The push for solar energy in the United States is gaining in popularity year after year. The Solar Energy Industries Association (SEIA) tracks the changes the industry experiences and has recently published reports about the future of solar around the country.


In 2006, the introduction to the solar incentive tax credit (ITC) was created, which many believe served as the foundation to the emergence of a new solar future. In just one decade, solar panel installations increased at an average of 59% annually. Not only is this excellent news for the industry itself, but it’s great news for people who are looking to add a solar panel system to their homes or businesses, which we will discuss in this article.


Below is our ultimate guide to solar in Temecula, California, which gives you the most pertinent information about installing a solar panel system. There are many things to consider when going solar, but it’s not as complicated as you might think. Let’s get started.


The Temecula Utility Grid


Temecula electricity is provided by Southern California Edison which supports solar installation in various ways. The company not only assists customers throughout the installation process but also offers a net metering program allowing solar energy users to sell back their unused energy to the main grid.


The Net Energy Metering (NEM) program is a credit program for residents and businesses that decide to go solar. The program is different than others in California cities, as you will pay your energy bill once every 12 months from your operation date. (monthly payment structures are available) Your statement contains both credits and flat rates that reflect the difference between the electricity you make and use versus the energy you pull from the grid. Many residential solar panel systems are so efficient that residents may not owe anything at the end of their billing cycle.


*did you know that an average California home with solar panels saves over $1,400/year.


You might be wondering why you need to be connected to the Southern California Edison grid if you have a solar power system. While Temecula has an average of 276 sunny days, there will be times when your solar panel system will not produce or store solar energy. An example of this would be a series of heavy cloudy days or evening hours when the sun isn’t shining. A solar panel system will create and store plenty of energy for your daily needs, but there will be exceptions and you will want to be hooked to your utility grid for this reason. Furthermore, this will allow you to sell back the energy that you make and do not use to Southern California Edison.


The Cost Analysis of Solar in Temecula


Are you ready to learn more about how solar energy can save you money from the moment you install it? Let’s take an in-depth look at the ways you can purchase a solar panel system and how that impacts your total investment.


The U.S. Energy Information Administration estimates that an average California home needs about a 6,500 kWh of energy per year. Your yearly power bill from Southern California Edison works out to about $1,200-2,000 per year, depending on your home energy use. To meet that annual average, you’ll need a 5.2 kW system that consists of about sixteen 325-watt solar panels. You have three main options when it comes to purchasing a solar panel system in California.


  • Cash

As with most investments, purchasing with cash is always going to give you the best

return on your investment. When you use cash to purchase a solar panel system, you will break even around the year 2025.


  • A Solar Loan/ Home Equity

Solar loans are becoming one of the most popular ways to purchase solar panel systems

as they require no money down and you begin saving on your monthly bills immediately.

Choosing the solar loan option will have your system paid off in roughly 15 years. The

A home equity option is very similar which allows you to pull equity from your existing

mortgage to install a solar panel system.


  • A Power Purchase Agreement

            This type of agreement would call for a solar panel company, or property developer, to

pay for the installation of your solar panel system. With this arrangement, you reap the

monthly reward of low or no monthly energy bills. The downside of this agreement is

you neither own the solar panel system nor can you qualify for the tax incentives that come with the investment.



Incentives to go Solar in Temecula


Are you curious to learn more about the financial incentives of investing in a solar panel system? Here are the top three incentives for Temecula, California.


  • The Solar Investment Tax credit – This incentive will allow you to earn 30% back on your federal income taxes for your fully installed solar panel system. More specifically, a $15,000 solar panel system is more like 10,500. This tax incentive is only good until the year 2020, and that percentage shrinks in years to follow.


  • Net Metering – As mentioned above, Southern California Edison has a net metering program to help you lower your monthly bill and earn credit for the energy you make. Many California utility companies have halted these programs, but Temecula residents still have this option.


  • Property Tax Exemption – When you decide to install solar on your home, your property value will increase. This is an ideal investment for you and the future of your property, but you may be wondering if your property taxes will increase as a result. We are happy to report that California will not factor a solar panel system into your property taxes until after 2024. Now is the time to install your solar panel system with no repercussions on your property taxes.


Equipment Needed to Go Solar


Now that you fully understand many of the financial benefits of going solar, let’s take a look at what you actually need to harness the power of the sun. Encōr Solar can outline this for you in more detail, but here are the basics. 


  • Solar Panels – Chances are you already know solar panels are the most significant components to solar panel systems. Did you know that you will have three main options as to which ones are right for your home? Encōr Solar can help you with the best choice for your home, but the options include Crystalline Silicon, Thin-film, and Integrated Photovoltaics.


  • Solar Batteries – Solar batteries are needed to capture the sun’s energy and hold it in deep cycle storage for you to use at various points of the day or night. These batteries are made to withstand recharging and discharging repeatedly.


  • Charge Controller – A charge controller is a piece of equipment that protects your solar batteries from the intense energy of the sun. Without this piece of equipment, you risk damaging your system and its longevity.


  • Inverter – You might be familiar with what inverters do for large RVs and motor yachts, you will also need one for your solar panel system. The inverter will take the sun’s DC energy and turn it into AC power so it can be used effectively in your home.


Benefits of Solar in Temecula


The benefits of solar energy impact more than just your bank account or property value. While your mission might be to save money and make a wise investment, other factors make your solar decision even more advantageous.


  • Reduce Your Carbon Footprint

Installing a solar panel system is like planting a small forest in your backyard. In fact, The U.S. Energy Information Association equates an 8,200 kW system to planting 150 trees.


  • Reduce Demand for U.S. Foreign Oil

Every person that decides to go solar is placing less demand on foreign oil. While the

impact may be small in scope, solar energy is infinite and easily harnessed today. One

person can easily turn into an entire neighborhood which helps the U.S. become less

vulnerable to the volatile oil market.


  • Create Jobs in the Solar Industry

The solar industry has seen a significant increase in jobs over the past decade. The only exception to this was 2017 when new foreign tariffs on solar panels disturbed the market. According to The Solar Foundation, most indicators point to new investments in the coming years equalling more jobs in clean energy.


  • Protect the Environment

            The science tells us that solar energy is free and clear of traditional toxic emissions that

are typically seen with fuel based power. When you go solar, you’ll be contributing to a

healthier planet for yourself and future generations.


  • Inspire Others to Live More Sustainable Life

The best part about everyday people making the decision to invest in solar is the domino effect it creates. People are inspired every day to make more sustainable choices by others who are making those decisions first. We never know who we will inspire by going solar in Temecula.


Are you ready to take the leap to go solar in Temecula? Encōr Solar is ready to help you learn what kind of system is right for your home or business and get you started in the process. We encourage you to contact us about your future solar panel system and learn what it takes to go solar in Temecula.