What is Net Energy Metering?

Net Energy Metering (NEM) is a nifty billing trick that lets folks with rooftop solar panels earn credits for the extra juice they pump back into the grid.

When your solar panels crank out more electricity than your home needs, the surplus heads to the utility grid, and you rack up credits. These credits can then knock down your future electricity bills, making your wallet a bit happier.

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How Does Net Energy Metering Work?

Net Energy Metering is pretty straightforward: when your solar panels churn out more power than your home uses, the leftover energy gets sent to the utility grid. Your electric meter keeps tabs on the energy you send out and the energy you pull in. At the end of the billing cycle, you get billed for the net energy used, which is just the difference between what you took from the grid and what you gave back.

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These credits can cover your future energy use, potentially slashing your energy bills. Curious about how this affects your electric bill? Check out our article on electric bill before and after solar panels.

Net Energy Metering rules can change depending on where you live and your utility company. Some places might follow NEM 2.0 or NEM 3.0 rules, each with its own perks and quirks. Make sure to chat with your local utility provider to get the lowdown on the NEM policies that apply to you. If you’re in California, our article on PGE Net Metering has all the juicy details on the state’s NEM rules.

Getting a handle on Net Energy Metering can help you squeeze the most financial benefits out of your solar setup. If you're in Southern California, our article on Southern California Edison Solar Buyback has more info to help you out.

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Why Net Energy Metering Rocks for Homeowners

Net energy metering (NEM) is a game-changer for folks with rooftop solar panels. It doesn't just cut down on energy bills; it also puts some extra cash in your pocket for the energy you generate but don't use.

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Slash Those Energy Bills

One of the coolest perks of net energy metering is how it slashes your energy bills. When you generate your own electricity, you use less from the grid. And if you make more than you need, that extra juice goes back to the grid, further cutting down your bill.

Want to see how your electric bills could change with solar panels? Check out our article on electric bill before and after solar panels.

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Get Paid for Extra Energy

When your solar panels crank out more energy than you use, the extra goes back to the grid. Thanks to net energy metering, you earn credits for that surplus. These credits can knock even more off your future bills.

These credits are super handy during months when you use more energy than you make, helping you keep costs low all year round. Curious about how NEM credits work? Dive into our article on nem 2.0.

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Make Smart Solar Choices

Understanding net energy metering can help you make smart choices about going solar. For more tips on how NEM affects your utility bills and buyback programs, check out our articles on why are my nem charges so high and southern california edison solar buyback.

By getting the scoop on net energy metering, you can make a savvy investment in solar energy that pays off big time.