Solar Guide for Los Angeles DWP (LADWP) Customers

If you're a Los Angeles DWP (LADWP) customer considering solar energy, you're making a smart financial decision. With residential electricity rates averaging 22.5 cents per kWh, solar panels can dramatically reduce or even eliminate your monthly electric bill. The typical Los Angeles DWP (LADWP) customer spends approximately $180 per month on electricity — money that could be working for you instead of going to the utility.

City of Los Angeles

Los Angeles DWP (LADWP) has a full retail rate net metering policy. This is one of the best net metering structures available — you receive full retail rate credits of 22.5¢/kWh for every excess kilowatt-hour your solar system sends to the grid. This means your solar panels generate maximum value, as surplus energy produced during sunny afternoons offsets your evening and nighttime consumption at the same rate.

An 8kW solar system for a Los Angeles DWP (LADWP) customer costs approximately $22,560 before the 30% federal Investment Tax Credit. After the ITC, your net cost drops to about $15,792. This system produces enough clean energy to save you approximately $3,239 per year, resulting in a payback period of roughly 2.9 years.

After your system pays for itself, you'll enjoy 19+ years of dramatically reduced electricity costs. Over a 25-year period, total savings for Los Angeles DWP (LADWP) customers are estimated at $80,975 — and that's without accounting for the likely 2-3% annual increase in electricity rates that would make your savings even greater.