For many businesses, solar power would not be a practical and cost effective energy alternative were it not for net metering.
Net metering turns the electric grid into a battery, of sorts, allowing you to both store and withdraw energy.
When a solar system is generating more power than the facility can use, the “overproduction,” or excess kilowatt hours, will flow to the grid. When this happens, the utility will credit you for the kWh it has received from your solar array.
At the end of the month, the net amount of solar overproduction is credited back to your account.
The physical component of net metering is an actual electric meter installed by the utility. At the end of the month, if your facility used more energy from the grid than your system produced, you'll owe the utility some money. If your system produced more electricity than you used, you won't.
It is important to size your solar system just right. For most systems, if you overproduce each month, you will not be able to monetize the extra credits at the end of the year. However, it is possible to set up your system as a community shared solar (CSS) array, or as a qualified facility (QF). Though the rules for each vary considerably, each of these structures allows you to produce much more power than you might ever use, and benefit economically from the overproduction. Talk to your SunBug consultant about what size system is best for you. We are happy to explore different options in accordance with what size solar array could be built on your property.
All Solar PV system owners served by the major utilities receive credit when they generate more power than they need. The rules around how much utilities will credit customers for excess electricity can vary: under certain circumstances full retail credit will still be provided, while under some circumstances the rate will be less than retail.
Your SunBug solar consultant can help you better understand the evolving rules around net-metering.
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