Get Paid For Your Clean Energy
With Net Energy Metering as billing mechanism, you can take advantage of programs designed to encourage the installation of renewable energy sources.
What is Net Energy Metering?
Net energy metering is a billing mechanism designed to encourage the installation of renewable energy sources. It allows for customers who generate their own electricity to receive credit from the utility for any excess power they produce.
This system is different from net metering in that it does not measure total power produced and used, but rather the difference between production and use over a certain period of time, typically one month. If a customer produces more than he or she uses over this period, the utility may credit them at its full retail price for their surplus production; if they produce less than what they use, the customer must pay at least enough to cover their monthly usage.
As with most other forms of renewable energy generation, net-metered wind turbines make up only a small percentage of all wind turbines in operation (though this number has been increasing). For example, in California as of 2009 there were about 6500 megawatts (MW) installed capacity of wind turbines on land and more than 2300 offshore MW as well as 18000 MW installed capacity of solar PV systems on land with another 1800+ offshore MW planned by 2020. Net-metered wind turbines often comprise only 3% or 4% (or less) even though it is currently the cheapest form to generate electricity out.
Net Energy Metering in California
In California, net metering is only available to customer-generators of renewable sources like solar or wind, but not for customers with other types of generation. Different rules apply to residential and commercial customer-generators.
Residential customers can receive a monthly credit on their bill that covers their total annual cost based on the number of kilowatt hours (kWh) they generate over a year, while commercial customer-generators receive a yearly credit based on the kWh generated each month times 12 months times their electricity rate.
Both residential and commercial credits are calculated using two rates: "value" which is what you pay for power if it were generated by an outside company; and "service," which is what utility companies charge to deliver power.
Benefits of going solar
How much can you save with a solar panel system?
The amount you will save with a solar panel system will depend on several factors, including the amount of sunlight your area receives. Annual savings on your electricity bills can range from $50 to $15,000 per year, depending on where you live and how much electricity you use.
A good way to get a better idea of how much money you can potentially save by switching to a solar panel system is to let us calculate your run your Solar Savings Report.
The numbers will vary from year to year. But as a rule of thumb, you can expect to save at least 20-30% on your annual electricity bill if you go with a solar panel system; some customers save over 50%. Keep in mind that this does not include the money you’ll also save on your monthly electricity bill.
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Ron Brooks ‖ Solar Energy Consultant
CA HIS Registration #138132SP
Serving CA, AZ, NV, TX, CO, FL
Ron Brooks, MS | Solar Energy Consultant
Serving CA, AZ, NV, TX, CO, FL
CA HIS Registration #138132SP