One California homeowner is showing how solar panels and battery storage can take a big bite out of energy bills — and make a house more climate-resilient.
His system, installed in December 2019, includes 25 rooftop solar panels, an LG Chem battery, and an electric vehicle charger, enabling significant reductions in electricity costs and carbon emissions.
Speaking to PV Magazine, Ahmad Faruqui shared how this setup powers his household and saves money through time-of-use rate arbitrage. Translation? The system stores solar energy during off-peak hours, when electricity is cheaper, and uses it during peak times, when rates skyrocket. As a result, his monthly energy bill has dropped to an average of just $65.
"Before installing solar, my bills were averaging $200 a month, and rising with every passing year," Faruqui said, then shifting to talk about his energy usage in kilowatt-hours. "My gross electricity consumption last year was 12,700 kWh. … Using a price of 40 cents/kWh as the average, which might be an understatement, my monthly bill would come out to $423 a month, as opposed to $65 a month which I paid."
His setup doesn't just save money; it also offers critical peace of mind in a state where power outages are increasingly common due to extreme weather and aging infrastructure. "From June 2021 onwards, I have had more than a dozen power outages. Usually they are just a few hours long," he said. During those times, his battery powers six essential circuits, including refrigerators, a freezer, lights, and a gas furnace.
For electric vehicle owners, pairing solar with an EV charger adds even more value. Faruqui, who drives a Tesla Model 3, transitioned from relying on Supercharger stations to mostly home charging powered by clean energy.
"The solar panels have substantially reduced my net usage from the grid," he said. "At the end of 2019, I installed solar and storage and my consumption since then has averaged 103 kWh (which includes the charging of my EV).
"... Of course, if I had not installed solar, the bill would have been much higher for two reasons: (1) incessant rate hikes and (2) home charging of the EV. I estimate it would have been $375 a month or higher. Using that number as a point of reference, my monthly bill has dropped by 83%."
For those considering solar, Faruqui stressed the importance of pairing it with battery storage, especially given California's shift to NEM 3.0, which affects solar incentives.
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Faruqui explained that he received $2,000 from the Self-Generation Incentive Program and applied the 30% federal income tax credit, making the net cost of his system $24,500. The contractor initially projected the payback period to be nine years, or seven years if the system had been solar-only. Now, he estimates that the solar-plus-storage setup will pay for itself by 2026.
Tools such as EnergySage make getting solar installation estimates and comparing quotes easy. However, federal incentives such as the ITC might not last forever, so acting sooner rather than later could save you thousands.
Whether it's slashing bills, protecting against blackouts, or helping the planet, this East Bay homeowner's story showcases the power of going solar — and why more Californians might want to follow his lead.
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