Net Metering Explained: How You Get Paid for Solar Energy
·5 min read
Net metering is a billing arrangement that allows solar homeowners to receive credit for excess electricity they send back to the grid.
How It Works
When your solar panels produce more electricity than you're using, the excess flows back to the grid. Your utility credits you for this energy, typically at the retail rate.
Why It Matters
Net metering can significantly improve your solar savings by ensuring you get full value for all the energy your system produces, not just what you consume directly.
State Policies Vary
Net metering policies vary by state and utility. Some states mandate full retail-rate net metering, while others have moved to reduced compensation rates.