Are there any hidden costs when installing solar panels in California?

Why switch to solar energy? Comparison of the cost of traditional connection and the use of alternative sources. Hidden payment options.

Hidden Costs to Watch for When Choosing a Solar Provider in California

Solar energy has become a real salvation for Californians. However, not all homeowners decide to acquire expensive solar energy panels. And the problem here is not only the large down payment. Unscrupulous solar panel suppliers often miss information about hidden fees. How to switch to solar energy properly, so as not to fall into a trap?


Solar Energy Advantages

For California residents, there are quite a lot of advantages of solar energy. The main ones include:

  • Green Energy: Solar energy production causes virtually no pollution, helping California combat climate change. New technologies continue to fight to reduce the carbon footprint, which only makes installations more feasible.
  • Savings: Electricity bills are no longer a nightmare, because… solar energy costs cannot be compared with them. Solar panels enable owners to control their budgets and gain independence from fluctuating electricity prices.
  • Incentives for solar energy in California: The government provides many incentives for installing panels. Tax breaks, credits, and rebates make the systems more affordable than ever.
  • Long service life: The solar energy system will last for many years, and its maintenance is minimal. There is no need to worry about their maintenance and replacement constantly.

Despite the upfront cost of the panels themselves and their installation, solar energy in CA is an investment that every homeowner should have. It’s essential to study the market for choosing best solar companies in California. With a reasonable approach, you can especially feel all of those benefits.

Cost of solar energy and classical electricity in California

According to the US Energy Information Administration, the average price per kilowatt-hour for conventional electricity in California is 31.22 cents. At the same time, the average solar energy cost per watt in California is $2.51.

Even if the average price of solar panels is $10,000-13,000, switching to solar energy in California will pay for itself in just a few years.

The final cost of solar energy in California will depend on many factors. For example, the supplier of solar panels, place of residence, number of panels, hidden fees, availability of benefits and how is solar energy stored.

But when comparing solar energy costs and classical electricity, the choice is obvious.

Which Supplier Company Should You Choose?

There are many solar energy equipment suppliers in California ready to help join the solar revolution. From major market players to local specialists, there is a wide choice. Today there are already more than 2380 companies.

But it’s quite difficult  to choose a great solar energy provider in California. A large number of options always complicates the selection process. However, each consumer chooses a contractor according to his criteria. They are not always directly related to the company’s work process. For example, people look at the quality of advertising, number of years in the market, service, and attitude upon first contact. Most importantly, when choosing your contractor among all solar energy companies, pay attention to the prices for different categories of services and types of solar energy, options for the equipment offered, and the warranty period.

One of the most effective ways to choose is to compare quotes from several suppliers, ask them a lot of questions, and find out about any possible hidden fees that may arise in the future. Don’t be shy to ask, otherwise you risk paying an unreasonable amount.


The Hidden Costs of Solar Energy in California

The main hidden costs of solar energy in California include:

  • Taxes: Despite all the benefits of solar energy in California, keep taxes in mind. The region has a tax on solar energy, state property, and sales. Because of them, the final cost of solar energy will be higher.
  • Insurance: Solar energy insurance is sometimes mandatory for solar energy providers. It helps protect against damage due to natural disasters. This is important for both the panel owner and the service provider.
  • Maintenance: Solar energy systems require regular maintenance to maintain optimal performance. The cost of such services varies depending on the type of system and solar energy supplier.
  • Warranty: Most often it is provided only for materials and components of the solar system. Labor or maintenance costs are not covered. Please review all warranty terms before signing the contract.
  • Cost of Grid Connection: In some cases, a connection to the public grid is required, which is necessary to sell excess solar energy back to the utility grid.
  • Land Rental Cost: If there is no suitable roof to install solar panels on, land rental is sometimes required. Its cost varies depending on the location and size of the land.
  • Dumping Energy Cost: If more solar energy is produced than consumed, it is important to dump the excess energy into the grid, which also incurs costs.

Despite possible hidden fees, the future of solar energy in California is promising. Remember, before signing a contract, check with the service provider about their existence and carefully read all documents. This way you will protect yourself and your loved ones from unjustified bills.


All facts about solar energy speak in favor of their installation. For example, more than a quarter of California’s energy comes from solar panels. And over 10 years, the price of equipment in the region has decreased by 53%. But before you decide to install a solar energy system, consider all the hidden costs.



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