Adding solar panels and switching rate plans can lower your Portland General Electric electric bill
Updated: October 22, 2020Installing solar panels can help reduce your PGE bill, thanks to Florida’s sunshine and the company’s net metering program! Combined with the 30% solar tax credit, KUA customers can see great savings when they switch to solar!
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Solar panel cost calculator
Are solar panels worth it for Portland General Electric customers?
Yes! With Energy Trust of Oregon solar rebates, the Solar Within Reach low income incentive program, and a solar property tax exemption, home solar panels make a lot of sense for Portland General Electric customers in Oregon. PGE’s net metering rate also allows you to get full credit on your power bill for the excess solar electricity your panels produce which you can’t use onsite. Your credits accrue at the same rate as retail rates, and roll over to your next monthly bill.
Does Portland General Electric offer net metering credits for exported solar power?
Yes, Portland General Electric offers net metering credits.
Under the Portland General Electric net metering program, solar panels will first send energy to your home. Any excess solar energy is sent to the grid and purchased in the form of a bill credit. The credit value is determined by the Tri-Party Net Metering Power Purchase Agreement. KUA customers are billed for all of the electric energy delivered to them by the company.
Any remaining unused kilowatt-hour credit accumulated over the year will be transferred to PGE's low-income assistance program. That's a laudable policy piece from Salem we'd like to see other state governments across the country enact.
What incentives, tax credits, and rebates are available to PGE customers for installing solar?
The biggest financial incentive for solar homeowners is the 30% federal solar tax credit. The tax credit equals 30% of the solar installation costs and directly reduces your federal income tax liability.
Some states and local governments offer additional solar incentives. These incentives include state tax credits, rebates, or performance-based incentives like Solar Renewable Energy Credits (SRECs). The best part is that these local incentives can be used in addition to the federal tax credit!
Here is every incentive you may be eligible for as a PGE customer:
Table 1: Incentives
| Upfront Incentives | Value* |
|---|---|
| Residential Clean Energy Tax Credit (Federal) | -$8,761 |
|
Oregon Solar + Storage Rebate Program
(State)
$0.50 per watt installed up to $5000 or 40% of the system costs, whichever is cheaper. This is for non-income restricted households. Households with lower incomes are eligible for a higher rebate. Households that are not income-restricted and take advantage of other utility incentives receive a lower rate. Additional incentive of $300/kWh of battery storage installed up to $2,500. Details in this blog post; https://www.solarreviews.com/blog/new-solar-incentive-oregon |
Varies |
|
Net Metering
(State)
Investor-owned utilities must credit excess generation as kWh credits that get carried over to the next bill. At the end of the billing cycle, customers are compensated for excess credits at the avoided cost rate. Municipal utilities/cooperatives can bill as kWh credits or at avoided cost rate. |
Varies |
|
Property Tax Exemption for Renewable Energy Systems
(State)
100% of solar system cost is exempt from property taxes. |
Varies |
|
Energy Trust of Oregon Incentive - Portland General Electric
(Utility)
Energy Trust Incentives available via Portland General Electric and Pacific Power. |
Varies |
|
Solar Within Reach
(Utility)
$1,400 per kW of installed solar for customers of Portland General Electric, and $700/kW for customers of Pacific Power. Incentive program administered by Energy Trust of Oregon. Eligibility depends on household incomes; a family of 4 with an income under $106,944 qualifies in 2022. |
Varies |
| TOTAL | -$8,761 |
*Based on 11.00 kW system, average installation cost $29,202
How much does installing solar panels save the average Portland General Electric residential customer?
If you input the details for a PGE customer with a power bill of $140 per month into the best online solar panels calculator, it tells you that you need a 11.00 kW solar system that will produce 13,008 kWh per year and that this system will return the owner a $31,685 profit after repaying the cost of the system.
The solar savings possible for you as a PGE customer will depend on the amount of electricity you use and the cost of the solar system you buy. Savings also vary based on the direction of your roof or any shading of your roof that affects output.
Here is a monthly and lifetime solar savings estimate for the same relatively typical PGE customer with a $140 per month electric bill prior to solar and who installs a 11.00 kW solar system.
How much do residential solar panels cost for PGE customers?
Showing data for:
Prices based on a 12.7kW system, after 30% federal tax credit
Solar prices near you
Net profit (savings less system cost)
$34,410-$42,057
Payback period
11.6-14.2 years
Recommended size for the selected utility bill
12.7kW
Solar panel cost calculator
Detailed information about your estimate
Table 2: Estimate details
|
System Size (for 100% usage offset) 11 kW |
|
Annual Power Generation 13,008 kWh |
|
Pay-back time (assuming Cash purchase) 12.5 Years |
|
Internal Rate of Return (IRR) on Investment 0.8% |
|
Gross cost $29,202 |
|
Total Upfront Incentives and Rebates -$7,593 |
|
Net Cost of System after rebates and incentives $21,609 |
|
Total Cost of Utility Power Avoided over 25 years $53,294 |
Please note that the investment return figures do not include the possible increase in property value.
What are the environmental impacts of Portland General Electric customers installing solar panels?
While most homeowners decide to install solar panels because of financial savings over time, the environmental impacts of this choice are the primary motive for others. Here is a breakdown of the environmental benefits from a Portland General Electric customer installing a 11 kW solar system on their property:
A solar system generating 13,008 kWh per year will save you money AND make the world a nicer place
Saves you
$1,267
on average per year
Reduces CO2 emissions
6.44
tons per year
Equivalent to planting
45 trees
per year
Equivalent to driving
14,244 mi
less per year
CO2 emissions calculation based on the electricity generation and emissions data for your state in 2015 as published by the US Government Energy Information Administration.
What factors affect the price of solar panels for Portland General Electric customers?
The cost of installing solar panels will vary with brands of solar panels and inverters you choose and also the installation company you choose to install them.
It is common to see really good systems, using quality brands of equipment, being sold for around $2.66 per watt or $21,609 for a standard 11.00 kW solar system after the customer claims the 30% federal solar tax credit.