What Is Solar Offset?

Solar offset is the amount of electricity your solar energy system produces (solar production) in a year divided by how much energy your home used in that year (energy usage). It is expressed as a percentage, and looks something like this:

Solar Production ÷ Energy Usage = Solar Offset

How do you determine your solar offset?

solar panel surrounded by greenery

You determine your solar offset by using the equation above, although in other cases it may be shown automatically on your utility bill.

If it’s not, though, you can easily find the percentage. Here’s an example:

Let’s say your solar energy system produces 15,000 kWh (kilowatt-hours) of electricity. This would be your solar production.

Then, let’s say that your home used 18,000 kWh of electricity. This would be your energy usage.

So, when you plug the numbers into the equation, it would look like this:

15,000 kWh ÷ 18,000 kWh = 0.83

0.83 x 100 = 83%

As a result, your solar offset is 83%. This means that your solar energy system is covering 83% of the energy you use, but the remaining 17% is being covered by traditional energy systems through your utility company.

What should your solar offset be?

So, your solar offset is 83%. Should it stay that way?

Ideally, your solar offset should be equal to or greater than 100%. This would mean that your solar production is equal to or greater than your energy usage.

Of course, this can be easier said than done, especially as your solar production will vary during the year. Getting as close to 100% as possible, though, is a good goal to have. Doing so will save you money and ensure that you’re not relying on any non-renewable energy resources.

An efficient solar panel system can help you increase your solar offset. At Empire Clean Energy System, our solar panel systems can help you do just that. Contact us at 631-589-4340 to learn more.