Net Energy Metering 3.0
The latest version of California's net energy metering
Net Energy Metering 3.0, or NEM 3.0, is the latest version of California’s net energy metering program for solar customers. It will take effect on April 14, 2023. NEM 3.0 is designed to provide solar customers with fair compensation for the energy they generate and export to the grid, while also ensuring the stability of the state’s electric grid.
Under NEM 3.0, solar customers will continue to receive credits for the excess energy they generate and export to the grid, but the compensation rates will change. The new program includes a time-of-use component, which means that the credits solar customers receive will vary depending on when they generate and export energy. Customers will receive higher credits for exporting energy during times of high demand, and lower credits during times of low demand.
NEM 3.0 also includes changes to the interconnection process for new solar customers, as well as changes to the size limit for solar systems that are eligible for the program. The program will now allow larger solar systems to participate, up to 5 megawatts for residential and commercial customers.
Overall, NEM 3.0 is expected to have a positive impact on California solar owners, as it will provide more stable compensation rates and encourage solar generation during peak demand periods. However, it is important for solar customers to understand the changes and their impact on their individual systems and energy usage.