Straightforward solutions are often the smartest, and that’s one of the key strengths behind net metering plans. Net metering offers a simple way to credit your organization for the electricity your renewable energy system generates but you don’t use. It creates a mutually beneficial relationship between traditional utility providers and renewable energy producers.
Net metering works by connecting your solar energy system to the power grid. Your system generates electricity and distributes power throughout your facility as needed. If any excess power is created but not immediately consumed, that power feeds back into the larger electrical grid, where it’s redistributed. Your power meter either tracks how much electricity your system feeds back into the grid to reduce your monthly electric bill, or your utility provider offers you credits for when your system uses grid-generated power.
Ultimately, net metering allows you to minimize monthly payments for your electrical infrastructure. By crediting you for unused electricity, net metering policies ensure no electricity goes to waste, while reducing the overall cost of a solar investment.