Solar Electricity Bill Savings Calculator (Canada)

How this calculator works

The Solar Electricity Bill Savings Calculator estimates the immediate monthly hydro-bill reduction when a residential PV system replaces grid imports. Side-by-side comparison: today’s bill vs. tomorrow’s bill, in CAD per month, using your provincial retail rate and net-metering credit.

Eight inputs, four outputs (monthly production, new bill, monthly saved, annual saved):

1. Current monthly bill — what you pay today on average. Annual ÷ 12.
2. Monthly usage (kWh) — Statistics Canada residential average is 9,000 kWh/year (750 kWh/month). Higher in QC/MB (electric heat); lower in BC/SK.
3. System size (kW) — 7-10 kW is the typical residential install per CanREA. Use the solar panel estimate calculator for your roof.
4. Peak sun hours/day — NRCan Photovoltaic Potential Maps: Calgary 4.4, Toronto 3.8, Ottawa 3.7, Montreal 3.5, Halifax 3.6, Vancouver 3.0, Winnipeg 4.2, Regina 4.5. Cold-climate de-rating already in our 0.77 PR factor.
5. Electricity rate (C$/kWh) — your blended retail rate. Default C$0.17 = national population-weighted average.
6. Net-metering credit (C$/kWh) — equals retail in most provinces under 1:1 NEM. AB allows excess credit cash-out at avoided cost annually.
7. Self-consumption (%) — fraction of solar used directly. Default 60% (Canadian homes have higher daytime baseload due to heat pumps + EV charging).
8. Basic monthly charge — fixed customer/delivery charge. Default C$22 = Ontario rural/Hydro One typical.

How the math works

monthly_kWh_produced = system_kW × peak_sun_hours × 30.4 × 0.77
self_consumed_kWh    = min(monthly_use_kWh, monthly_kWh_produced × self_pct/100)
exported_kWh         = monthly_kWh_produced - self_consumed_kWh
imported_kWh         = monthly_use_kWh - self_consumed_kWh
import_cost          = imported_kWh × retail_rate
export_credit        = exported_kWh × net_meter_rate
new_bill             = max(basic, import_cost - export_credit + basic)
monthly_savings      = current_bill - new_bill

The 0.77 system performance ratio aligns with NRCan’s RETScreen Expert default for Canadian climates (inverter, wiring, soiling, and a higher snow/temperature derating component than US/UK averages). For systems with snow shedding via 30°+ tilt, real-world performance ratios in southern Ontario and the Prairies often hit 0.78-0.80; for low-tilt residential systems in coastal BC, expect 0.72-0.76.

Worked example: 7 kW system in Toronto

• System: 7 kW DC, 3.8 PSH (Toronto NRCan-PVMaps annual)
• Monthly production: 7 × 3.8 × 30.4 × 0.77 = 623 kWh/mo
• Use: 750 kWh/mo (Ontario average)
• Rate: C$0.17/kWh (TOU blended winter Q1 2026)
• 60% self-consumption (heat pump + EV daytime load)
• Self-consumed: min(750, 623 × 0.60) = 374 kWh, offsetting C$64/mo
• Exported: 623 - 374 = 249 kWh × C$0.17 = C$42 credit (1:1 NEM)
• Imported: 750 - 374 = 376 kWh × C$0.17 = C$64 cost
• Plus C$22 basic charge
• New bill: C$64 - C$42 + C$22 = C$44/month
• Old bill: 750 × C$0.17 + C$22 = C$150/month
• Monthly savings: C$106/month, C$1,272/year (71% reduction)

Add the Canada Greener Homes Loan (interest-free over 10 years, ~C$2,200/year payment for a C$22,000 system) and your “loan + reduced bill” total still beats your old bill in year 1 — net cash-flow positive from day one.

Per-province retail rates and net-metering rules (Q1 2026)

Provincial residential rates from Hydro-Québec Comparative Index of Electricity Rates (April 2025 published December 2024) and provincial utility filings:

Alberta is the outlier: deregulated since 2001, distribution and transmission charges (~50% of bill) still apply even when energy charge offsets to zero. Some retailers (Direct Energy, ENMAX, ATCO) pay above-supply-rate net-metering credits as differentiator.

Federal & provincial incentive stack (2026)

Federal — Canada Greener Homes Loan: interest-free loan up to C$40,000 for 10 years, in force 2024-2027 under Budget 2024 renewal. Eligible for solar PV, batteries, heat pumps, deep-energy retrofits. Apply via NRCan Energy Advisor program. Note: the Canada Greener Homes Grant (C$5,000 max grant) closed to new applications February 2024 — only the loan remains.

Provincial top-ups:

• NS SolarHomes Program — C$0.30/W rebate (max C$3,000) for systems ≤10 kW, NS residents only. Re-funded Jan 2025.
• PEI Solar Electric Rebate — C$1.00/W up to C$10,000 (10 kW max). One of richest in Canada.
• Yukon Good Energy Rebate — up to C$5,000 for solar + storage in residential off-grid or grid-tied
• NWT Arctic Energy Alliance — C$7,500 rebate for residential solar in diesel-grid communities (Yellowknife, Inuvik, etc.)
• AB Edmonton ChangeHomes for Climate Solar Program — C$0.40/W up to C$4,000, City of Edmonton residents
• AB Calgary Climate Action Loan — interest-free C$50,000 for solar + retrofits, City of Calgary residents
• BC PST exemption — solar PV systems exempt from PST 7% (effective Mar 1, 2026, BC Budget 2025)

Sources

• Natural Resources Canada (NRCan) — Photovoltaic Potential Maps, Canada Greener Homes Initiative (nrcan.gc.ca)
• CanmetENERGY — Solar PV resource maps and PV simulation methodology
• Canadian Renewable Energy Association (CanREA) — Annual Solar Industry Report 2025
• Canada Energy Regulator — Provincial Energy Information Series (cer-rec.gc.ca)
• Hydro-Québec — Comparative Index of Electricity Rates 2025 (hydroquebec.com)
• Statistics Canada — CPI Energy Index Tables 18-10-0004-01

For more detail see our 25-year solar panel savings calculator, solar payback period calculator, and solar panel cost calculator.

For questions about this tool: contact@solarcalculatorhq.com