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Regulated Industries > Energy >

Net Metering Facts for Consumers

      Want to be your own power company - at least in part? "Net-metering" allows you to get billing credit from your utility company for power you generate. If your usage exceeds what you generate, you are billed on the "net" - i.e. the difference between what you use and what generate.

      Net-metering is the result of 1998 legislation that requires utilities to offer this option. The goal is to stimulate development of renewable energy sources.

      Discussion:
      The Legislature was very specific in the requirements for the utilities for their net-metering programs. The net metering systems that are eligible are:

      • Fueled by either solar, wind, hydropower or fuel cells;
      • Have a generating capacity of not more than 25 kW;
      • Are located on the customer's premises;
      • Operate in parallel with the electric utilities transmission and distribution facilities; and
      • Are intended primarily to offset part or all of the customer-generator’s requirements for electricity.

      The companies were not allowed to charge the customer-generators more than other customers in their rate class (with some exceptions).

      Customer-generators are required, at their own expense, to acquire all equipment necessary to meet applicable safety, power quality, and interconnection requirements established by the national electric code, national electrical safety code, the institute of electrical and electronics engineers, and underwriters laboratories.

      The net energy measurement will be calculated by measuring the amount of electricity produced or consumed in the metering period in accordance with normal metering practices. If the electricity consumed is more than the customer-generator produces, the customer will be billed for the net electricity consumed. If the electricity consumed is less than the customer-generator produces, the customer will be billed for the appropriate customer charges and shall be credited for the excess kWh generated in their next billing period. At the beginning of the calendar year, any unused kWh credit accumulated during the previous year will be granted to the utility with no compensation to the customer-generator.
      Staff contact: Deborah Reynolds at (360) 664-1255 or by e-mail dreynold@wutc.wa.gov


      Link to: Staff Report on Substitute House Bill 2773

      Link to: Summary of State "Net Metering" programs

      Staff contact: Deborah Reynolds at (360) 664-1255 or by e-mail dreynold@wutc.wa.gov

Posted/updated: 03/11/2009

 

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