Solar Net Metering

Today the solar industry employs more than 250 000 american workers in large part due to strong state net metering policies which have allowed the solar industry to thrive.

Solar net metering. Net metering s billing mechanism then credits solar energy system owners for the electricity they add to the grid. In other words when your solar panels produce more electricity than your home needs that excess power will be sent to the power grid. Rate structures that charge more for electricity at certain times of the day or night or look at where on the grid the excess electricity is being generated. If you install an energy storage system to take your home off the grid you won t have access to the benefits of net metering.

The most important feature of nem 2 0 to be preserved from nem 1 0 was the concept of net metering which allows solar customers to sell excess energy back to the grid at the retail rate. California net metering retained. Most net metering agreements use one meter to track net energy consumption energy used minus energy generated from solar and bill everything at a uniform rate. Net metering is applicable to a wide range of renewable technologies but most net metering programs are tied to solar photovoltaic systems because it s easier to size a.

Under a feed in tariff the utility installs two meters. However it is not indispensable. Solar net metering is a concept that allows producers who are also consumers of electricity to add the excess energy that they have produced back to the grid for distribution. Net metering began in the united states over 40 years ago as a way to compensate small scale wind and solar owners who wanted to use the electricity generated by their systems at different times.

Since 2015 no new customer is entitled to apply for the net metering mechanism. This amount is then offset against their power bills leaving the customer to pay the net amount of power bills. Net metering updates may factor in such things as a more accurate valuation of the solar energy flowing into the distribution grid. For example if a residential customer has a pv system on the home s rooftop it may generate more electricity than the home uses during daylight hours.

Net metering is a solar incentive that requires your utility to purchase excess solar electricity that your solar panels produce at the full retail value of electricity. In essence net metering is like having the grid serve as a giant solar battery. Net metering has become an important mechanism for the solar industry. Net metering increases demand for solar energy which in turn creates jobs for the installers electricians and manufacturers who work in the solar supply chain.

Credits at a wholesale rather than retail rate.