Battery Storage

solar battery on tan wall next to solar panel and green vines

Battery Storage

If you’re installing solar panels in California, you need battery storage. A storage system increases your solar benefits tenfold and can also increase your return on investment. Net Energy Metering 3.0 (NEM 3.0) drastically increased the value of battery storage when it went into effect in 2023. Under the new policy, solar plus storage systems could break even 3 years faster than solar panels alone! 

What Is Battery Storage & How Does It Work? 

A battery storage system is a device that stores energy for later use. 

Battery Storage with Solar Panels 

Battery storage systems are most often connected to solar panels, which is why you hear them referred to as solar batteries. They work by storing the electricity your solar panels generate so you can use it to power your home when your solar panels are not generating electricity, like at night or when it’s too cloudy. You can also use stored energy for backup power during a grid outage. 

Battery Storage Without Solar Panels 

You don’t have to have solar panels to install a solar battery (although you’ll miss out on a lot of benefits). When they’re installed alone, battery storage systems are referred to as standalone batteries. They connect to and charge from the electric grid. The idea here is that you can charge your battery during off-peak hours, when electricity is cheaper, and use the stored energy during on-peak hours to avoid paying a higher rate. You can also charge up ahead of a storm and use the stored energy for backup power. 

Why Install Battery Storage? 

  1. Get Off Fossil Fuel - Most of the electricity produced in California comes from burning fossil fuels. Solar panels generate clean electricity and installing them significantly reduces your reliance on fossil fuel for power, but doesn’t eliminate it. You still have to use grid power when it’s dark out. With solar plus battery storage, you can use more clean energy and get closer to zero fossil fuel consumption. 
  2. Backup Power During Outages - Power outages happen all the time in California and you don’t need us to tell you how inconvenient they are. A solar plus battery system gives you backup power for your essentials so you can make it through an outage unscathed without having to burn gas in a generator. 
  3. Less Reliance on the Utility - Solar plus storage makes you incredibly self sufficient so you can get away from the grid and reduce your reliance on the utility. 
  4. Save Money - The more electricity you produce and store yourself, the less you have to buy from the utility, saving you money every month. Electricity costs are rising fast and installing solar with storage can protect you against rate spikes. 

Solar, Battery Storage & Electrification Go Hand-in-Hand 

Electrifying your home is about eliminating the use of fossil fuels, which are a major source of carbon emissions and also bad for your indoor air quality. But if you power your new electric appliances from a dirty grid, you’re missing out on a big chunk of the environmental benefits of home electrification

Electric utilities don't always generate electricity from clean or renewable sources (about a third of the electricity generated in California is from burning fossil fuels). With solar plus storage, you can significantly reduce your reliance on the electric grid and get the majority of your electricity from clean sources. 

Incentives for Solar Battery Installation 

Solar batteries are good for the environment, and they’re also good for the electric grid. The more homeowners that use stored energy during peak demand periods, the less strain there is on the grid. Because of the robust benefits, battery storage systems qualify for tax incentives. 

  • Federal Solar Tax Credit - Reduces your installation costs by 30% via a federal tax credit. Solar panels, solar batteries, and standalone batteries are eligible. 
  • Sales Tax Exemption - Solar batteries are exempt from sales tax in California when installed as part of a solar panel system, saving you 7.25% of the cost. 

Find a Battery Storage Contractor in Your Area 

The hardest part of installing battery storage is finding a reliable contractor to do the job. The Clean Energy Connection makes it easy to find a local solar battery storage installer you can trust. Our free online directory connects California homeowners with qualified local contractors invested in clean energy solutions. We vet every company listed, and we use ongoing customer satisfaction surveys to ensure they provide stellar service.

Find a contractor to help you add battery storage to your California home.