Solar energy has many benefits for homeowners. Net metering is a great option for homeowners who are able to take advantage. Net metering allows you to receive credit for the extra clean energy that your solar panels generate and return to the grid.
The extra credits are rolled over on a monthly basis until they reach their annual total. Bill crediting, rollovers, and true-ups ensure that homeowners can offset their electricity consumption throughout the year by using their solar systems. Net metering programs have size limits for solar systems to make sure the power produced matches your annual electricity usage.
The majority of homeowners use the grid for powering their homes at least some of the time, such as during the night. In this case, the utility will charge you a retail rate for grid electricity. This process is reversed with net metering. The electric meter runs backward when a system that produces extra electricity via solar sends it to the grid.
In an ideal net-metering program, the utility will credit your bill for grid-bound electricity at the same rate as it charges for inbound energy. The utility credits your bill at the end of a billing period for the amount of net energy that they have sent back to the grid. This is called “net energy metering”
Net metering details are set by the state regulators and elected officials. The value of credits that homeowners receive when they send extra clean energy to the grid can vary depending on the state and utility. Net energy metering does not always give customers the full retail rate for their extra clean electricity generated by their solar system and sent back to the grid. Florida solar customers, for example, receive 75% (vs. 100%) of the retail rate.
Not all solar systems can produce enough electricity to cover your annual consumption. Some homes only have small solar panels that can offset a fraction of their annual energy consumption.
Net metering is a great way to save money for homes that have large solar systems. It can be hundreds of dollars per year. While net metering doesn’t “pay” homeowners directly, it can reduce their energy bills and help pay for their solar system.
This post was written by Daniel Massaad, owner and expert solar technician at Energy Solutions Direct! ESD is the best choice for Tampa FL solar panels! Our licensed and certified contractors are masters of their craft; with years of experience servicing the great Tampa Bay area and beyond, the choice is simple. ESD excels at offering you the best in solar value!