Are Solar and battery really worth it?

Here in Norfolk and South Lincolnshire, we're seeing more enquiries than ever for solar PV and battery storage systems, but the question most homeowners ask is: "Is it actually worth it?"

Firstly, let's break down what solar and battery actually do.

Solar panels, or PV (photovoltaic) panels as they are properly known, generate electricity from daylight. During sunny days, the panels will generate a DC current that is then converted to AC, the type we use in our homes, by an inverter. Without an energy storage system, or battery, we simply use however much we need for lighting, cooking and charging etc and then anything left over gets exported back to the grid with a small amount of returns on your energy bill.

The problem with this is you have no control as to when the electricity is exported and therefore receive low rates on your return (around 12p per KWh).

Another issue is getting your head around the fact that you wont be able to use all of the generated electricity.

A common mistake is thinking that if you have a system generating 4000kWh a year, and you only use 3500kWh a year in electricity then your bills will be £0. Unfortunately, we don't get the same amount of sunshine all year round. The majority of the generated electricity is in the summer meaning that we produce more than we can use.

On average we use around 40% of the generated electricity. This does mean we offset around 40% of our electricity usage, reducing our electricity costs accordingly, however we are then selling 60% back to the grid for around 12p per KWh when they are charging us 25p or more per KWh.

Sounds unfair, right?

We export electricity to them for around 12p per kWh, yet often buy electricity back later for more than double that amount. Thanks a bunch!

The answer?

Energy storage systems aka Batteries!

With a battery system we can now use between 60-85% of our own generated electricity.

Not only that, we can actually switch roles with the energy provider.

How?

Well, many providers now offer unique tariffs for people with solar and battery. They allow us to charge our batteries overnight, often between 01:00 and 06:00, directly from the grid, for often less than 10p. Then, along with our own generated electricity, we can sell back to them during peak times at a whopping 25p or more.

Some households may actually need to use all of their generated electricity. Many households with Air source heat pumps actually use far more than the average household. The difference for these households is that rather than exporting electricity back to the grid, they can charge their battery overnight for less than 10p per kWh and use that stored energy throughout the day. This reduces the amount of electricity they need to buy at peak rates, dramatically cutting annual energy bills.

So how much do these systems cost?

On average, a combined solar and battery system will cost between £6,000 and £9,000, depending on system size and battery capacity. This sounds a lot initially but the savings happen instantly. Most payback periods in the UK are between 6 and 10 years. After this, annual savings and export income can often exceed £1,000 depending on system size, household usage and the tariff selected.

Overall, it is still very much worth having Solar and energy storage installed but it is essential to have it properly designed so you can see the benefits beforehand.

At Enhanced Electrical (Norfolk) Ltd, we install solar PV and battery storage systems across Norfolk, King's Lynn, Sutton Bridge, Wisbech and the surrounding areas. We can fully design your system to see if it can work for you.

It's important to note that every property is different. Roof orientation, shading, electricity usage and whether you have technologies such as an electric vehicle or air source heat pump can all affect the savings achieved. This is why a properly designed system is so important.

Ben