NEM: Net Energy Metering
What you need to know about Net Energy Metering in CA
Net Energy Metering (NEM) in California is a program that allows homeowners with solar panels to receive credit for the excess electricity they generate and send back to the grid. Under NEM, when a solar system produces more electricity than a home uses, the excess energy is credited to the homeowner’s utility account at retail rates, helping offset future electricity costs.
NEM 3.0
NEM 3 is a new rooftop solar export rate paradigm in California (effective as of mid-April 2023) for PG&E, SCE, and SDG&E customers. In simple terms, it reduces the compensation (in the form of net metering credits) that solar customers get for exporting excess energy to the electric grid. The precise value of this compensation varies with grid demand based on time, day, and month– but is on average approximately 75% lower than it was for NEM 2 systems.
Survey Say's 95% of shoppers would not buy solar under NEM 3.0
California recently transitioned from NEM 2.0 to NEM 3.0, which reduces the value of these credits and introduces grid participation charges, making it less financially favorable for new solar customers compared to previous versions. A survey revealed that 95% of California shoppers would avoid purchasing solar systems under NEM 3.0 due to reduced compensation and grid charges, posing a significant challenge to the solar industry.
Under NEM 3.0 Solar system's MUST include a Battery Option
Our solar battery backup systems can keep your home or business running during a power outage. We use the latest technology to ensure that you have reliable backup power when you need it most.
The Problem
Innefficient
EXPLAIN
Dirty
Coal power plants are considered “dirty” because they burn coal to generate electricity, releasing large amounts of harmful pollutants and greenhouse gases into the atmosphere.
These include:
- carbon dioxide (CO2), which contributes to climate change.
- sulfur dioxide (SO2), nitrogen oxides (NOx), and particulate matter, which cause air pollution, acid rain, and respiratory problems.
- Coal mining and waste disposal from plants contribute to environmental degradation and water pollution. This makes coal one of the most polluting energy sources.
Expensive
Transmission and distribution fees are expensive in California due to several factors:
- Aging Infrastructure: California’s power grid requires constant upgrades and maintenance, especially to handle increasing demand and prevent outages.
- Wildfire Mitigation: Utilities spend heavily on wildfire prevention, such as upgrading lines and equipment, undergrounding wires, and trimming vegetation, all of which add to costs.
- Geography: California’s large and diverse terrain requires extensive transmission networks to deliver power across long distances and different regions, increasing operational costs.
- Regulatory Costs: Strict environmental regulations and the push for clean energy investments lead to higher costs for utilities, which are passed on to consumers through fees.
Can You Afford NOT to Do This?
Time-of-Use (TOU) Rates
Tiered Rates
Tiered Rates
Time-of-Use (TOU) Rates
Tiered Rates
Tiered Rate Plan: You begin each billing period at the Tier 1 rate, which has the lowest price per kilowatt-hour (kWh). If you use more energy than the baseline allocation for your region, your rate climbs to Tier 2.
Time-of-Use (TOU) Rates
Time-of-Use (TOU) Rates
Time-of-Use (TOU) Rates
If you are able to manage your energy habits, one of our Time-Of-Use plans may be the best fit for your home. Rates on a TOU plan are based on the time of day and the season.
Standard DR Pricing Plan
Time-of-Use (TOU) Rates
Standard DR Pricing Plan
Standard DR Pricing Plan
Standard DR Pricing Plan
Tier 1: 40.7¢
Tier 2: 51.2¢
TOU-DR1 Pricing Plan
Standard DR Pricing Plan
Standard DR Pricing Plan
Tier 1: 25.0¢ | 37.0¢ | 60.0¢
Tier 2: 35.5¢ |. 47.6¢. | 70.5¢
The Solution: Sunrun PPA
Sunrun Power Purchase Agreement (PPA)
A Sunrun PPA is ideal for homeowners looking to save on energy costs without owning the solar system or taking on the responsibilities of maintenance.
No Upfront Costs
Homeowners can go solar with no or minimal upfront payment, making it accessible without a large financial commitment.
Fixed Monthly Payments
Homeowners pay a set rate for the electricity produced by the solar system, often at a lower cost than utility rates, providing predictable and potentially lower energy bills.
Maintenance and Monitoring Included
Sunrun owns and maintains the solar system, handling repairs, monitoring, and upkeep, so homeowners have a hassle-free experience.
Immediate Savings:
Many customers see instant savings on electricity bills, as the rate for solar energy through the PPA is typically lower than their current utility rate.
Environmental Benefits
By using solar power, homeowners reduce their carbon footprint and contribute to a cleaner environment, without needing to purchase the system.
Performance Guarantee:
Sunrun guarantees the system’s energy production, so if it underperforms, they will compensate for the shortfall.
Sunrun Shift Battery Solution
The Shift home solar battery helps counteract this by storing your excess energy rather than having it go straight to the grid, and enabling you to use it later to maximize the value of that energy.
What's the difference between Sunrun Shift™ Battery (Non-Backup) vs. Traditional Batteries
There are a couple key differences compared to a standard solar battery system– the main one being that Shift does not provide home backup during a power outage. To unlock backup through outages, enable your solar panels to continue to produce power while the grid is down, and more– we recommend our backup battery options.
Understanding Your NEM Bill
Time-of-Use (TOU) Rates
Tiered Rates
Tiered Rates
Time-of-Use (TOU) Rates
Tiered Rates
Tiered Rate Plan: You begin each billing period at the Tier 1 rate, which has the lowest price per kilowatt-hour (kWh). If you use more energy than the baseline allocation for your region, your rate climbs to Tier 2.
