How to find the best community solar offer
At a minimum, your community solar farm must meet a few basic requirements.
Not all community solar projects are created equal. Community solar programs vary from state to state and utility to utility, so it’s important to understand what each project you’re considering offers you.
While most programs will save you money, some community solar projects promise greater savings than others. Whether you’re eligible for a dozen community solar farms or just one, it's essential to understand the terms and conditions of each offer before you sign on to a project.
- 100% free to use, 100% online
- Enjoy 5 - 20% off your annual electricity bill
- Unbiased Energy Advisors ready to help
Key takeaways
Community solar projects must be within your utility service area and should meet your electricity consumption needs.
Most community solar programs have a fixed discount on bill credits. The best programs offer the highest discounts.
Make sure to read the fine print. Some community solar programs may charge additional fees for things like signing up, late penalties, or early cancellation.
If a community solar project doesn’t align with your electricity needs, physical location, or intended timeline, it’s not the project for you.
Location: Your community solar farm must be in your utility company’s territory
If a community solar project isn’t connected to your utility, you can’t participate in it. This really narrows down your list of available options. But let’s say there are multiple solar farms within your utility’s service area—some people prefer to join the solar farm located in their own neighborhood rather than a project in the next town over.
One of the benefits of community solar is its direct local or regional impact. A community solar farm located in your area provides clean energy to your corner of the electric grid and employs people in your community. Because of this, many people prefer to subscribe to a project close to their home or business.
Share size: How much solar energy do you need?
Ideally, your community solar share will closely match your actual electricity consumption. You’ll want to make sure the community solar project you go with has enough available capacity to size your share properly. A few things to consider:
Your current annual electricity demand: How much electricity do you use annually? You can find your historic usage through your utility account.
Your future annual electricity demand: Community solar companies usually rely on your current annual electricity usage to size your share, but you may be able to adjust for future electricity needs. For instance, if you plan to electrify your heating and cooling systems with heat pumps, ask if a larger project share is possible.
The capacity of your share: The capacity of your share should closely match your annual electricity consumption.
The output of your share: This is the amount of electricity your share actually produces. Don't be alarmed if your solar production doesn't always align with your energy demands: Solar panels typically produce more electricity in the summer and less in winter, so the output of your share will vary from month to month. However, this should balance out over a year to save you 5-20% on your annual electric bills.
Project timeline: When will the solar farm go live?
It's common for community solar companies to fill projects with subscribers before the solar farm is "live," meaning a project might not be complete when you sign up. A project's "go live" date can provide an estimate of when you'll start seeing community solar savings. If your potential community solar project isn't up and running, there might be a waiting period before you receive those community solar credits.
Once you weed out the community solar programs that don’t meet your basic needs, compare the projected savings and reputations of your remaining options.
When will you start saving money?
The timing of your savings from community solar largely depends on the program structure. Some programs base their discounts on the electricity rates charged by utility companies. They’ll build in gradual rate increases, known as escalators, promising you'll eventually save as inflation drives utility rates higher. Other programs offer a fixed discount on all the solar energy you buy (i.e., 10% less than utility rates.) If you have a choice, fixed discounts offer the most certainty throughout the program.
Does the community solar company have a good reputation?
A good community solar company is easy to get in touch with. You want to make sure they'll return your calls or emails when you have a problem as fast as they did when you were trying to buy into the project.
It can be challenging to gauge the responsiveness of a customer service team while signing up, but most community solar companies have online reviews from past and current customers, speaking to their reputation.
If you're lucky enough to still have multiple community solar offers at this point, check to see if there's anything in the fine print that would make it a less beneficial offer, such as late penalties or cancellation fees.
Are there additional fees?
Will you be penalized for late payments?
Can you cancel your subscription at any time? And are there any penalty fees for an early exit from the program?
Can you transfer your subscription to your new address if you move?
If you're looking to maximize your total solar savings, consider installing solar panels at your property.
How do the costs and savings compare to installing a rooftop system?
Community solar has expanded the solar industry to benefit more people, but rooftop solar typically allows you to save significantly more money. If your roof is a good fit for solar panels, we recommend comparing installation options for your property before deciding to buy a share of a solar project.
You probably won’t qualify for solar incentives
Solar incentives can significantly cut the cost of going solar. Since ownership is typically a requirement, you probably won’t be able to claim solar incentives directly as a community solar subscriber. However, you may still benefit; solar incentives can lower your community solar company’s costs, resulting in lower subscription prices.
Comparing community solar quotes can feel overwhelming. Thankfully, EnergySage does the heavy lifting for you. Compare local options, get a quick community solar savings estimate, and seamlessly subscribe to an open community solar project in your area through the EnergySage Community Solar Marketplace. Sign up today to speak with our expert team of Energy Advisors who will help you go solar with confidence.
- 100% free to use, 100% online
- Enjoy 5 - 20% off your annual electricity bill
- Unbiased Energy Advisors ready to help
Explore heat pumps, the latest in clean heating & cooling technology.
Save up to 15% on your electric bill
Join a local solar farm today.