Pennsylvania Net Metering

How do Pennsylvania’s Net Metering Policies Work?

According to the Database of State Incentives for Renewable Energy (DSIRE), Pennsylvania’s net metering policy requires all investor-owned utility suppliers to offer net metering as an option to customers who generate electricity using solar power.

There are some size caps on solar systems: for example, customers’ solar PV systems can not exceed 5 megawatts. Also, residential customers must consume energy on the property where they produce it. The benefit, of course, comes when they produce more power than they consume.

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Eligibility for Interconnection and Net Metering

Pennsylvania Public Utility Commission adopted net metering and interconnection rules that became effective on December 16, 2006. These interconnection standards have since been updated to clarify the definition of system size limits and to allow for more customer power generation.

After obtaining solar panels for your home, the next step is signing an Interconnection Agreement to begin participating in a net metering program. This agreement states that you and your utility company confirm that you are able to sell any excess energy generated from your solar system back to your utility.

Understanding Pennsylvania Net Metering

Pennsylvania utilities provide net metering, in which a customer receives credit toward their electric bill for any excess power generated from their renewable energy system.

Here’s how it works:

1. Buy and install a renewable energy system, such as solar panels, that generates electricity.
2. Use your solar panel-generated electricity regularly throughout the day and night.
3. Any surplus energy that is generated but not used is sent back to the grid.
4. Excess electricity production is rolled to the following month, and you receive credits towards your bill.

Optimize your solar use to get the most out of net metering. Take advantage of the times your panels may produce the most energy, which are considered peak hours. Typically, net metering credits are more commonly generated during sunnier days.

To enroll in net metering, first ensure your solar energy system is installed and then complete the interconnection process with your local utility company.

Benefits of Net Metering

Besides helping your wallet, net metering is a great way to help out fellow energy users. Aging grid infrastructure often means not everyone’s energy needs are met, leading to power outages and reduced stability, especially during inclement weather. But, since solar systems are connected to the power grid, customers with net-metered systems help other Pennsylvania residents when they send back energy they don’t use.

What Solar Incentives and Rebates are Available in Pennsylvania?

In addition to net metering in Pennsylvania, the state offers plenty of other financial solar incentives to homeowners looking to make steps toward a more sustainable financial future. Examples of benefits include:

• Solar Renewable Energy Certificates (SRECs)
• Power Purchase Agreements
• Specialized energy-focused loans and interest rates
• Rebates such as those offered by PPL Electric Utilities-Residential Energy Efficiency Rebate Program

Learn more about additional Pennsylvania financial incentives here.

Conclusion

Pennsylvania net metering is just one of a wide range of other solar incentives and rebates that complement the federal solar tax credit and help reduce customers’ overall energy bills. This universal state-wide program can help customer-generators reduce their environmental impact and the strain electric bills put on their wallets. Just Energy can help you take advantage of all the ways to reduce your utility bills while enjoying peace of mind.