Net Metering
A net energy metering (NEM) policy allows customers with local generation systems to sell their unused power to the grid. Customers are billed only for the “net” power consumed over their generation, while they are credited for excess electricity delivered to the grid. Net metering arrangements not only allow the grid to operate like a battery for the customer, but they also contribute clean generation to the energy mix.
A key provision of net metering programs is that the customer is not “paid” for power, but “credited” against their energy use. This is important for tax reasons, as revenue to a customer is taxable, while crediting for power is not. Therefore, NEM removes financial disincentives for distributed energy system customers. NEM also saves customers money and helps drive growth in the renewable sector by expanding the customer base and simplifying the interconnection process.
Traditionally, net metered systems only allow for use against one meter. Aggregate net metering (ANM) allows power generated by an on-site renewable system to offset energy demand across multiple meters, usually owned by a single customer. Some systems — notably agricultural systems — have a large amount of energy usage at one meter, but install renewable generation on another meter. Aggregation allows for the total demand and total generation across meters owned by the same entity to be netted out, making sites or properties adjacent to a renewable system eligible for net metering credits.
Effective net metering policies avoid restrictions on eligible systems and participants. This includes extending the opportunity of net metering to all distributed generation technologies, types of customers, system sizes, and ownership models, as well as avoiding financial disincentives such as special fees or expirations on excess credits.
Policy Components
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1
Are the state's regulated utilities required to offer a net metering program?
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2
Are all distributed generation technologies eligible to net meter?
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3
Are customer-generators credited at the full retail rate for excess power generation?
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4
Is net metering allowed for systems with a nameplate capacity equal to or greater than 2 megawatts or greater than 100% of a customer's average annual consumption?
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5
Is the program uncapped?
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6
Does the program provide for perpetual rollover of excess generation credits?
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7
Does state policy exist?
-
8
Are all eligible resources in the state's net metering program also eligible for aggregate net metering?
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9
Is participation not limited to a certain business sector or type of organization?
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10
Is the program not limited to certain rate classes for aggregation?
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11
Does the policy apply to municipal or cooperative utilities?
Key Resources
SPOT for Clean Energy Policy Profile: Net Metering
Policy Explainer: Building Foundations for Renewable Energy through Net Metering
State Energy and the Environment Guide to Action: Interconnecting and Net Metering
Leveraging Advanced Metering Infrastructure to Save Energy
Model States
Arkansas
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled.
California
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled.
Delaware
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled.
Pennsylvania
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled.
Net Metering By State
| Status | State Sort descending | Region | Components | YR Enacted | |
|---|---|---|---|---|---|
| Not Enacted |
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The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
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|
Southeast | Policy Components
0/11
|
||
| Partially Enacted |
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The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
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|
West | Policy Components
3/11
|
||
| Partially Enacted |
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The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Southwest | Policy Components
4/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Southeast | Policy Components
10/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
West | Policy Components
10/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
West | Policy Components
10/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Northeast | Policy Components
7/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Southeast | Policy Components
10/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Southeast | Policy Components
5/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Southeast | Policy Components
1/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
West | Policy Components
2/11
|
||
| Not Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
West | Policy Components
0/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Midwest | Policy Components
5/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Midwest | Policy Components
4/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Midwest | Policy Components
4/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Midwest | Policy Components
2/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Southeast | Policy Components
1/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Southeast | Policy Components
1/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Northeast | Policy Components
6/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Southeast | Policy Components
9/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Northeast | Policy Components
8/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Midwest | Policy Components
4/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Midwest | Policy Components
8/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Southeast | Policy Components
2/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Midwest | Policy Components
2/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
West | Policy Components
3/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Midwest | Policy Components
2/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
West | Policy Components
5/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Northeast | Policy Components
8/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Northeast | Policy Components
5/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Southwest | Policy Components
5/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Northeast | Policy Components
7/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Southeast | Policy Components
3/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Midwest | Policy Components
3/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Midwest | Policy Components
5/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Southwest | Policy Components
3/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
West | Policy Components
8/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Northeast | Policy Components
10/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Northeast | Policy Components
8/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Southeast | Policy Components
5/11
|
||
| Not Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Midwest | Policy Components
0/11
|
||
| Not Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Southeast | Policy Components
0/11
|
||
| Not Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Southwest | Policy Components
0/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
West | Policy Components
6/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Northeast | Policy Components
9/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Southeast | Policy Components
6/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
West | Policy Components
8/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Southeast | Policy Components
9/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
Midwest | Policy Components
3/11
|
||
| Partially Enacted |
Empty column
The State Policy Opportunity Tracker (SPOT) breaks clean energy policies down into “components”, which are binary questions to evaluate policy quality. Higher quality policies have more of their SPOT components fulfilled. Establishing Policies
Empty column
|
West | Policy Components
4/11
|