The amount you can expect to save on your utility bills with a residential energy storage system varies based on several factors:
- Type of Energy Plan: Homeowners on Time-of-Use (TOU) plans can save anywhere from 30% to 50% on their monthly energy bills by storing energy during low-rate periods and using it during high-rate periods.
- Energy Usage and Load Profile: Your savings also depend on your energy consumption patterns and how efficiently you use the stored energy.
- Battery System Type: Whether you use solar batteries or grid-connected batteries affects your savings. Solar batteries can help maximize solar energy usage, while grid-connected batteries help with energy arbitrage, buying energy at low rates and using it during peak rates.
- Peak Demand Charges: Residential batteries can help smooth out peak demand, reducing charges associated with high energy usage during certain hours.
- Incentives and Upfront Costs: While the initial cost of a residential energy storage system can be high (typically between $5,000 to $25,000), incentives like the federal Investment Tax Credit can help offset these costs. Savings of 20% to 40% or more on utility bills are possible depending on the system and usage.
In some cases, homeowners have reported up to 45% annual savings when using batteries with TOU rates. However, the decision to install a residential energy storage system should also consider benefits like energy independence and backup power during outages, which may outweigh purely financial considerations.
Original article by NenPower, If reposted, please credit the source: https://nenpower.com/blog/how-much-can-i-expect-to-save-on-my-utility-bills-with-a-residential-energy-storage-system/
