TNB bill reduction after solar panel installation
You’ve all heard of the term “Installing solar panels will help reduce your TNB bill.” It is reasonable for us to be sceptical of products that proudly ensure that by purchasing them, you will be “saving a lot of money.” We’d have no idea which of today’s trendy technologies benefits us with so much available. Solar panels are no different. They claim to be saving money by reducing your electric bills, which is one of their main appeals. Do they really?
Fortunately for all of you out there, that’s true! The question is: how and why? Does it reduce the same amount for everyone? Why is the percentage of reduction different?
NEM Rakyat 3.0
To understand it better, you can read up on our NEM 3.0 article to learn more about the packages that were introduced by our government. In the meantime, here’s a brief explanation.
NEM is one of the options for you to generate electricity from your own solar PV system and offset the remaining solar energy from TNB to reduce your electricity bills. According to TNB, this system is designed to provide you with credit for any excess solar energy you generate. It is then used to offset your next electricity bill. This way, you can save money on your electricity bills while also protecting yourself from future price increases. Even better, you will become a part of the clean energy movement to reduce the effects of climate change!
The government launched the Net Energy Metering (NEM) programme in 2016 in order to increase the use of solar power. The programme allowed excess solar power to flow back into the grid on a “one-on-one” offset basis. That’s where its popularity picked up, as excess power could be sold back to TNB.
Not long after NEM and NEM 2.0, NEM 3.0 was introduced and will be available from 2021 to 2023. This programme has an allocated quota of 100 MW for the people, and it’s called NEM Rakyat. Once the solar energy generates the electricity and is used, the excess can be offset on a one-on-one basis. None of the energy or money will go to waste. People can save up to 90% every month in the long run. While saving money, we also get to practice an eco-friendly lifestyle!
Why is your TNB bill reduced by up to 90%?
Some of you might still be wondering how much the monthly TNB bill will be reduced. That actually depends on a few points. Before we dive into the details, understand the 6 things you must know before installing solar panels.
1. Average Monthly TNB Bill
Firstly, determine your average monthly TNB bill before installing solar panels. To ensure your solar investment is worthwhile and makes sense, we always encourage our clients to install only when their TNB bills are more than RM200. If your monthly TNB bill is on average lower than RM200, ask yourself if you are expecting higher TNB bills in the future. For example, more electric appliances that will be installed in the future or more family members staying at the house could contribute to a higher TNB bill in the future.
You might be interested to know if installing solar panels is worthwhile for you. Read here to understand better!
2. Roof Condition
The second would be your roof condition, which includes the roof size. Roof condition is so important to determine the number of panels that can be installed and the design of panels on the rooftop. Other than that, we also need to know if your roof condition is good enough to support the panels.
It might sound technical and complicated to you. Worry not, our solar consultants are here to assist you! We will evaluate and survey your roof with our drone shots, which will be included in the site survey report so that you can also know your roof condition. Learn more about the procedures here!
3. The number of panels to be installed
With your average monthly TNB bill and your roof size, we can roughly estimate the number of panels that need to be installed in order to get an ideal savings and a reasonable return on investment.
Before diving into tailored solutions and customised packages, we frequently offer standard solutions at the start of the site survey so that you have a better understanding of your house conditions as well as the electricity consumption and savings.
4. Your buying power
As mentioned above, the number of panels depends on the size of the roof. Other than that, it also depends on the amount of TNB bill you want to save and the budget you have to install solar panels.
Here is one of the examples: Mr. Raja has an average TNB bill of around RM300 to RM400; the number of panels we would recommend is around 9. The average cost of 9 solar panels is around RM20,500. If you have a lower budget to install, you can always discuss with our solar consultant about getting fewer panels; if you have a higher budget and wish to save more on your bill, you can also consider installing more solar panels. We always encourage our clients to communicate with us in order to get more tailored solutions.
These are the reasons why the reduction in the bill is different for every user. Some of you might get a 90% or 100% reduction, while others get 50% or less.
Conclusion
It is always better not to compare yourself with others because every home has different conditions. Instead of comparing your bills to those of others, compare them to your previous TNB bills and how much you have saved. Calculate the savings from now to the future; you’ll be surprised at how much you’ll be saving!
For more information, you know who to call. Always remember, we at Verdant Solar provide free consultations. If you want to go solar, now is always the best time! We can’t wait to hear from you!
