Personal Finance

ONT ONLY - GreenOn Solar System Rebates

  • Last Updated:
  • Jun 25th, 2018 2:47 pm
Newbie
May 28, 2018
5 posts
So is this spreadsheet wrong or does net metering in Ontario seem like a very poor investment for a residential homeowner? Is there any scenario where financially it makes sense to net meter?

I guess I should add in a reasonable time period. Taking on a whole lot of risk to make a little bit of money in 15 years if everything works just perfectly and there is no equipment failure, is still pretty poor.
[OP]
Deal Guru
User avatar
Nov 18, 2005
10701 posts
2066 upvotes
Kingston
westottawa wrote:
May 31st, 2018 7:27 am
So is this spreadsheet wrong or does net metering in Ontario seem like a very poor investment for a residential homeowner? Is there any scenario where financially it makes sense to net meter?
Yes I think your spreadsheet captures the gist of the situation. Since the loan is at 3.95% the negative cashflow tells you the return is less than that.

I did an IRR calculation based on the 10Kwh system and assumed a 2% increase in the savings each year and the return over 20 years worked out to just under 3% on the investment. Considering the risk of not recouping your costs if you sell your house in that 20 year period, I don't think it is a good investment. Same conclusion I came to in the Net Metering thread.
Newbie
May 28, 2018
5 posts
Thank you JWL. To me there is so much risk it really needs to break even at 10 years (ten years is a long time to wait when tech is changing so fast) and especially since Ontario's hydro is so clean and it doesn't really help the environment that much. Perhaps Hydro Ottawa needs to pay net metering at the peak time of use (TOU) rate when the power is generated and the Greenon grant needs to be higher. They also need to let people stay on TOU if they want to. Most people will be charging their cars at night on the cheap TOU rate and won't want to switch off TOU.
Newbie
May 28, 2018
5 posts
The fixed costs and extra net metering fee are a killer. If I look at my Ottawa Hydro bill for the year and realize $22.40X12=$268.80 is fixed cost (using this calculator) and then add on the new net metering fee of $19X1.13X12=$257.64 (found here), $526.44 of my hydro becomes fixed regardless of how much power I use or generate.
fixed_ottawa-hydro.jpg
net_metering_charges.jpg
[OP]
Deal Guru
User avatar
Nov 18, 2005
10701 posts
2066 upvotes
Kingston
westottawa wrote:
May 31st, 2018 8:46 am
The fixed costs and extra net metering fee are a killer. If I look at my Ottawa Hydro bill for the year and realize $22.40X12=$268.80 is fixed cost (using this calculator) and then add on the new net metering fee of $19X1.13X12=$257.64 (found here), $526.44 of my hydro becomes fixed regardless of how much power I use or generate.
Yup. And if you are even a couple of KM out of town it is even worse.
Jr. Member
Oct 29, 2003
112 posts
14 upvotes
Yeah I'm trying to grapple with the payback timeline and its just not working out. 30k installation -10k rebate = 20k. I will only be saving approx 1050 a year at current rates (includes non fixed portion of delivery). If you don't account for the investment opportunity with that money and assume rates will stay about even for 20 years. It is going to take 18.5 years to break even. I have also heard inverter needs replacing around 10-12 years at 2 to 3k. Easily over 20 years to break even. If you could make 3% on your money it would be closer to 25 years about the time it needs replacing.
Deal Addict
Oct 14, 2004
1332 posts
318 upvotes
Toronto
As expected:
https://greenon.ca/


The following programs are closed:
Residential:
  • GreenON Installations
  • GreenON Solar Rebates
  • GreenON Modern Wood Heating Pilots
  • GreenON Rebates:
  • Air Source Heat Pumps
  • Ground Source Heat Pumps
  • Insulation
  • Windows
  • Solar
  • $100 Smart Thermostat
  • GreenON Social Housing

If you’re already signed up for a rebate, it will be honoured if:

  • You have a signed work agreement with a participating contractor for work that will be completed by August 31, 2018
  • Your rebate application is submitted by September 30, 2018

Commercial:
  • GreenON Small and Medium Businesses
  • Food Manufacturing and Covered Agriculture
  • Solar
  • The GreenON Challenge
  • GreenON Industries
[OP]
Deal Guru
User avatar
Nov 18, 2005
10701 posts
2066 upvotes
Kingston
James_TheVirus wrote:
Jun 19th, 2018 4:23 pm
If you’re already signed up for a rebate, it will be honoured if:

  • You have a signed work agreement with a participating contractor for work that will be completed by August 31, 2018
  • Your rebate application is submitted by September 30, 2018
Good to know that signed agreements will be honoured!
Deal Expert
User avatar
Apr 21, 2004
47596 posts
13266 upvotes
Which will likely apply to microFIT agreements too. :)
Sr. Member
User avatar
Sep 8, 2014
658 posts
494 upvotes
Toronto, ON
Sadly, we just missed out on using this program for replacement of our furnace with heat pump, we're not quite ready for the switch, but will be in 5 months from now, sigh.

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