disappear: After going solar, you still get a utility statement, but it's completely different. It shows the power you've generated, credits earned from excess energy, and minimal grid connection fees, leading to a significantly smaller bill.
• True solar savings are a long-term gain: The real financial power of solar is seen over the system's 25 to 30-year lifespan, not just in one month. You lock in your energy costs, and every time the utility company raises its rates, your savings from solar increase.
• You can actively maximize your investment: Installing panels is the first step; smart habits are the next. You can increase your savings by running large appliances during the day, improving your home's energy efficiency, or adding a battery to store your own power for later use.

Related Articles

• Why Net Metering is Crucial for Solar Energy in California
• Energy Saving Solar Panels: A Homeowner's Guide
• How Much Do Solar Panels Cost for a House? A Full Guide
• Solar Battery Backup Faces Opposition from SCE
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