If you care about solar panels or have seen your neighbor’s meter spin backward, you’ve probably heard some chatter about revisions to the rules for net energy metering. So, what will happen in 2025? There isn’t one way that works for everyone, but there is a lot of danger and chance in the circumstance.
First, California established the tone. Net Metering 3.0 (NEM 3.0) went live in April 2023. It decreased the pay rates for new rooftop solar customers by a substantial amount. The “avoided cost” is now used to figure out credits instead of the retail rate. This means that every solar kilowatt-hour that is sent abroad is worth a lot less than it used to be. Other states are now looking more closely at their own policies because of that reform. The sun is like “monkey see, monkey do,” or maybe “monkey think twice.”
A lot of other states are looking at their incentives again as we approach closer to 2025. Arizona has talked about lowering export rates, which fits with the idea of “wholesale value.” North Carolina has changed its prices a little bit to get solar owners to use more of the power they create at home instead of sending it back to the grid. Florida tried to make similar rollbacks, which made the news and led to heated community meetings, but in the end, they put off improvements. Oregon and New York are also considering about modifying how they pay for extra generation. They want to discover a way to provide people incentives while also keeping the grid steady.
As solar panels on roofs become increasingly common and utilities get more complaints, these policy changes are happening at the same time. For them, the old retail-rate agreements for exports would mean less money for fixing poles, cables, and other large sections of the infrastructure. They believe that people who don’t use solar energy have to pay for the charges. Regulators and lawmakers are stuck in the middle, trying to keep solar energy growing while also making sure that utilities are happy and the electric system runs properly.
So, will 2025 be a huge year for net energy metering? Your zip code is important. If you want to place something on the roof, don’t just dream about it; pay attention and read the fine print. Policy is always in place, and next year could bring a new shuffle for anybody who is linked into the sun.
No Comments