What is Net Energy Metering and How Can it Help You Save Money?
Solar energy can bring many benefits to homeowners. Net metering (also known as net energy billing) is one of the most beneficial. Net metering allows you to be credited for any additional clean energy that your solar panels produce.
These additional credits are carried over from month to month, and then they are trued up annually. Homeowners can offset their electricity consumption by using their solar system through bill crediting, rollover, and true-up. Net metering programs have limits on the size and output of solar systems. This is to ensure that the amount of solar power generated matches your annual electricity consumption.
The grid is used to power most homeowners’ homes at night. Your utility will charge a regular retail rate to your utility for grid electricity used. This process is reversed with net metering. The system produces extra electricity by using solar energy and then returns it to the grid, making the electric meter go backwards.
In an ideal net-metering program, the utility credits you for grid-bound energy at the same rate that it charges for in-bound energy. The utility credits your electricity bill with the net amount they have sent back to the grid at the end of each billing period. This gives rise to the term “net energy metering span>
However, net metering details are decided by regulators and elected officials in each state. The value of credits homeowners receive for extra clean energy sent to the grid can vary from one state to another. Some net energy metering programs do not give homeowners the full retail rate for extra clean energy generated by their solar system. Nevada solar customers get 75% of the retail price (vs. 100 span>
Not all solar systems can produce enough energy to provide enough electricity for your annual consumption. You may only use a small amount of the solar energy produced by some homes.
For many homeowners with large solar systems, net metering could save them hundreds of dollars per year. While net metering doesn’t usually “pay” homeowners directly, it can reduce their energy bills and provide clean, free energy every month.
How can you find out more information about net metering in your area? Speak to Red Solar’s Master Dealers and highly-trained dealer network. Your Red Solar dealer can provide you with information about net energy metering in the area. They will also be able to give you an estimate of how much it will cost and when you will start to see a return.
This post was written by a professional at Red Solar. Red Solar was started with the mindset of renewable energy being the future. We want everyone to travel through this transition. We can all agree that solar is the best way to reduce your carbon footprint, but it’s not the only way. During a Red Solar energy evaluation, all energy commons in your home will be analyzed for results. Our expert technicians will guide you through the process for better understanding and reassurance. Looking for one of the best solar installers Palm Springs? Then contact us for more information today!