An LA Homeowner's Power Bill Hit $12,400 a Year Here's How to Keep Yours From Getting There

A San Fernando Valley homeowner recently shared a number that stopped a lot of people in their tracks: about $12,400 a year in electricity costs. The story, published by The Cool Down and shared on Yahoo, describes a household served by the Los Angeles Department of Water and Power with very high energy needs.

What drove the bill so high
A big piece of the usage came from transportation. Roughly 16,000 kilowatt-hours of the home's annual consumption came from charging two electric vehicles. Add in air conditioning through hot Valley summers and the normal needs of a busy household, and the annual total climbed to around $12,400. The homeowner looked into solar with battery storage and received a quote for a 23.94-kilowatt system with 57 panels and two batteries, designed to offset 100 percent of the home's usage. Commenters on the story debated whether two batteries would be enough, with one noting that on 100-degree days they ran out of stored power by midnight while running only the house and air conditioning.

Why this matters beyond Los Angeles
LADWP is a municipal utility, so its rates differ from those of SCE, SDG&E, and PG&E. But the lesson applies across California. Households are electrifying, adding EVs, heat pumps, and electric appliances, while utility rates keep rising. On SCE, SDG&E, and PG&E, average residential rates have risen between 69 and 101 percent over the past decade, according to the CPUC's Public Advocates Office.

Put rising usage and rising rates together, and bills can grow fast.

Step one: get on the right rate
For EV owners, the first move is making sure you are on a time-of-use plan that rewards charging during off-peak hours. Charging overnight or midday, rather than during the evening peak, can make a meaningful difference. Utilities offer rate comparison tools to help you choose.

Step two: make your own power
The long-term fix is producing and storing your own electricity. A properly sized rooftop solar system can cover a large share of a home's usage, including EV charging. A battery stores that energy for the expensive evening hours and keeps essential loads running during outages. As this story shows, sizing matters, especially for homes with EVs and heavy air conditioning, so a careful review of your actual usage is important.

Getting there without a big purchase
A cash quote for a large system can be a lot to take in. Through third-party ownership programs, qualifying homeowners can get solar and battery storage installed without buying or financing equipment, while enjoying lower energy costs and backup power.
A $12,400 bill does not happen overnight. It builds as usage and rates climb. If your bill is heading in that direction, now is the time to see whether your home qualifies.

To find out if your home qualifies for a TPO solar and battery program, visit myhomesolution.org/california_public_utility_commissions