All You Need to Know About Net Metering
With the wave of solar adoption sweeping the nation, the benefits for such users are only growing by the day. Among the many solar-friendly policies in place, net metering is one of the most popular and compelling factors for present and soon-to-be purchasers.
What is net metering and how does this work? Our blog this week takes a look at this concept and how it benefits homeowners who’ve made the switch or are considering doing so in the near future!
How does net metering work?
As those with solar systems in place would know, electricity bills are charged in terms of the net difference between the energy generated by a household’s solar panels and the energy consumed from the grid.
Through net metering, consumers who have generated excess electricity through their solar systems are allowed to benefit off these through some way or the other. While policies vary over countries and regions, one of the most popular forms of net metering operates as a billing mechanism that offers credits to residential and business consumers whose panels produce excess electricity and who send it back to the grid. These credits can then be redeemed against a household’s electricity bills.
What are its benefits?
Through net metering, users can cut down on already limited electricity bills with basically zero effort. If you’re a conscious energy consumer, excess electricity is something that’s bound to be generated on the daily. Sending this electricity back to the grid in these instances is very much in your interests and is also very beneficial to the grid distribution system.
How so? This reduces the strain on national electricity distribution, its infrastructure, as well as reducing the energy loss resulting from transmitting voltage across distances. This system is also very beneficial to those who don’t have solar panels installed in their home, with independent studies verifying this fact.
No battery storage system required
Another significant benefit of net metering is the fact that it stores your excess solar energy without the need for extra storage facilities. While small battery backup systems might be useful in the event of power outage, these aren’t necessary to reap the benefits of this policy. This cuts down on the start-up costs required when purchasing your solar system, as well as the maintenance required thereafter.
Many people believe that the biggest drawback of relying on solar power systems is its limited capacity in periods of bad weather and winter. While batteries can be used to store up power, these can only do so for around 3-5 days.
With net metering in place, this no longer has to be a concern. Given that the excess energy generated during the summer months are now stored in the grid, you can use these or the credits generated for these to ensure your low-cost energy practices and usage are continued well into the winter.
Before you slide into complacency, however, make sure you check what your local policies are and the period within which you can benefit off the excess energy you feed into the grid.
With policies such as this in place, you no longer require expensive batteries and backup generators. Incidentally, both of these are components that require the most maintenance and have the shortest lifespans. Apart from the panels themselves, all you need to leverage net metering practices is an inverter that converts DC power from the panels to AC power distributed by the grid.
Both of these have long lifetimes and don’t require as much maintenance as the batteries and generators.
Net metering is an answer to one of the main criticism of solar panel adoption. By ensuring you continue energy-efficient practices when the functionality of your panels are restricted, users can truly get their money’s worth through policies such as this.
Check what your local net metering policies are and make the most of them with your solar panel systems today! If you’re interested to learn more simply request a follow-up call.