In an era where sustainability and environmental consciousness are gaining momentum, renewable energy sources have become the focus of attention. Among these, solar power stands out as a clean and abundant source of energy. But the price for solar panel installation is the number one concern of the people when they think of it. Installing solar panels on your property can bring numerous benefits, not only for the environment but also for your wallet. In this blog, we’ll explore the reasons why you should consider embracing solar panels and the cost of installing solar panels in California.
Why should you consider Solar Panels?

If you ever find yourself wondering whether you should install solar panels or not, here are a few points to consider:
- Renewable and Clean Energy: Solar power is a renewable energy source, meaning it draws on an unlimited supply—the sun. Unlike fossil fuels, solar energy produces no harmful emissions, such as greenhouse gases or pollutants.
- Cost Savings: One of the most compelling reasons to consider solar panels is the potential for significant cost savings. While the upfront investment might seem substantial, solar panels can save you money in the long run.
- Energy Independence and Security: Relying solely on utility companies for your energy needs leaves you vulnerable to price fluctuations and potential disruptions. Solar panels provide a sense of energy independence, as you become less reliant on external sources.
- Increased Property Value: Solar panel installation can raise the value of your home. Studies have shown that homes equipped with solar panels tend to sell faster and at higher prices than non-solar homes.
- Longevity and Low Maintenance: Solar panels are built to withstand the elements and typically come with extensive warranties. They need only occasional cleaning for optimum performance and little upkeep. The lifespan of solar panels is generally around 25 to 30 years, providing a long-term investment that pays off over time.
Solar Power in California

Solar power in California has experienced remarkable growth and has become a vital part of the state’s energy landscape. With abundant sunshine and a supportive policy environment, California has emerged as a leader in solar energy adoption. The state boasts a vast number of solar installations, from large-scale utility projects to residential rooftop systems. Solar power not only helps California meet its renewable energy goals but also contributes to job creation and economic growth. By harnessing the power of the sun, California is paving the way toward a more sustainable and resilient energy future, setting an example for other regions to follow.
California Solar Panel Cost

The cost of solar panels in California has significantly decreased over the years, making them increasingly affordable and accessible. Factors such as improved technology, economies of scale, and competitive market dynamics have contributed to this price reduction. Additionally, various incentives and rebate programs offered by the state and federal governments further help to offset the upfront costs. As a result, more homeowners and businesses in California are embracing solar energy as a cost-effective and sustainable solution for their energy needs.
The average cost of solar panels in California is $3.47 per watt, according to Find Energy, a website that tracks solar pricing across the nation. To meet the regular energy needs of the state, Californian solar systems are typically 5 kW in size. The average cost of a solar panel is roughly $17,350 for California homeowners. Using a system size and price per watt, you can calculate the overall cost as follows:
($3.47 X 5 kilowatt) X 1,000 = $17,350
The following table shows the average cost of solar panels in California compared to the national average.
System Size | Price per Watt | Installed Cost | |
CALIFORNIA | 5 kW | $3.93 | $19,650 |
USA | 8.6 kW | $3.67 | $31,558 |
How much does California save due to Solar?

California has saved a substantial amount of money due to its investment in solar energy. According to a report by the Environment California Research & Policy Center, the state has saved over $10 billion in electricity costs from 2007 to 2019. These significant savings is a result of reduced reliance on traditional power sources and the widespread adoption of solar panels. As solar power continues to grow in California, these savings are expected to increase, providing both economic benefits and a cleaner energy future for the state.
Net metering updates in California

With net metering, you can transmit extra solar energy to the grid in exchange for credits against your electricity bill. NEM 3.0, which was adopted by the California Public Utilities Commission in December 2022, cut the compensation rates that Californians receive for supplying solar energy to the grid by nearly 75%. The variation in pricing structure is the primary change in net metering. Before this, residents in California who transmitted solar energy to the grid were paid the full retail value of each kWh.
Instead of using the retail price of energy, NEM 3.0 calculates the value of solar output based on avoided cost rates. Because many homeowners are choosing to integrate solar battery storage into their system to store excess electricity for later use, the transition to NEM 3.0 may lengthen the time it takes for solar panels to pay for themselves.
What to Look for in Solar Contractors?

1. Experience and Reputation: Look for contractors with a proven track record and a substantial portfolio of successful solar installations. Check for reviews and testimonials from previous customers to gauge their professionalism, reliability, and customer satisfaction.
2. Certifications and Licenses: Look for certifications such as NABCEP (North American Board of Certified Energy Practitioners) and licenses specific to solar installations. This ensures that the contractor has the knowledge, skills, and compliance with industry standards to deliver a high-quality solar system.
3. Warranty and Service: Inquire about the warranty terms and coverage provided for solar panels, inverters, and other components. Additionally, inquire about the contractor’s service and maintenance options, as ongoing support and regular system inspections can help maximize the efficiency and longevity of your solar system.
Conclusion
Solar power is a renewable energy source that produces no harmful emissions, cost savings, energy independence and security, increased property value, longevity, and low maintenance. The cost of installing solar panelsis an investment that pays off over time. Solar power in California has become a vital part of the state’s energy landscape, contributing to job creation and economic growth. The average price for solar panel installation in California is $3.47 per watt. The state has saved over $10 billion in electricity costs from 2007 to 2019. Net metering and NEM 3.0 have changed the compensation rates for supplying solar energy to the grid, so it is important to choose a contractor with experience, certifications, and warranty.
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