Net Metering in California
Current NEM policy, export rates, and impact on solar payback for California homeowners.
NEM Export Rate
$0.065
per kWh
Avg Retail Rate
$0.320
per kWh
% of Retail
20%
compensation
Policy Status
Final
since 2023-04
System Limit
Up to system size limits
max eligible
NEM Policy Details — California
How California compensates your excess solar generation
NEM 3.0 (Net Billing Tariff) confirmed final — legal challenge defeated June 2026 (CA Supreme Court declined review). Export credits reduced to $0.05-$0.08/kWh (avoided cost), down ~75-85% from NEM 2.0's $0.30-$0.40/kWh near-retail rate. NEM 2.0 systems grandfathered for 20 years from PTO (~2043). Battery storage essential to maximize savings under NEM 3.0.
Source: CPUC Decision 22-12-056; court challenge defeated June 2026 · Effective: 2023-04
Calculate Your NEM Savings in California
Annual Production
—
kWh/year
NEM Export Credits
—
per year
Total Annual Savings
—
per year
Payback Period
—
years
NEM Rate Comparison
California's NEM rate is 20% of the retail electricity rate — significantly below retail, consider self-consumption or battery storage.
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