Community Solar Savings Calculator

Calculate your savings from a community solar subscription. Compare your utility rate to the community solar rate and estimate annual bill reductions.

kWh
panels
$/kWh
$/kWh
$/mo
%/yr
Monthly Utility Cost
$144.00
Without community solar
Monthly Community Cost
$123.00
25.0% rate discount
Monthly Savings
$21.00
You save each month
Annual Savings
$252.00
First year savings
Lifetime Savings
$12,864.00
Over 20-year contract
Est. COโ‚‚ Avoided
90.7 metric tons
Lifetime carbon offset

Annual Savings Trend

1
2
3
4
5
10
15
20

Cost Comparison by Year

YearUtility CostCommunity Solar CostAnnual SavingsCumulative Savings
1$1,728.00$1,476.00$252.00$252.00
2$1,780.00$1,495.00$284.00$536.00
3$1,833.00$1,515.00$318.00$854.00
4$1,888.00$1,535.00$353.00$1,207.00
5$1,945.00$1,556.00$389.00$1,597.00
10$2,255.00$1,662.00$593.00$4,139.00
15$2,614.00$1,776.00$837.00$7,819.00
20$3,030.00$1,900.00$1,130.00$12,864.00

Community Solar Billing Models

ModelHow It WorksUpfront CostTypical Discount
Bill CreditCredits offset your utility bill per kWh generatedNone5โ€“15%
Fixed SubscriptionMonthly fee for share of farm outputNone10โ€“20%
Panel OwnershipBuy or lease individual panels in a farm$500โ€“$2,00015โ€“30%
Planning notes, formulas, and examples

About the Community Solar Savings Calculator

Community solar (also called shared solar or solar gardens) lets you subscribe to a portion of a local solar farm without installing panels on your roof. You receive credits on your electricity bill for the solar energy your share produces, typically at a 5โ€“20% discount to your utility rate.

Community solar is ideal for renters, homeowners with shaded roofs, condo/apartment dwellers, and anyone who can't or prefers not to install rooftop solar. Programs typically require no upfront cost and offer flexible contract terms (month-to-month or 1โ€“2 year commitments).

This calculator estimates your annual savings by comparing the cost of your subscribed kWh at the community solar rate vs your utility rate. Savings depend on the discount offered, your subscribed share, and your utility's net metering or bill credit policy.

Integrating this calculation into regular energy reviews ensures that conservation strategies are grounded in measured data rather than assumptions about building performance and usage patterns.

When This Page Helps

Community solar subscriptions vary in discount percentage and terms. This calculator shows your actual dollar savings per year, helping you evaluate whether a specific program is worth joining.

How to Use the Inputs

  1. Enter the amount of energy you subscribe to in kWh per month.
  2. Enter your current utility electricity rate per kWh.
  3. Enter the community solar rate or discount percentage.
  4. Review your estimated monthly and annual savings.
Formula used
Monthly Utility Cost = Subscribed kWh ร— Utility Rate Monthly Community Solar Cost = Subscribed kWh ร— Community Solar Rate Monthly Savings = Monthly Utility Cost โˆ’ Monthly Community Solar Cost Annual Savings = Monthly Savings ร— 12

Example Calculation

Result: $180/year savings

Subscribing to 500 kWh/month: Utility cost would be 500 ร— $0.15 = $75/month. Community solar cost: 500 ร— $0.12 = $60/month. Monthly savings: $15. Annual savings: $15 ร— 12 = $180. This represents a 20% discount on those kWh with no installation hassle.

Tips & Best Practices

  • Typical community solar discounts range from 5โ€“20% off utility rates.
  • No upfront cost is required for most community solar programs.
  • You can usually cancel or adjust your subscription with 30โ€“90 day notice.
  • Credits appear directly on your regular utility bill.
  • Subscribe to enough kWh to offset your full bill for maximum savings.
  • Community solar is available in ~40 states with active programs.

How Community Solar Programs Work

A developer builds a solar farm and sells subscriptions to local utility customers. Each subscriber is allocated a portion of the farm's output. The utility applies bill credits for that production. The subscriber pays the community solar provider directly (at a discount to their utility rate) and receives credits on their utility bill.

Comparing Community Solar to Rooftop

Rooftop solar offers greater savings (20โ€“50% bill reduction) but requires home ownership, suitable roof, and $15,000โ€“$30,000 upfront investment. Community solar offers modest savings (5โ€“20%) with zero upfront cost and no installation. Community solar is the accessible alternative for those who can't go rooftop.

Finding a Community Solar Program

Search EnergySage or community solar marketplaces for programs in your area. Your utility may list approved providers on their website. Evaluate programs by discount percentage, contract length, cancellation terms, and any fees.

Sources & Methodology

Last updated:

Frequently Asked Questions

  • Community solar is a shared solar farm that multiple subscribers receive credits from. You subscribe to a portion of the farm's output, and the energy credits are applied to your utility bill. You don't need solar panels on your property. Programs exist in ~40 US states.