Solar questions and answers

After installing solar, a bill will change primarily on four lines:

• Energy Charge: This is the cost of the energy consumed from the grid. With solar, energy generated by solar modules is consumed first, so this line item should be lower than for a home without solar installed.
• Micro-generation Credit: This line is added to a bill after solar is installed. It represents any energy generated by a home solar power system that is not consumed during the month. Excess solar energy from a home solar power system is “sold” to the grid at the same rate being paid for incoming electricity. The amount of money a home solar power system is credited depends on a variety of factors, including the number of solar modules installed, a home’s energy needs and the homeowner’s current electricity rate.
• Distribution Charge: This charge has a fixed component which will not change with solar as it is charged per day, and a variable component, which is charged based on consumption from the grid. Because there is a reasonable expectation that grid consumption is lower with solar, this charge should also be lower compared to a home without a solar power system if a system performs as expected.
• Transmission Charge: Much like the distribution charge, this charge may have a fixed and variable component. In most areas of Alberta, it is only variable based on consumption from the grid so will most likely be lower compared to a home without a solar power system if the system performs as expected.

The Balancing Pool Allocation is also positively impacted by lower usage but has an overall negligible impact on the bill as the amount is typically quite low.

The Rate Riders, Local Access Fee and Administration Charge are not impacted by micro-generation.

See a sample electricity bill for a home with solar