Solar Power Net Metering
There are many benefits for consumers when trading traditional electricity for solar power, and of these many benefits, net metering is one that tends to be a big selling point among those who are considering to install solar power facilities for their home or business. But what exactly is net metering? Below you will find frequently asked questions about net metering as it pertains to solar power generation and consumption.
What is net metering?
Net metering is a national electricity policy for people who produce and consume renewable energy sources, allowing them to transfer excess energy production into their local electric grid. Excess energy production transferred into a local electric grid translates into banked energy credits.
How would my solar power production be tracked in terms of production and consumption?
Keeping track of your solar power production and consumption to determine if there is a deficit or excess in electricity use does not require special equipment. Your electric meter can accurately account for all the power your produce and consume.
How does banked energy credits benefit me?
Each month if your energy production exceeds your energy consumption, you will bank energy credits, which are usually equivalent to the retail value of electricity in your area. The value of banked energy credits varies depending on where you live. Typically, at the end of each year the electricity company will pay you back as an annual settlement for the excess energy you put back into the electric grid.
What else should I know about net metering?
The rules for net metering vary greatly depending on the state you live in. For most net metering arrangements, you must pay a monthly connection fee to transfer your electricity into the grid. The value of the energy credits you receive, particulars on how banked energy credit is paid out and how long the energy credits you receive last are other considerations that vary by state as well.
More Solar Panel Installation Information
For more information on the specifics of net metering in your state, please contact using our quick contact form on the right hand side of this page or our more accurate Solar Application. We here at mySolar are experts in solar power and have all the information you need to be informed about solar power options, benefits and installation in your area.