Sacramento, CA
Electrification ROI based on SMUD rates and local rebates
Population: 525,000•Climate: hot•Electric: $0.242/kWh•Gas: $1.68/therm
Best Upgrade
Solar Panels
6.3 years • 177% ROI
Annual Savings
$2,881/year
Full electrification
Total Incentives
$25,850
Federal + utility rebates
Visual ROI Analysis
Payback Period Comparison
Lower is better • Shortest payback = fastest return on investment
Annual Savings Comparison
Higher is better • More annual savings = greater long-term benefit
Cumulative Net Savings Over Time
Point where line crosses $0 = payback achieved • Steeper line = faster savings growth
Detailed ROI by Upgrade
Heat Pump HVAC System
Replace gas furnace + AC with an all-electric heat pump
🌡️
Costs
Upfront cost:$12,000 - $18,000
Federal tax credit:-$2,000
SMUD rebate:-$4,500
City/state incentives:-$6,000
Net cost:$-500 - $5,500
Savings & ROI
Annual savings:$132/year
Simple payback:21.2 years
15-year ROI:-86%
CO₂ reduction:0.3 tons/year
15-year net savings:$-13,023
Solar Panels (6kW System)
Generate your own electricity from the sun
☀️
Costs
Upfront cost:$15,000 - $21,000
Federal tax credit (30%):-$5,400
City/state incentives:-$1,000
Net cost:$8,600 - $14,600
Savings & ROI
Annual savings:$1,908/year
Simple payback:6.3 years
25-year ROI:177%
CO₂ reduction:3.6 tons/year
Full Electrification Package
Heat pump + Solar + Heat pump water heater + EV charger
⚡
Costs
Total upfront cost:$30,300 - $45,000
Total federal credits:-$10,400
Total utility rebates:-$6,150
City/state incentives:-$9,300
Net cost:$4,450 - $19,150
Savings & ROI
Annual savings:$2,881/year
Simple payback:4.4 years
15-year ROI:22%
Total CO₂ reduction:10.1 tons/year
15-year net savings:$5,569
Sacramento Energy Context
Climate & Usage
Climate zone:hot
Heating degree days:2,650
Cooling degree days:1,450
Avg home size:2,000 sq ft
Energy Costs
Utility provider:SMUD
Electricity rate:$0.242/kWh
Natural gas rate:$1.68/therm
Avg monthly bills:$142 elec + $54 gas
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