Your savings depend on how your solar system will be used, as well as the size and type of your system. Other factors can include the climate, the contractor, and the solar rating however; in general you should be able to save around 40% of your electricity bill. If you look at the geyser component of your electricity bill, this should save you around 70% keeping in mind that it’s important to manage your system to get the best performance and saving.
Solar hot water systems can save you money in the long run. Studies were undertaken to determine the potential savings to homeowners who use solar water heating systems, in comparison to electric geysers. The study was undertaken because the initial installed cost of a solar hot water system is higher than that of an electric geyser. What the test wanted to explore was costs and the savings over time, beyond the initial installation period. The study found that solar water heaters offered the greatest potential savings. Annual utility costs for solar water heaters were 50% to 85% lower than those for electric geysers.
In most instances, building contractors choose electric geysers because they are easy to install and relatively inexpensive. Research shows that the average household with an electric geyser spends 35% to 40% of its home energy costs on heating water.