Net metering how does it work

During the day, most solar customers produce more electricity than they consume; net metering allows them to export that power to the grid and reduce their future electric bills. Net metering provides substantial economic benefits in terms of jobs, income and investment. Net metering increases demand for solar energy, which in turn creates jobs for the installers, electricians, and manufacturers who work in the solar supply chain.

Today, the solar industry employs more than , American workers in large part due to strong state net metering policies which have allowed the solar industry to thrive. Unfortunately, some utilities perceive net metering policies as lost revenue opportunities.

In fact, net metering policies create a smoother demand curve for electricity and allow utilities to better manage their peak electricity loads. By encouraging generation near the point of consumption, net metering also reduces the strain on distribution systems and prevents losses in long-distance electricity transmission and distribution.

There are a wide variety of cost-benefit studies around the country that demonstrate the value solar provides to local economies and the electricity system as a whole. Want to support net metering policies in your state? Compare prices and reviews of solar providers near you online Start 33, Company reviews. What is net metering and how does it work?

Thanks to net metering, your solar panels can save you - and help you make - a lot of money. On this page See how many solar panels you would need to offset your electricity bill Calculate now.

Calculate your payback period when you install solar panels on your home Calculate Now. See how much net metering can save you when you install solar on your specific home Calculate now. The biggest benefits of net metering to homeowners are increased utility bill savings and a shorter solar payback period.

Despite being the reason that solar is such a great investment, utility companies are cutting net metering programs throughout the United States, making now the time to install solar panels so you can save the most. Full-retail net metering is offered in 29 states, while 17 states offer some other solar billing structure. Related solar news Ana Almerini November 9, Things to consider when shopping for an EV This overview brings together all of the details you need to consider in order to make an educated decision when shopping for an EV.

Electric Vehicles. Catherine Lane November 5, Complete review of the new SolarEdge battery SolarEdge, the company best-known for its revolutionary inverter technology, has released a solar battery: is it worth your consideration? Solar batteries. Catherine Lane November 3, Solar financing. Ana Almerini October 29, How do solar panels create solar energy? Solar panels.

Evan Nicoles October 28, Learn about solar. Solar calculator Solar panel cost Cost: installed residential systems Avg. Solar panel savings Solar payback How many solar panels do I need to maximize savings? How much do solar panels save? Solar panels for home Guide to solar for your home How much do solar panels cost? How do solar panels work? How much will I save with solar panels?

Is it better to lease or buy solar panels? How long do solar panels last? What is a kW and kWh? Please note, the utility company is the entity that determines whether they use net metering, bilateral or the horrors basa -buy all, sell all. If your utility company uses net metering, then they will apply a credit or bonus to your electric bill for each kilowatt-hour kWh of solar electricity you send to the grid.

Now that you have an understanding of what Net Metering is, here is a step by step explanation of how it works:.