We put photovoltaic solar panels on our house here in a very foggy area near San Francisco about 1.5 years ago. They are really great! On sunny days, we generate almost 14 KWH, which is pretty significant. On foggy/cloudy days, we generate between 5-6 KWH. Even though the sun isn't out, the panels only require "light" to function. But they need to be free from any shadows falling on them (i.e., chimneys, tree branches, etc.) or they work less efficiently.
We are only billed once a year for electricity now, since we installed the panels. The local utility charges us a certain price during weekday peak hours (I think it's 10am to 6pm) and a lower price for the other hours and on weekends. It's called "net" metering. Our annual bill is a net figure based on the amount of energy we generated against the amount we used. Last year, we had a $14 credit, meaning we generated $14 more than we used. The goal is to either have a credit or be at 0. It's just two of us and our house is only ~1000 sq ft, so for larger places things will be different. We're also very conscious of how much we use, when we run our major appliances, etc.
Our system cost around $7500, and we got some tax credits and rebates. Many people ask us how long it will take for the panels to pay for themselves (about 9-11 years), but we installed them because we had the $$ and felt it was the right thing to do. We are still hooked into the local utility, so we're not completely "off the grid", but we really feel good about helping out where we can. The upfront cost is the kicker, but if you can do it, it's really great.
At some point in the future, probably after we return from our overseas UK venture, we are thinking of installing solar hot water panels also to pre-heat our water and help reduce our energy bills further.