Net Metering
Net metering allows for the electricity grid to act as virtual storage by requiring that utilities bill customers only for the net electricity used during each billing period. For example, if a customer has a PV system on their home, they may generate more electricity than they use during daylight hours. In that case, if their home is net metered their electricity meter will run backwards. At night - when they are using electricity - their meter runs forward as normal.
Net metering programs allow consumers to generate electricity at their homes and businesses, for example from solar panels on their roof, and use that electricity to offset electricity purchased from the grid. As of September 2010, 43 states plus the District of Columbia and Puerto Rico have net metering programs in place, though the details of these programs vary widely. SEIA supports a single national standard for net metering.
A uniform national net metering standard would protect the right of consumers and companies to generate electricity at their homes and places of business. It would also lower the cost of net-metered systems by helping achieve economies of scale through a simplified process and rules.
For more information on net metering, please select from the following:
Recent News
Representative Jay Inslee introduced the Americans Making Power Act of 2010 on July 1, 2010. The AMP Act would establish strong national net metering and interconnection standards.
Several members of the Senate Energy & Natural Resources Committee attempted to include language requiring national net metering in the American Clean Energy Leadership Act (ACELA), but were unsuccessful. ACELA passed the committee in June, 2009.
Chris Cook of SunWorks, LLC, a SEIA member, testified before the Senate Energy subcommittee on May 7, 2009. The purpose of the hearing was to discuss policies that enable the deployment of distributed generation. Chris testified on netmetering and interconnection standards.
Additional Resources
- Related Documents
- Related Links
- Freeing the Grid, 2010 Edition
- This annual report by Vote Solar and the Network for New Energy Choices provides a comprehensive comparison of state-level net metering and interconnection standards.
- Net Metering & Retail Choice
- This report prepared by the North Carolina Solar Center for the Interstate Renewable Energy Council examines how net metering operates in deregulated or "retail choice" electricity markets.
- Freeing the Grid, 2010 Edition
- Related Legislation
- Related Letters of Support
