In an Investment perspective, how does the solar power system work?

Question

I'm thinking about buying/installing some 3000 or more watts of solar power panels on top of the roof (I live in Dallas, TX) and if we only used about 300 to 400 watts a month in electricity.

1.) The remaining watts that haven't been used, will I get paid by TXU each month?

2.) If so, is it a better investment than a rental property?

3.) Whats the estimate ROI on 3000 watts and about 400 watts have been used?

Thanks!

Answer 1

1. I yuzed 1,238 kilowatts-ours last month  (thats wot lektrik yutility charj yu for...kw-hr)

2. 24 our*30 daes=720 ours @400watts=288 kw-hr

I dont beleev thats all the lektrons yu yuze.

Answer 2

In general, if you're connected to the grid and your electricity bills are already low, the payback time for solar electricity will be long, possibly exceeding the life of the system.  So no, it's unlikely to be better than a rental property, unless you are losing money on the rental.

I'm guessing what you meant to say was that you use 300 to 400 kilowatt-hours (kWh) of electricity a month.  That's quite low.  I guess you have good insulation and don't use air conditioning.  Very smart!

Will TXU pay you for your extra electricity?  You'll have to ask them.  It won't be much, if anything.

If you want to look into this further, I'd suggest gathering up your electric bills for the past year, and calling a solar installation company in your area for a free quote.  You can always say no to the deal, but in the process, you'll see the things that go into analyzing what makes sense for you.