Path-Q Solar
How can export rates change the value of a solar system that produces excess electricity?
Answer
Export rates determine how much value you receive for electricity sent to the grid instead of used on-site. If exports are compensated below the price of imported electricity, excess production is worth less than self-consumed production, which can reduce savings and make system size, battery use, and load timing more important.
Key points
- Separate the value of self-consumed generation from the value of exported generation.
- Review whether export compensation varies by time, customer class, season, or program enrollment.
- Include fixed charges, credits, caps, true-ups, and changes to the export arrangement in the financial model.
What it depends on
- Current utility tariff and export program
- Household load profile
- System size and hourly production
- Battery and load-shifting capability
- Rules for credits, settlement, and program changes
Risks and trade-offs
- A system sized for high annual production may provide weak returns if much of that production is exported at a low rate.
- Future tariff or export-rule changes can reduce projected savings.
- A battery may increase self-consumption but adds cost, losses, maintenance, and replacement considerations.
Information you may need
- Current utility tariff and export terms
- Hourly or interval usage data
- Hourly production estimate
- Battery proposal and operating assumptions, if applicable
Your next step
What to do next
Model the proposal using separate self-consumption and export values under the current tariff, then test plausible changes to export compensation.
Path-Q
Find the right next step
Answer a few questions and we’ll narrow your options.
Loading…
SQ01221