Net metering credits you at the full retail rate for excess solar production. But many states are shifting to net billing at lower avoided-cost rates. Here is what your utility actually pays you.
New York Net Metering Policy
VDER (Value of Distributed Energy Resources) replaced traditional net metering
| Credit Type | TOU-based |
| System Cap | No residential cap |
| Policy Trend | Transitional. New York replaced net metering with VDER, which values solar based on when and where it is produced. VDER can exceed retail rate during peak hours. |
Utility-by-Utility Breakdown
| Utility | Credit Type | Excess Handling | Notes |
|---|---|---|---|
| ConEdison | TOU-based | VDER credits based on time of export and location | NYC and Westchester; VDER rates can exceed retail for peak exports |
| National Grid NY | TOU-based | VDER credits | Upstate NY and Long Island |
| NYSEG | TOU-based | VDER credits | Southern tier and central NY |
| RG&E | TOU-based | VDER credits | Rochester region |
Impact on Your Solar Savings
In New York, your net metering policy directly affects how much your solar system is worth. With TOU-based credits, excess solar production is valued at the utility-determined rate. This affects your payback period and 25-year savings.
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Maximizing Value in New York
- Size your system to match annual consumption (avoid large excess at year-end)
- Shift high-usage appliances (laundry, dishwasher) to solar production hours
- With TOU rates, solar exports during peak hours earn premium credits
- Monitor production monthly to ensure your system is performing as expected
Net Metering in Other States
Massachusetts →Connecticut →Rhode Island →New Hampshire →Vermont →Maine →New Jersey →Pennsylvania →Texas →
See Net Metering Applied to Your NY Quote
Our calculator factors in your specific utility's net metering policy for accurate savings.
Frequently Asked Questions
What is net metering?▼
Net metering is a billing arrangement where your utility credits you at the full retail rate for excess solar electricity you send to the grid. Your meter effectively "runs backward" when you produce more than you use.
What is the difference between net metering and net billing?▼
Net metering credits at the full retail rate (e.g., $0.27/kWh in CT). Net billing credits at a lower "avoided cost" rate (e.g., $0.08–$0.12/kWh). Net billing reduces the value of excess solar production.
Is net metering going away?▼
Several states are transitioning from net metering to net billing or successor tariffs. California already moved to NEM 3.0. Most NuWatt service states still have favorable net metering but policy trends favor lower credit rates.