How long does it take for solar to pay for itself in Maine?

The typical solar payback period in Maine is 8 to 12 years. Electricity usage, sun exposure, shading, equipment selection, and how the system is financed can impact your ROI timeframe.

How does net metering work in Maine?

Maine’s Net Energy Billing program allows homeowners to earn credits for any excess electricity their solar system sends to the grid. You can use these credits in months when the system produces less, helping reduce your overall electricity costs.

What factors impact solar ROI in Maine?

Electricity rates, shading, sun exposure, roof orientation, system size, and financing all impact solar ROI. A solar consultant will evaluate these factors to provide a personalized ROI estimate for your home.

How much can a typical Maine homeowner save with solar?

A typical Maine homeowner who uses around 650 kWh per month can save thousands over the lifetime of their system. After the system pays for itself, the remaining years of production—often 20 years or more—are essentially free. You will only pay the small monthly utility connection fee.

After I pay off my solar system, what happens?

Once your system has paid for itself, the electricity it produces is essentially free for the rest of its lifespan. With our 30-year warranty on every grid-tied system, our customers enjoy decades of low-cost, clean energy.

Is Solar Worth It? A Clear Breakdown of Solar ROI for Maine Homeowners

“Can switching to solar save me money?”

“How long does it take for solar to pay for itself?”

“Is solar worth it in Maine?”

Installing your own solar electric system is not only good for the planet; it’s great for your wallet, too. Many homeowners want to understand whether solar makes financial sense for their property, and in most cases, it does. In Maine, the average homeowner can expect to save thousands over the long lifetime of their solar system and see a relatively quick return on investment (ROI). A well-designed system often costs less than your current electric bill, making solar a practical investment for many Maine homeowners.

Let’s look at what goes into determining whether solar is worth it in Maine and how quickly a system can pay for itself.

Why Solar Is Worth It In Maine

Owning your own solar electricity system offers many benefits beyond simply saving you money on your energy costs each month and giving you energy independence. Switching to solar allows you to:

Fix your cost of electricity

When you purchase a solar system, you’re essentially pre-purchasing decades of electricity at a fixed cost. This protects you from rising utility rates and gives you long-term control over your energy expenses.

Enjoy free electricity after the system pays for itself

Because your system is warrantied for 30 years, far longer than its anticipated ROI timeframe, the electricity it produces after it has paid for itself is essentially free.

Reduce or eliminate your property’s carbon footprint

The more systems in your house that are powered by solar electricity, the more of your overall energy load is offset. For example, an electric hot water heater reduces your reliance on oil.

You can also couple your solar system with a solar battery for backup power during outages. A solar battery expands your energy independence, allowing you to power key lights and appliances when the grid goes down.

Maine’s Net Metering Policy

You probably already know that solar systems convert the sun’s energy into electricity. That means that your system is generating electricity whenever sunlight is hitting your panels.

So what happens when your system produces a lot more or less electricity than you need at that moment? Thanks to a long-standing policy called Net Energy Billing or net metering, grid-tied solar customers in Maine are able to enter into an agreement with their utility company whereby excess electricity is measured at the meter and earns the homeowner credits toward future bills.

During the longer, sunnier days of spring and summer, well-designed systems will produce more electricity than the home requires. The homeowner’s utility account is then credited for that electricity. The homeowner is then able to access those credits during shorter, darker days of the year, when solar systems naturally produce less electricity.

Average Solar ROI in Maine

Every home uses electricity differently, so for the purpose of this exercise, we’ll focus on a truly typical household in Maine. The average home in Maine uses approximately 650 kWh of electricity per month, translating to a bill of around $185. To meet this usage, our team would design a 14-panel system based on the property’s sun exposure, shading, available space, and expected annual production.

That system costs $23,601. At today’s electricity rate, it would pay for itself in 10 years. Across the range of residential systems Maine Solar Solutions installs, the average expected ROI ranges from 8 to 12 years.

So what happens after you pay off the system? Maine Solar Solutions offers a 30-year warranty on every grid-tied system, so the homeowner gets to enjoy at least 20 years of essentially free electricity. All they’ll pay is the monthly utility connection fee of approximately $27.

What Can Impact ROI?

We can calculate the average ROI using today’s figures and averages, but a few factors can impact your specific return on investment.

The biggest factor affecting an individual property’s solar ROI is the cost of electricity. As we know in Maine, utility companies aren’t shy about raising rates every few years. Because the cost of your system stays the same, when the price of electricity goes up, your ROI window becomes shorter.

The efficiency of the site, meaning the property’s unique shading, pitch, and orientation to the sun, all of which influence how much sunlight reaches the panels throughout the day — and can also increase or decrease your production over the course of the year, driving your ROI slightly up or down.

The production guarantee of the panels you select and whether you opt to pay in cash or finance your system can also change your specific ROI window.

So, if ROI can be affected by so many factors, can it be accurately projected before your system is installed? Luckily, your solar consultant can use each of these factors to pinpoint your property’s expected ROI during the proposal process. You’ll know exactly what you can expect.

Want to Learn More?

Check out this recording of our recent webinar for even more insights on the true cost of solar in Maine. Reach out to our team today if you’re ready to get started and would like a personalized look at your home’s expected ROI!