Path-Q Solar
How can different export rates change the value of a larger solar system?
Answer
A larger system is most valuable when its additional generation offsets your own high-value consumption. Once generation exceeds on-site use, the value of the extra output depends on the export rate, which may be lower, capped, time-dependent, or subject to limits. Therefore, the marginal value of added capacity can fall sharply.
Key points
- Calculate the value of each additional unit of generation after accounting for self-consumption.
- Use hourly or monthly load and production where export rates vary by time.
- Include fixed charges, demand charges, export caps, and battery effects.
- Compare the incremental cost and incremental savings of the larger system, not just total savings.
What it depends on
- On-site load profile
- System size and production profile
- Export compensation and limits
- Battery dispatch
- Utility tariff
Risks and trade-offs
- Oversizing can create low-value exports and weaker incremental payback.
- A smaller system may have better marginal economics but provide less future expansion capacity.
- Rules or rates may change during the system's life.
Information you may need
- Hourly or monthly consumption
- Production estimates for both system sizes
- Export tariff and limits
- Battery assumptions
Your next step
What to do next
Compare the incremental cost and value of the larger system under current, lower, and capped export-rate scenarios.
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