Net metering is a system that allows residential and commercial customers who generate their own electricity from solar power or other renewable sources to feed electricity they do not use back into the grid. This process typically involves a special meter that can measure electricity flow in two directions: from the grid to the customer and vice versa. When a customer’s solar panels or other renewable system generates more electricity than they consume, the excess goes back into the grid, and their meter “spins backward,” earning them credits. These credits offset their electricity usage at other times when they consume more electricity than their system produces, like at night or during cloudy weather, reducing their overall utility bill. Net metering policies vary by region and utility company, and they play a critical role in making renewable energy systems more economically viable for consumers.
