What is the purpose of net metering?

Net metering serves to incentivize the use of renewable energy by enabling customers who generate their own electricity—often through solar panels or wind turbines—to send any surplus electricity they produce back to the grid. In return, these customers receive credits towards their electricity bills, essentially offsetting the cost of the electricity they consume from the grid when their generation falls short of their needs. This system not only promotes the adoption of renewable energy by providing financial benefits but also helps balance the demand on the grid by integrating more distributed generation sources.

The adoption of net metering plays a crucial role in facilitating energy independence and sustainability, while also supporting the overall stability of the electricity grid. Customers benefit both economically and environmentally by reducing their carbon footprint and reliance on fossil fuels, making it a vital component in the shift toward more sustainable energy solutions.