Avoided Cost

Net Metering in Kentucky

Current NEM policy, export rates, and impact on solar payback for Kentucky homeowners.

NEM Export Rate

$0.050

per kWh

Avg Retail Rate

$0.115

per kWh

% of Retail

43%

compensation

Policy Status

Active

since 2024-01

System Limit

Up to 45 kW

max eligible

NEM Policy Details — Kentucky

How Kentucky compensates your excess solar generation

Avoided Cost Active

Kentucky shifted from net metering to net billing at avoided cost under SB 254. New systems compensated at wholesale rate. Earlier NEM systems grandfathered.

NEM Rate$0.050/kWh
Retail Rate$0.115/kWh
Savings Gap-6.5c/kWh
Annual True-UpYes

Source: Kentucky PSC, SB 254 · Effective: 2024-01

Calculate Your NEM Savings in Kentucky

$

NEM Rate Comparison

$0.00 Kentucky: $0.050 $0.115 (retail)

Kentucky's NEM rate is 43% of the retail electricity rate — significantly below retail, consider self-consumption or battery storage.

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