Net energy metering (NEM) is a billing system that allows homeowners with solar panels to send excess energy back to the grid and receive credits for it. When your solar panels generate more electricity than you use, the excess electricity is sent back to the grid. The utility company then credits you for this electricity, which can be used to offset your electricity bill on days when your solar panels do not generate enough electricity.
NEM is a way for homeowners to save money on their electricity bills and also contribute to a cleaner environment. Solar panels produce electricity from sunlight, which is a renewable resource. This means that solar energy does not produce greenhouse gases, which contribute to climate change.
NEM is not available in all states. In some states, homeowners with solar panels are only credited for the electricity they generate during peak hours. This means that they may not be able to offset their entire electricity bill, even if their solar panels generate more electricity than they use.
If you are considering installing solar panels, it is important to check with your utility company to see if NEM is available in your area. You should also get an estimate of how much money you can save on your electricity bills with solar panels.
Here are some of the benefits of NEM:
Save money on your electricity bills: NEM can help you save money on your electricity bills by offsetting the cost of your electricity with the credits you receive for the excess solar energy you generate.
Contribute to a cleaner environment: Solar energy is a renewable resource that does not produce greenhouse gases, which contribute to climate change. By installing solar panels and participating in NEM, you can help to reduce your carbon footprint and protect the environment.
Increase the value of your home: Solar panels can increase the value of your home by an average of $15,000. This is because solar panels are seen as a desirable feature by many homebuyers.
Protect yourself from rising electricity rates: Electricity rates are constantly rising. By installing solar panels and participating in NEM, you can lock in your electricity rate for the next 20 years, protecting yourself from future rate hikes.
If you are interested in learning more about NEM, you can visit the website of the Solar Energy Industries Association (SEIA). The SEIA is a trade association that represents the solar industry in the United States. They have a wealth of information on NEM and other solar topics.