Solar Savings in Sacramento, California: How Much Can You Save?

How Much Can You Save in Sacramento?

Sacramento homeowners on Pacific Gas & Electric pay an average of $240/month at 38.0¢/kWh (Tier 1) and 52.0¢/kWh (Tier 2). With 5.2 peak sun hours per day, a properly sized system can offset 80-90% of your usage — cutting the average bill from $240 to ~$0/month.

What Drives Savings in Sacramento?

• Pacific Gas & Electric rate structure: At 52.0¢/kWh for Tier 2, every kWh your panels produce offsets your most expensive grid usage first — that is where the math gets compelling.
• 5.2 peak sun hours: Solid sun exposure for reliable year-round production.
• NEM 3.0 (since April 2023): Export credits are now ~~$0.05-0.08/kWh, so self-consumption matters most. Size your system for your daytime usage, not maximum export.
• Rate escalation: Pacific Gas & Electric rates have increased 83% (2014-2024). Each year you wait, your baseline bill grows — making the solar investment more valuable in hindsight.