Time-of-Use (TOU) Rates
Time-of-Use (TOU) Rates
Time-of-Use (TOU) Rates
If you are able to manage your energy habits, one of our Time-Of-Use plans may be the best fit for your home. Rates on a TOU plan are based on the time of day and the season.
Standard DR Pricing Plan
Time-of-Use (TOU) Rates
Standard DR Pricing Plan
Standard DR Pricing Plan
Standard DR Pricing Plan
Tier 1: 40.7¢
Tier 2: 51.2¢
TOU-DR1 Pricing Plan
Standard DR Pricing Plan
Standard DR Pricing Plan
Tier 1: 25.0¢ | 37.0¢ | 60.0¢
Tier 2: 35.5¢ |. 47.6¢. | 70.5¢
Premium Panels
Longi 355W
Hanwha Q Cell 430W
Hanwha Q Cell 430W
- High Efficiency: Monocrystalline PERC (Passivated Emitter Rear Cell) technology enhances efficiency, making the panels ideal for residential and commercial use.
- Half-Cut Cell Design: Improves performance by reducing resistive losses and providing better shade tolerance.
- Durability and Reliability: Built to withstand various weather conditions, with a solid frame and strong materials.
- Excellent Power Output: Offers high power density with various wattage options, typically ranging from 300W to 370W, depending on the model.
Hanwha Q Cell 430W
Hanwha Q Cell 430W
Hanwha Q Cell 430W
- High Efficiency: With advanced half-cell technology, it offers a high-power output of 430W, maximizing energy production even in limited space.
- Black-on-Black Design: Sleek aesthetic ideal for residential rooftops, blending seamlessly into darker roofs.
- 108 Half-Cell Mono: Designed to improve durability and performance, with enhanced shade tolerance and lower energy losses.
- Q.ANTUM Technology: Increases efficiency and reduces degradation over time, providing long-term reliability.
Battery Solutions
Sunrun Shift™ Battery (Non-Backup)
Sunrun Shift™ Battery (Non-Backup)
Sunrun Shift™ Battery (Non-Backup)
- Cost Savings: Helps homeowners store excess solar energy and use it during peak electricity rate periods, reducing reliance on the grid and saving on electricity bills.
- No Backup Power: Designed specifically for energy savings, without backup power capability, making it a cost-effective option for those primarily focused on reducing energy costs.
- Seamless Solar Integration: Works efficiently with solar panel systems to maximize solar energy self-consumption, allowing homeowners to use stored solar power during non-productive hours.
- Time-of-Use Optimization: Helps shift energy usage from expensive peak periods to lower-cost off-peak hours, providing greater control over energy expenses.
- Lower Upfront Costs: Without backup functionality, it offers a more affordable solution compared to full backup power systems, making it attractive to cost-conscious homeowners.
- Smart Energy Management: Compatible with Sunrun’s monitoring systems, providing insights into energy production, consumption, and savings in real-time.
SolarEdge Battery
Sunrun Shift™ Battery (Non-Backup)
Sunrun Shift™ Battery (Non-Backup)
- High Storage Capacity: Provides 10 kWh of usable energy storage, ideal for both backup power and maximizing solar self-consumption.
- Seamless Integration: Designed to work natively with SolarEdge inverters, ensuring smooth, efficient communication and system optimization.
- Backup Power: Offers backup power during grid outages, keeping critical appliances running and ensuring energy security.
- High Efficiency: DC-coupled technology minimizes energy conversion losses, resulting in higher overall efficiency compared to AC-coupled systems.
- Scalable Design: Multiple units can be connected to increase the energy storage capacity, allowing for flexible system expansion.
- Remote Monitoring: Integrated with SolarEdge’s monitoring platform, allowing real-time energy production and consumption tracking through the SolarEdge app.
- Easy Installation: Streamlined design for faster, easier installation, reducing labor and system costs.
- Long Warranty: Comes with a 10-year warranty, ensuring long-term reliability and performance.
Tesla Powerwall+
Tesla Powerwall+
Tesla Powerwall+
- Increased Capacity: Stores up to 13.5 kWh of usable energy. On grid power: 7.6 kW / 5 kW continuous.
- Integrated Inverter: Combines solar and energy storage with an integrated solar inverter for simplified installation and enhanced efficiency.
- Backup Power: Provides seamless backup during grid outages, automatically powering essential appliances.
- High Power Output: output for powering larger loads and homes.
- Scalability: Multiple units can be connected to increase energy storage and backup capacity.
- Smart Monitoring: Full control and monitoring via the Tesla app for real-time energy management.
TeslaPowerwall3
Tesla Powerwall+
Tesla Powerwall+
- Increased Capacity: Stores up to 13.5 kWh of usable energy. On grid power: 11.5 kW continuous
- Integrated Inverter: Simplifies installation and reduces costs by combining the battery and inverter in one unit.
- Backup Power: Provides automatic power during outages to ensure energy security.
- Scalable: Multiple units can be added to increase storage capacity.
- Smart Energy Management: Controlled via the Tesla app for real-time monitoring and optimization of energy use.
Contact Solar Steve!
Stephen Davenport
With over 7 years of experience in the solar industry, I have proudly served hundreds of customers, helping them save thousands of dollars by switching to clean, renewable solar energy. My commitment to providing reliable, cost-saving solar solutions has empowered homeowners to reduce their electricity bills and their carbon footprints.
The Southside Co.
Newport Beach, California, United States
