If you’re asking yourself, “How much can I really save by going solar?” you’re not alone. It’s one of the most common questions we hear. And with electricity costs continuing to rise, it’s also one of the most important ones to answer accurately.
Let’s break it all down, from how solar savings are calculated, to what PG&E customers are actually paying in 2025, and how much you could save based on real examples. This guide is for homeowners who want honest, updated, and real numbers—not just vague promises.
Solar Savings Start With One Thing: Your Sun Exposure
Before we look at case studies and monthly savings, it’s important to understand what your solar savings actually depend on.
The biggest factor is how much power your roof can produce.
If your home has strong sun exposure, a clear roof, and minimal shading from trees or nearby structures, you’re already in a great position. That means your solar system can generate more power, which allows you to offset a larger portion of your electricity bill and maximize savings.
On the other hand, if your roof is heavily shaded or small, or if you can’t install enough panels due to design or orientation, your savings may be reduced. In that case, you’ll offset less of your usage, and the benefit from solar will be smaller, but still very real.
Most customers who install a properly sized solar and battery system with good sun exposure save between 40 percent and 60 percent on their electricity costs.
The Average Cost of Electricity in 2025
Let’s get specific.
PG&E’s average residential electricity rate in 2025 is 44 cents per kilowatt-hour. Some customers pay even more depending on their usage tier or if they go over their baseline allowance. In hot summer months, monthly bills are routinely hitting $500 to $800 in Fresno, Clovis, and other areas across the Central Valley.
Now, compare that to the cost of producing your own power with solar and batteries.
When you include everything, panels, batteries, installation, permitting, warranty, monitoring, and support, most solar customers are generating their own power at a cost of about 22 cents per kilowatt-hour. That’s roughly 50 percent less than PG&E’s current rate.
This is why solar continues to be a smart investment in California. Even under the new NEM 3.0 rules, the cost of installing solar and batteries is significantly lower than the cost of continuing to buy power from the grid.
Tax Credits and the Future of Solar Savings
In 2025, the 30 percent federal tax credit is still available. This tax credit allows you to reduce the total cost of your solar system by 30 percent when you file your federal taxes. But here’s the catch, this credit is set to expire at the end of 2025, unless it is extended by Congress.
So what does that mean for you?
If you plan to purchase and own your solar system, taking advantage of this tax credit now could make a big difference. It helps lower your upfront or financed cost and increases your long-term return on investment.
In the future, we expect third-party ownership models, or TPO products, to become more popular. These include leases and power purchase agreements, where you pay for the power but do not own the system. While those can still result in savings, they typically don’t offer the same level of long-term financial benefit as owning your own system.
We expect solar to continue delivering savings of 40 to 60 percent through at least 2027, but the structure of those savings will evolve as tax credits and utility rules change.
What Is the Best Solar Option Right Now?
The best option for most California homeowners in 2025 is to own your solar system, either through a one-time payment or through a solar loan. This allows you to:
- Take advantage of the 30 percent tax credit before it expires
- Lock in a fixed cost for power for the next 25 years
- Add battery storage for backup power and better savings under NEM 3.0
- Increase your home value with a system you actually own
Now let’s take a look at three case studies to show you exactly how these savings work in real life.
Case Study 1: Small Home with One Battery
Household Details:
- 14-panel system
- 5.7 kilowatt solar system
- 1 battery for backup
- 1,400 square foot home
- Usage: $350 per month in summer, $150 in winter
- Average monthly bill: $250
Solar + Battery Monthly Cost: $140 per month
Total Savings: About 45 percent
This homeowner decided to install a small solar and battery system to cover their primary electricity usage. Their roof had excellent sun exposure, so the system was designed to cover 120 percent of their annual usage. With one battery, they now have reliable backup power during outages and cut their monthly bill nearly in half. Over the life of the system, they’ll save more than $30,000.
Case Study 2: Mid-Sized Home with Two Batteries
Household Details:
- 21-panel system
- 8.8 kilowatt solar system
- 2 batteries for backup
- 2,100 square foot home
- Usage: $600 per month in summer, $300 in winter
- Average monthly bill: $500
Solar + Battery Monthly Cost: $215 per month
Total Savings: About 57 percent
This family lives in a home with central air, a pool, and one electric vehicle. Their solar system was sized to offset 120 percent of usage and paired with two batteries for added resiliency. Thanks to strong roof space and favorable sun hours, they now pay less than half of what they were paying PG&E. Over the next 25 years, their savings are expected to exceed $70,000.
Case Study 3: Large Home with Three Batteries
Household Details:
- 27-panel system
- 11.3 kilowatt solar system
- 3 batteries for backup
- 3,000 square foot home
- Usage: $800 per month in summer, $400 in winter
- Average monthly bill: $650
Solar + Battery Monthly Cost: $265 per month
Total Savings: About 59 percent
This homeowner wanted full control over their energy costs and protection against grid outages. With a large roof and strong production potential, they were able to install a system that completely powers their home, even during high usage months. The batteries give them true energy independence and the peace of mind of backup power. With the tax credit and long-term fixed pricing, they are projected to save over $90,000.
What’s the Right Solar System Size for You?
At Supreme Solar and Electric, we recommend sizing your system to offset at least 120 percent of your annual usage. This allows you to account for panel degradation, seasonal variation, and lifestyle changes. When paired with batteries, we size based on a two and a half to one solar-to-battery ratio to ensure proper performance and storage capability.
Your exact setup will depend on:
- How much electricity you use
- How much roof space and sun exposure you have
- Whether you want partial or whole home backup
- If you plan to add EVs, hot tubs, or other high-usage appliances
Final Thoughts: Solar Still Makes Financial Sense in 2025
Despite the changing rules and headlines, solar still works. Especially in high-cost utility areas like Fresno and the Coachella Valley, the numbers show that investing in solar and battery storage can cut your electric bill in half—or more.
The key is to work with a trusted local contractor who understands how to size the system properly, helps you qualify for all available incentives, and builds a system that is customized to your home.
If you’re ready to see how much you could save, we’re ready to help.
Ready to Cut Your Electric Bill in Half?
At Supreme Solar and Electric, we design solar and battery systems that actually make sense for your home. No gimmicks, no pressure, just a real plan to help you save money.
✔ Custom designs based on your roof and usage
✔ Local permitting, installation, and support
✔ Licensed and experienced team with 200+ five-star reviews
✔ Straightforward pricing, financing, and warranties
