Saw my neighbor's solar panels pay off in 18 months flat

Last summer in Phoenix, my neighbor installed a 6kW system for $14k and just showed me his utility spreadsheet - he's already saved $1,200 on electric bills since June. Has anyone else seen faster payback times than expected in hot climates?

2 comments

2 Comments

phoenix_adams601d ago

Oh wow, that's solid. I've noticed a pattern with things like this where the payoff gets way faster in extreme climates. Down here in Phoenix, your AC is basically running nonstop for half the year, so every watt your panels crank out is offsetting that peak usage. It's like the opposite of those cloudy northern states where it takes forever. My buddy in Tucson put in a smaller 5kW system and he was already in the black after 14 months because his summer bills were just that brutal. Take this with a grain of salt, but I think the heat actually works in our favor here.

matthewgonzalez1d agoMost Upvoted

Wait, is your buddy factoring in net metering correctly? A lot of people I've talked to in Arizona forget that their utility charges different rates at different times of day. If your panels are maxing out at 2 PM but your AC really cranks from 6 to 8 PM, you might be selling cheap power and buying expensive power. I've seen people who thought they'd break even in 14 months but it actually took closer to 20 because of that time-of-use setup. Just worth checking if he's on a plan that actually credits him dollar-for-dollar or if there's some other fine print.