How Does NEM 3.0 Affect Homeowners Who Currently Have Solar Installed?

How Does NEM 3.0 Affect Homeowners Who Currently Have Solar Installed?

In the past, Net Energy Metering (NEM) meant offsetting electricity costs by generating renewable energy. In many cases, the power companies would credit you one for one, essentially zeroing out your electrical bill.

With the introduction of NEM 3.0, there are changes to the compensation structure and program rules. Homeowners with solar installed may wonder how these changes will affect them.

Let’s learn more about the effects of NEM 3.0 on homeowners with existing solar systems.

  1. Grandfathering Provision: One of the essential aspects of NEM 3.0 is including a grandfathering provision. This provision aims to protect current solar homeowners by allowing them to remain under NEM 2.0 for 20 years. If you did the math on repaying your solar investment, you can still rely on those numbers as an existing solar customer.
  2. Compensation Structure: NEM 3.0 introduces modifications to the compensation structure for solar energy generated by homeowners. When you could once receive the retail value of reimbursement for the extra energy you put into the grid, energy companies offer a wholesale price. The difference in compensation is significant, unfortunately. Luckily, existing solar customers are grandfathered in and still receive NEM 2.0 benefits.
  3. Grid Services and Charges: NEM 3.0 may include new provisions related to grid services and charges. These provisions can impact how homeowners with solar systems interact with the electric grid. For example, there may be charges for grid access or participation fees to support grid maintenance and infrastructure. Homeowners should be aware of any additional costs or obligations that arise from these provisions.
  4. Ongoing Support and Consultation: As you learn more about the changes associated with NEM 3.0, you may wonder if it is worth it to invest in solar if you were to move or need new solar panels. The answer is a resounding yes. Even if the savings are not as much as they used to be, you will still save big by using solar panels in your home. Learn more from the experts in solar energy.

In conclusion, NEM 3.0 changes the compensation structure and program rules for homeowners with existing solar installations. The implementation of a grandfathering provision offers some protection for current solar homeowners, but it is crucial to understand the terms of this provision. Seek professional advice before signing up as a new solar customer to understand your unique benefits, including the incentives of pairing solar panels with battery storage.

If you’re a homeowner with solar and want to learn more about how NEM 3.0 impacts you, consider reaching out to New Day Solar at (855) 444-6329 for a consultation. Our professional team can provide personalized advice and support to help you make informed decisions regarding your solar investment.

New Day Solar

Posted by New Day Solar
10 months ago / June 7, 2023

At New Day Solar, we are committed to improving the world we live in, as well as helping our community create brighter tomorrows!

With the expertise that New Day Solar provides, as well as the federal tax credits and rebates available, solar electricity is beneficial to everyone. Not only will you help conserve our environment, but you can save some money too! Solar electricity is not just a luxury, but also an investment for your home and country. Electricity is only going to get more expensive, but with help from New Day Solar, you can harness the sun’s energy and use it to your advantage.

Filed Under: Solar News

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