Net Metering - Sending your excess production to the electric grid 

Overview

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A net metering agreement is a collaboration with the utility provider to send excess solar production to the grid to build credits.  When it is night the credits will feed back into your home at no cost, in a way the utility is acting like a battery to store your energy for the night. 

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This is a benefit to both parties. Homeowners store excess production for the night and also build a credit surplus during the spring to be used during the summer (see chart - Feb-May is credit season, used June-Nov). This keeps your energy bill flat through the year.

 

The utility benefits because your excess energy gets sent to others near by during peak usage. This increases grid efficiency and lowers blackout risk. 

 

Net Metering Benefits 

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1. Store excess energy for night 

2. Build up credit inventory for summer use 

3. Improves grid infrastructure 

4. Hybrid home - Green energy generated, grid still connected to supply additional when needed 

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Limitations

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Unlike some states, you cannot sell the excess energy for money. It is only credits to be used at a later time. Note that the credit amounts also reset every year, so it is important to size a system correctly. You will not benefit from extreme over production because the credits will be lost.

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Conclusion

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The utility plays an important role in going solar in Texas.