How Solar Batteries Save You Money
Solar batteries provide backup power during an outage so you can keep your essentials running when the power grid goes out. It’s one of the main reasons why homeowners install solar panels with battery storage and why solar batteries have become so popular in Arizona.
But backup power isn’t the only reason to install solar battery storage—they can also save you money!
Keep reading to find out how you can use a solar battery to avoid expensive time-of-use rates and save on your electric bills.
Understanding Time-of-Use Billing
Time-of-use (TOU) billing is a billing structure that more and more utility companies are adopting; two of the three residential electric plans APS offers are time-of-use plans.
Under a TOU agreement, electricity rates vary depending on the time of day, and in some cases, time of year. When electricity is in high demand (during on-peak hours), rates increase. When demand is lower (during off-peak hours), rates go down. For APS customers, on-peak hours are on weekdays from 4-7 pm.
The idea behind a TOU plan is that you can shift power usage for doing laundry, running the dishwasher, and other large loads to off-peak hours to save money on your bills. The problem is that on-peak hours are the most convenient time to use electricity. When you’re getting home from work in the early evening, you’re probably starting on dinner, loading up the dishwasher, and throwing a load of laundry in the wash, and you need electricity to do all those things.
The Problem with Solar Panels Alone
Installing residential solar panels will help you save money on your electric bills, but solar panels can only generate electricity during the day. When the sun goes down, the electric grid will take over powering your home and you’ll have to pay for the electricity you use. Unfortunately, on-peak hours start right when the sun begins to go down for the day. Your solar panels will produce the least amount of electricity in the late afternoon and early evening, and once the sun goes down, they won’t produce power at all. As a result, you end up paying on-peak rates to power your home with grid electricity in the evening.
Avoiding TOU Charges with Solar Battery Storage
Solar batteries make it possible to avoid TOU charges without changing your habits by switching to stored solar energy during on-peak hours.
Solar batteries store the excess electricity your solar panels produce during the day. At night, you can use your stored solar energy to power your home instead of buying electricity from the electric grid. This saves you money on your bills and it also reduces your reliance on your utility company, leading to greater energy independence.
In a state like Arizona that has less-than-ideal net metering laws, solar battery storage makes a lot of sense. Instead of selling your excess solar power to your utility company for a reduced rate, you can use your stored energy yourself and save money in the process by avoiding TOU rates.
Most solar batteries come with apps that make it easy to automate your battery and optimize it for savings.
Solar Battery Costs vs Payback
A solar battery storage system is an investment, but solar batteries can pay for themselves over time. If you’re on a time-of-use billing plan, battery storage is a no-brainer that will make it easier for you to save money with solar panels. The solar battery payback period varies from one homeowner to the next, but many see a return on their investment in just a few years.
Solar Panel & Battery Installation in Arizona
So, is a solar battery worth it for you? If you have solar panels or plan to install them, you should get a solar battery. Solar batteries maximize your solar benefits, leading to more savings and better energy security. SouthFace Solar & Electric specializes in custom solar installations for Arizona homeowners, including solar battery backup systems. We are a local company that provides premium solar solutions to Arizona homeowners, from rooftop solar panels to ground mounts and off-grid systems. If you’re looking for a true expert who can get you the most out of your investment in solar energy, give us a call. We are here to make your solar journey a success!
