In continuation
from our previous post on How to read your Electricity bills in Karnataka for a residential connection, here we
look at how installing a solar roof top can reduce your electricity bills and
help you gain long term financial savings.
Electricity
tariffs in Karnataka are on the rise every year. A look at the increase in the tariffs
in the past 5 years:
Year
|
Tariff (above first 200 units –highest slab)
|
2013
|
5.50
|
2014
|
5.85
|
2015
|
6.25
|
2016
|
6.40
|
2017
|
6.90
|
The electricity
tariff has increased by 25% overall from 2013 with a compound annual growth
rate (CAGR) of 6.3% every year. However, generation of electricity from Solar
is fixed at the current market rate of Rs 5.89 which is already lesser than the
higher slabs today.
A Typical 3BHK
house will consume an average of 300 – 400 units per month, of which anything
above the first 200 units falls under the highest slab of Rs 6.90.
Let us take an
example of a residential house with a sanctioned load of 3 kW, whose
electricity bill is Rs 2038 for a particular month.
As you observe
above, a mere consumption of 125 units from the highest slab amounts to 42% of
your bill.
Significant
savings can be achieved by installing a grid connected solar plant on net
metering policy. A Net metering scheme allows users to offset the electricity
units drawn from the grid by transferring surplus solar power to the grid. At
the end of every month the net electricity units consumed from the grid becomes
zero or negligible.
Let us look at the
different ways how we can reduce our electricity bills:
|
Solar plant Size
|
Units Generated (kWh)
|
Cost of System (Lakhs)
|
Bill before Solar (Rs)
|
Bill after Solar (Rs)
|
Monthly Solar Earnings (Rs)
|
Monthly Total Savings (Rs)
|
|
2 kW
|
270
|
2
|
2038
|
322
|
0
|
1766
|
|
3 kW
|
405
|
3
|
2038
|
0
|
566
|
2604
|
|
4 kW
|
540
|
4
|
2038
|
0
|
1522
|
3560
|
|
5 kW
|
675
|
4.5
|
2038
|
0
|
2478
|
4516
|
As observed above, it is ideal to install a 3kW system or more. The total monthly savings is the sum of savings in the electricity bill and earnings from excess generation of electricity from Solar.
Installing a
solar rooftop power plant is going to help you achieve significant long term
financial savings.
You never have to pay your electricity bill for the next 25 years!
