Guide · Solar
How to test a rooftop-solar savings claim
The short answer
Treat solar savings as a projection, not a promise. Recalculate it from your electricity use, proposed system size, shade and orientation, modeled production, degradation, utility rates and export compensation. Compare cash price with total financed cost, and do not let a projected tax benefit substitute for individualized tax advice.
Editorial status: source-checked on 2026-08-22; not reviewed by a lawyer, licensing authority, engineer or trade professional. United States; utility tariffs, incentives, tax eligibility and consumer rights vary by place and date.
Audit the energy model
The Department of Energy says savings depend on consumption, system size, buying versus leasing, roof direction and sunlight, utility rates and compensation for exported energy. Ask for monthly production estimates, every assumption, the utility tariff used and a low-production scenario.
Compare the projection with at least 12 months of bills. Separate avoided electricity purchases from fixed utility charges and ask what happens if rates or export compensation differ.
Audit cash price and financing
The CFPB advises asking for the cash price and comparing multiple installer and lender proposals. Its 2024 advisory describes hidden dealer fees, projected tax credits and payment changes in some loans. Read principal, APR, term, total payments, prepayment assumptions and liens.
The FTC warns that unexpected pitches claiming government or utility affiliation, free panels or guaranteed large savings can be scams. Verify programs through official sources and get individualized tax advice.
- Cash price
- Loan principal, APR and term
- Total payments
- Dealer or origination fees
- Payment-change triggers
- Ownership and transfer terms
- Separate tax advice
Sources
Primary government and consumer-protection sources checked for this guide:
- Homeowner’s Guide to Solar, U.S. Department of Energy. Accessed .
- Consumer advisory: Steer clear of costly and complex loans for solar energy installation, Consumer Financial Protection Bureau. Accessed .
- How to avoid getting burned by solar or clean energy scams, Federal Trade Commission. Accessed .