Rooftop solar panels kissed by the sun are not just a show. They’re a part of the subtle revolution that is changing how we measure and manage electricity. The net energy metering (NEM) are now available. It is a billing method that credits owners of solar panels for the energy they contribute back to grid. Intrigued? You should definitely be intrigued, especially if paying your monthly utilities makes you feel like a sore throat.
Imagine installing an entire solar power system. You can not only cut your carbon footprint but also reduce that annoying electric bill. The way it works is that during the peak hours of sunshine, your solar panel might be able to collect more electricity than your house needs. NEM doesn’t waste the energy. Instead, it allows it to flow into the grid. Your energy meter runs literally backward, crediting your contributions.
The best part is yet to come! On cloudy or dark days, your panels will sleep. To get energy at night and on cloudy day you simply pull it from the grid. With this give-and-take between your solar panel and the grid, you can have power 24 hours a day.
Think of it as an account that you would deposit cash into, but with watts. The kilowatts of electricity generated beyond the immediate needs is equal to one dollar. As a smart investor, you’ll want to get the maximum return on your investments.
NEM’s rules, however, may vary greatly depending on where one sleeps at night. Some states will roll out the carpet for you with policies that are favorable and make you smile ear to eye when you check your utility bills. Other states might offer fewer benefits, which can make the solar savings game more of an chess-like strategy.
If you decide to go solar, terms like the “net metering limit” could throw your plans into disarray. This cap is a limit on how many customers are allowed to participate in net metering. Often, it’s expressed as a portion of the peak demand for electricity by the utility. It’s the utility’s method of maintaining balance, ensuring that the financial ecosystem doesn’t tilt too much towards solar users.
In addition to examining the future, it’s important to look at current policies when deciding whether or not you should go solar. Legislation can change like sand dune — what may be beneficial today, could be different tomorrow. Hence, smart homeowners listen to any legislative murmurs, which could indicate a policy shift.
You can’t simply look at the financial gains you will make by installing solar panels. It’s always nice to be called “the eco-friendly neighbors”. In addition to its altruistic value, a solar-powered house can boost your property’s value. You may find that a sleek array is more attractive than expected, and could even attract prospective buyers due to the lower cost of energy.
Dipping your toes in the solar water can be refreshing, but you need a bit of foresight. Your system may produce more electricity than you need. Credits don’t always roll over. While it is tempting to think you can keep the excess forever, that’s not how they work. The credits may expire in a year, which will encourage you to balance your production and consumption.