Defined term
Electricity pricing
Electricity pricing is the rate structure and per-kilowatt-hour price a household pays for grid electricity.
Definition
For a solar household, electricity pricing is the avoided-cost input: every kilowatt-hour produced by the system is worth some combination of retail energy charges, delivery charges, time-of-use periods, and export credits.
A high residential rate usually improves solar savings, but the tariff design matters as much as the average price. Demand charges, fixed charges, and low export compensation can reduce the bill savings from the same rooftop production.