What to Know About NEM 3.0 Billing in California

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Effective April 15, 2023, a new net energy metering plan has taken effect. If you sign up for solar energy now, you will no longer qualify for one-to-one solar credits from the power company.

For example, under NEM 2.0, homeowners received credit for one kWh of electricity that they pulled from the grid for every one kWh of electricity they pushed to the grid from their surplus of solar energy. This would result in even further savings on their energy bills.

If you signed up for solar previously under NEM 2.0, your net energy metering plan is grandfathered in, and your savings will resume as normal.

How NEM 3.0 Is Different

As for new solar customers, you do not have a past experience to compare it to, but the hard truth is you will not be able to save as much money as previous solar customers. Instead of saving over $100,000 during the lifetime of your solar panels, you will save over $60,000.

Of course, it’s sobering to compare the savings. But please keep in mind that a $60,000 return on investment is one of the best solar returns in the nation. It is certainly still worth it to sign up for solar in the state of California under NEM 3.0 regulations.

One reason why NEM 3.0 is different is that you will benefit more from pairing battery storage with your solar panels now. Instead of being incentivized to send your excess energy onto the California grid, now you will benefit more by storing it in a battery system.

Then you can have further savings from the power company by using your own energy during the nighttime hours when the sun is down. The energy is stored in a battery system, leaving you to be completely self-sufficient with a house full of electricity when others are out due to an overworked grid or extreme weather.

In addition to monetary savings, choose solar to reduce your carbon footprint and preserve the earth for your children and grandchildren. Going solar is always worth it for a number of reasons.

Call New Day Solar

Our team at New Day Solar can provide details about NEM 3.0 and how it will affect your decision about solar panels for your home. Call for a meeting with a solar professional at (855) 444-6329.