Net Metering
Give extra solar energy
a useful place to go.
Net metering tracks electricity you take from the grid and electricity you send back. Eligible exports can help offset energy you use at another time.
Worked examples at $0.22/kWh
What net metering looks like
in dollars.
These examples use an illustrative electricity rate of $0.22 per kWh. Your actual rate, fixed charges and credit rules depend on your utility and rate plan.
1. One sunny day
| Daytime solar sent to the grid | 18 kWh · credit worth $3.96 |
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| Evening electricity from the grid | 15 kWh · would cost $3.30 |
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| Net for the day | 3 kWh credit left · worth $0.66 |
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Without solar, the home’s 27 kWh for the day would cost $5.94. With net metering, daytime surplus covers the evening use and a small credit is banked.
2. One monthly bill
| Drawn from the grid | 900 kWh · $198.00 |
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| Sent back to the grid | 650 kWh · −$143.00 |
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| Net billed usage | 250 kWh · $55.00 |
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You pay about $55 instead of $198, a savings of $143 for the month. Fixed monthly service charges still apply.
3. Credits across seasons
| June: sent 1,100 kWh, used 700 kWh | 400 kWh credit carried forward · worth $88 |
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| December: sent 300 kWh, used 800 kWh | 500 kWh short · $110 without credits |
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| December after applying June credits | 100 kWh billed · $22 |
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Summer surplus covers most of the winter shortfall, which is why systems are sized to your yearly usage.
4. Extra credit at year end
| Unused credit after 12 months | 500 kWh |
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| Credited at the full retail rate | 500 × $0.22 = $110 |
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| Paid at a lower export rate | 500 × $0.12 = $60 |
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| If credits expire at true-up | $0 |
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That gap is why we size systems to match annual usage rather than exceed it. In Maryland, excess under annual settlement is paid at the generation or commodity rate, not the full retail rate.
Illustrative figures only. Rates, export credit values and settlement rules vary by utility, supplier and state.