What Is A Net Metering Agreement

While net metering isn`t the only way utilities compensate homeowners for solar, it`s by far the most common: as of 2016, 41 states and Washington D.C. have mandatory net metering rules, and two others have utilities that allow this practice. To find out about your state`s policies, use the Government Incentives for Renewable Energy and Efficiency (DSIRE®) database, which tracks net metering and other policies. Want to learn more about how net metering policies work with solar? Learn more about net metering and other solar topics on EnergySage. Germany, Spain, Ontario (Canada), some states in the United States and other countries, on the other hand, have introduced a price order or feed-in tariff (TD) where customers are paid for the electricity they produce from renewable energy on their premises. The electricity actually produced is counted on a separate meter, not just the surplus they inject into the grid. In Germany, a feed-in tariff is paid for solar energy produced in order to increase solar energy (value from 2009). Germany has already paid several times the retail price of solar energy, but has significantly reduced tariffs, while at the same time, the actual installation of solar energy has increased exponentially due to the reduction in costs. Wind energy, on the other hand, receives only about half of the domestic retail price because the German system pays what each source costs (including a reasonable profit margin). In February 2017, the state Senate approved Senate Bill 309, which would reduce net metering in Indiana, by a vote of 39 to 9. The bill would “ultimately reduce the rate paid to customers from retail net metering to marginal utility cost plus 25%.” People who already use solar energy with net metering would be treated with acquired rights for ten years at the current rate. The Sierra Club`s “Beyond Coal” campaign ran a radio advertising campaign to defy the law.

[78] In 2016, the Arkansas Legislature enacted Bill 827, which tasked the Arkansas Public Service Commission with reviewing changes to the state`s net metering system. In March 2017, regulators decided to “transfer existing solar customers to a retail net measurement fee for the next 20 years.” Another Commission decision would allow the initial net measurement rates to stay with the house when it is sold. .

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