How Does Solar Panel Net Metering Work

With net metering you can save by going solar.

How does solar panel net metering work. Many consumers who are thinking about going solar have heard the term net metering but aren t sure what it means. What is net metering. Usually your solar panel system will generate the most electricity during the middle of the day. The sun is up so my system is producing.

As a result you can save tens of thousands of dollars on electricity costs over the lifetime of your solar energy system. For each utility net metering 2 0 is put into place when the five percent cap is reached. When your solar panels produce more energy than your home needs at any one time you may wonder where that energy goes. That energy is sent back to the power grid and you get credit for it on your electric bill.

This also happens to be when homes use the least amount of energy. In ongrid solar power systems if the solar energy produced is more than what the building loads consume the surplus energy will automatically be exported to the eb distribution network energy export. Put simply net metering is a utility billing mechanism available in most states that offers a credit to residential and business customers who are making excess electricity with their solar panel. How does net metering work.

The benefit of this is that your system will receive net metering credit. Since 2015 no new customer is entitled to apply for the net metering mechanism. Thanks to net metering homeowners are credited for the energy that their solar panels generate at the same rate that they would pay to their utility. Put simply net metering is a utility billing mechanism available in most states that offers a credit to residential and business customers who are making excess electricity with their solar panel systems and sending it back to the grid.

If there is less solar energy than what the. Solar panels don t produce energy at night which is typically when homes consume the most energy. Once sce switches to net metering 2 0 there will be no cap on the amount of solar that is eligible for net metering. How does net metering work.

In the state of hawaii solar power has been running for almost 4 years without the net metering program that was supported by hawaiian electric. However it is not indispensable. All solar systems are tied into the utility grid. Both pg e and sdg e have already reached their caps and sce is expected to begin net metering 2 0 in july 2017.

This process is called net metering and it s one of the great things about solar. You may be wondering then do my panels work when there is a blackout. It s a great question.