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Solar Basics · 5 min read

What is Net Metering?

The concept

Net metering is a billing arrangement between you and your utility company. When your solar system produces more electricity than your home is using — which often happens on sunny afternoons — the excess power flows back onto the grid, and your utility credits your account.

Later, when your panels aren't producing enough (at night, for example), you draw power back from the grid and use those banked credits instead of paying full retail price.

Why it matters

Net metering is one of the biggest factors in how quickly a solar system pays for itself. Rather than needing a battery to store every kilowatt-hour you produce, the grid effectively acts as your storage — as long as your utility's net metering policy allows it.

Policies and credit rates vary by utility and can change over time, so we review your specific utility company's current net metering policy with you during your consultation rather than assuming a one-size-fits-all number.

Questions worth asking

How is excess energy credited — at retail rate or a lower rate? Do unused credits roll over month to month or expire annually? Is there a monthly grid-connection fee? We'll walk through your utility's specific answers with you, in plain English.

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