Net Metering Policies in the 10 Most Popular States for Solar

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Net Metering Policies in the top 10 States

One of the factors that make a state a popular candidate for solar is net metering policy. Having a good metering agreement makes the ROI of solar even stronger for homeowners and businesses.

Until total home battery backup becomes an affordable option, solar will stay grid-tied. As a result, most solar customers for the time being need to stay connected to the gird. That is why we have taken a deeper look at what net metering policies are in place for solar’s 10 most popular states.

This list is from SEIA’s 2017 top solar states. These rankings come from each state’s number of solar installations in 2017.

10. Florida

The main power company in Florida is FPL. Systems aren’t allowed to produce over 115% of the customer’s annual consumption.

There are guidelines for systems that fall into three different tiers or system sizes. These divisions include tier 1 ( Up to 10kW), tier 2 (Between 10kW and 100kW) and tier 3 (between 100kW and 2,000 kW).

Customers get excess generation through kilowatt-hour credits. At the end of the year, the utility pays the customer for their remaining credits.

These credits are at the utility’s avoided-cost rate. Renewable energy credits can be sold back to the utility if the customer wants.

9. Georgia

Georgia has a regulatory policy for net metering. There is a cap of 10 kW for residential installations and 125 percent of the demand for commercial.

Not all of Georgia’s power companies offer net metering. You will have to make sure your power company has a net metering program before installing it.

8. Salt Lake City, Utah

For those getting solar in Salt Lake City, they use Rocky Mountain Power. Rocky Mountain Power recently changed its net metering program.

Those that get solar are now apart of Rocky Mountain Power’s transition program. Rocky Mountain Power will now be crediting customers 90 percent of the retail rate. Exported energy is now measured in 15-minute increments.

7. San Antonio, Texas

Most of the electric market is deregulated in Texas, but individuals in San Antonio can only use the municiple utility CPS Energy. CPS doesn’t have a cap on how much solar you can install. And their metering policy credits customers the avoided cost rate for excess solar energy to their monthly bill.

CPS also has incentives for commercial and residential solar customers. You need to install a minimum of 1kW, which equals 1,000 watts, by a CPS Energy registered installer to qualify.

6.  Boston, Massachusetts

If you are a customer of a regulated electric company (Eversource, National Grid or Until), you can get a net meter. Residential Massachusetts customers for Eversource are paid a certain percentage of the value of their excess generation that is dependant on the size of their array.

5. Newark, New Jersey

New Jersey has a regulatory policy in place. Companies held to these standards include Atlantic City Electric, Jersey Central Power and Light, Public Service Electric and Rockland Electric.

Those who use Jersey Central Power are able to get the full retail rate for their excess power. If your system is under 10Kw you also don’t have any interconnection fees.

4. Reno, Nevada

Most Nevadans get their power through NV Energy. In June 2017 Nevada legislature reinstated net metering for NV Energy customers, making solar an option again for Reno residents.

NV Energy’s solar customers currently get 95 percent of the retail rate for the extra energy that they produce. As more solar is installed this rate will decrease in 7 percent increments. NV Energy’s payout rate will decrease until it reaches 75 percent of the retail rate.

Customers get their initial rate for 20 years after their system installation.  Nevada no longer has a cap on the size of the system that you can get.

Credits that you receive through over-producing rollover from month to month. At the end of the year, whatever is leftover you will receive in a check from NV Energy.

NV Energy has instated incentive programs to subsidize solar installations. This is because Nevada’s net metering rates are dependent on renewable energy production.

3. Arizona

There isn’t a cap for Arizona installations, but they do need to be under 125 percent of your total connection load. The rate that you pay for and get back for your excess energy is different for each power company.

2. North Carolina

People in North Carolina don’t get compensated for any extra energy generated. Extra generation is, however, carried from month-to-month.  This offsets energy use during higher usage months.

1. San Diego, California

In California, you have two options. One option is to have your excess generation carried from month-to-month in the form of a credit on your power bill.

Or you can receive financial compensation for your excess energy. If you choose this option, your renewable energy credits go to your utility.


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