Net metering is a policy that allows homeowners and businesses to generate their own electricity and export any excess to the grid, offsetting their energy consumption and reducing their utility bills. Here’s how it works:

 

1. A net meter measures the electricity produced by your solar panels and exports it to the grid.
2. The utility company gives you credit for the excess energy produced, usually at the same rate as the retail price of electricity.
3. When your solar panels don’t produce enough electricity, you can draw energy from the grid and use the credits you’ve accumulated.
4. If you produce more energy than you consume over a certain period, you can carry over the excess credits to the next billing period.

 

Net metering benefits:

 

– Reduces energy bills
– Encourages renewable energy production
– Increases energy independence
– Simple and convenient