This article explains how much money a rooftop solar power system can save you.
Step 1: Power generation
First calculate how many kilowatt hours your solar system will generate on average each year. In our part of Victoria, expect a typical unshaded solar system to generate 3.7 kilowatt hours of electricity on average a day for each kilowatt of solar panels installed. For example, a 6.6kW solar system will generate 6.6 x 3.7 kWh per day which is just over 24kWh of electricity. Over a year, that’s 8,913 kilowatt hours of electricity.
Step 2: Solar power usage
Your solar supplier will calculate what percentage of total solar electricity generation will be used in your home and how much will be exported to the grid. This is generally done by reviewing your electricity bill. To get exact usage information go to powercor.com.au/customers/myenergy/
A usage rate of 40% is fairly conservative and should be achievable if your solar system is sized correctly.
Step 3: Usage savings
By using the solar power generated by your system, you are saving money because you don’t need to buy it from your retailer. The average price for daytime electricity in Victoria is around 25c per kilowatt hour. To check if you are getting a good deal, go to compare.energy.vic.gov.au
If you are using 40% of the total electricity generated by your system, for a 6.6kW solar system you will use 8,913 kWh x 40% = 3,565 kwh a year. Multiple that by 25c to get the savings for using solar powered electricity, rather than grid electricity. That’s 3,565 kWh x 25c = $891 a day.
Step 4: Payment for solar exports
From 1 July, the minimum mandated amount for those on a single rate tariff is 10.2c/kWh (some retailers will offer more). The annual credit you might expect for exporting 60% of your solar generation to the grid for a 6.6kW solar system is 8,913kWh x 60% x 10.2 cents = $545.
Step 5: Calculate your total savings
Just add together the two amounts from steps 3 and 4. For a 6.6kW system, this works out as total annual savings of $1,437.
Find out more about the costs and benefits of going solar at the MASH Solar Bulk-Buy’s online Zoom meeting on Thursday 11 June from 5-6pm. Register here. Alternatively, call us on 1300 466 274 to request a quote.