Self-consumption
The share of on-site generation, typically rooftop solar, that is used directly by the producer rather than exported to the grid.
Self-consumption measures how much of a prosumer's own generation is used behind the meter. It is distinct from self-sufficiency (autarky), the share of total consumption covered by own generation.
Self-sufficiency rate = Self-consumed PV / Total household consumption
Typical values for a European household with a PV system sized to annual consumption: 25 to 35% self-consumption without storage, rising to 50 to 70% with a 5 to 10 kWh battery. Self-sufficiency moves from about 30% to 55 to 75% (HTW Berlin, Fraunhofer ISE). In northern latitudes the winter gap limits self-sufficiency even with large batteries.
Self-consumption matters most where exports are paid less than retail prices, under net billing or low feed-in tariffs. In Germany, for example, households pay about 0.35 to 0.40 EUR/kWh for imports but receive around 0.08 EUR/kWh for exports from new small systems, so each self-consumed kWh saves four to five times what an exported kWh earns.
Ways to raise self-consumption include home batteries, heat pumps and hot water tanks running at midday, EV charging during sunny hours, appliance timers, and east-west PV orientation to spread output. The EU Renewable Energy Directive grants citizens the right to self-consume and share energy in renewable energy communities.
Related terms
All terms →- Net metering
A billing arrangement in which electricity exported by a small generator, usually rooftop solar, offsets imports at the retail rate over a billing period.
- Behind-the-meter
Equipment located on the customer's side of the utility meter, such as rooftop solar, home batteries or EV chargers, which primarily serves on-site load.
- Feed-in tariff
A policy that guarantees renewable generators a fixed price per kWh exported, usually for 15 to 20 years, independent of market prices.
- Payback period
The time needed for the cumulative savings or revenues of an investment to equal its initial cost.
- Smart meter
An electronic meter that records consumption in short intervals and communicates the data remotely to suppliers and network operators.
- Grid parity
The point at which electricity from a new source, usually solar or wind, costs the same as or less than power bought from the grid.