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Cost & ownership

What is net metering?

Net metering is one way utilities account for electricity a customer sends to the grid, but programs and credit values vary. Some utilities use net billing or other export arrangements instead. The applicable tariff should be reviewed directly with the serving utility.

Quick answer

The practical explanation

Net metering is one way utilities account for electricity a customer sends to the grid, but programs and credit values vary. Some utilities use net billing or other export arrangements instead. The applicable tariff should be reviewed directly with the serving utility.

What to know

Three points to keep in mind

  • Export credit may not equal the retail price of electricity.
  • Fixed charges can remain even when annual production is high.
  • Rules can differ for new and existing systems.

For your home

A site-specific answer still matters

Solar results and service needs depend on the roof, equipment, shade, household electricity use, utility requirements, and the condition of the existing system. Use this guide as a starting point, then have the property and equipment evaluated before making a major decision.

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Sources

Authoritative references

This article summarizes general consumer information and is not tax, legal, insurance, engineering, or utility-rate advice.

  1. Federal Trade Commission — Solar Power for Your Home ↗
  2. DSIRE — State Incentives and Policies ↗

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