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CA Solar Use Falling Because of Economics
mdsolar writes "The LA Time reports that California is seeing a big drop off in rebate applications for solar power systems. It seems that to get a rebate you have to also switch to a time of use rate with your utility. The math is not working out, especially for smaller systems that don't fully cover use during peak hours. The result: homeowners are reluctant to go with solar energy. 'The difference between peak and off-peak rates is particularly large in the 11 counties of Central, coastal and Southern California, where Edison provides electricity service to 13 million customers. Edison charges summer time-of-use rates that range from 29.7 to 35.9 cents per kilowatt-hour between 10 a.m. and 6 p.m. on weekdays. It drops to a range of 16.3 to 18.6 cents per kilowatt-hour from 10 p.m. to 6 a.m. weekdays and all weekend days and holidays, according to documents filed with the PUC.' There is likely an optimal system size that reduces consumer costs, but with things in flux you'd want some flexibility in your system."
Peak means daytime. Solar only collects power during the day. The issue is that the panels were not collecting enough power to cover peak usage needs. Hence, there is nothing to store - it's all being used, and you still need to buy more at higher "peak" rates.
The biggest problem here is that solar panels are very expensive. You need a LOT to cover your usage unless you have also done MAJOR energy usage reduction efforts such as LED bulbs, better insulation, appliances, etc. If you don't take all those measures, the panel's don't make sense financially.