High electricity bills from Southern California Edison (SCE) are a familiar reality for households in Paramount, where average monthly costs can approach $300. With retail rates around $0.32 per kWh, finding ways to reduce energy spending is more important than ever. Rooftop solar offers a direct path to lower bills, but the strategy in 2026 has shifted: maximizing the use of your own generated power is the key to achieving the best financial outcome.
From rates to ROI—continue in the savings calculator.
Open calculatorBenchmark Cost Analysis
How Much Do Solar Panels Cost in Paramount?
The upfront cost of a solar system in 2026 depends on whether you include energy storage. The following estimates are for a 7.2 kW system designed to meet the needs of a typical Paramount home.
- Solar-Only System Cost: The estimated gross cost for the panels and installation is $18,360.
- Solar + Battery System Cost: To add a 10 kWh battery for energy storage and backup, the total estimated cost is $33,360.
These prices reflect the full system cost before accounting for your annual energy savings. It's important to note that the 30% federal tax credit, a major incentive in previous years, is no longer available for systems placed in service in 2026.
Incentives & Tax Credits
Key California Solar Incentive for 2026
Even without a federal tax credit, California provides a powerful incentive that helps the financial case for solar. Homeowners in Paramount can benefit from the state's Property Tax Exclusion for Active Solar Energy Systems.
This incentive ensures that the value added to your home by a solar installation will not increase your property tax bill. This exclusion is currently available for systems installed through June 30, 2026. Beyond tax benefits, an owned solar system can also be a significant asset, potentially improving your home's resale appeal to future buyers who value energy independence and lower utility bills.
Net Metering: Southern California Edison Co
Net Billing (low export)
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Understanding Export Credits from SCE
Under California's net billing tariff, the rules for selling surplus solar power back to the grid have changed. When your panels produce more electricity than your home is using, that excess energy is sent to SCE. However, the credit you receive is not at the full retail rate.
While you might pay SCE over $0.32 per kWh, the credit for your exported solar is modeled at a much lower value, around $0.11 per kWh. This means storing your excess solar power in a battery for later use is financially smarter than exporting it. A battery helps you avoid selling low and buying high, maximizing the value of your investment.
Projected Savings
Potential Solar Savings in Paramount (2026)
A solar installation is a long-term strategy to protect against rising utility costs. The value of offsetting expensive grid power can grow significantly if SCE's rates continue to climb in the future. Based on current modeling, a 7.2 kW system can deliver substantial savings.
- A solar-only system is estimated to save a Paramount homeowner $2,216 in the first year. This translates to a projected payback period of 7.6 years.
- By adding a 10 kWh battery, the system can store daytime solar energy for use during expensive evening hours. This solar-plus-battery package boosts the estimated first-year savings to $3,308, with a payback period of around 8.3 years.
The significant jump in savings with a battery highlights its importance in California's modern energy landscape. It allows you to use nearly all the power you generate, drastically reducing what you need to buy from SCE.