Among the buzz of solar these days is the concept of Net Energy Metering (NEM). NEM is a program for San Diego Gas & Electric homeowners and businesses with solar electric systems. Through interconnection with the power grid and your time of use meter, the net difference between the energy you generate with your solar system and the energy you receive from SDG&E is measured.
If you produce more energy than you use, you can bank the credits and use them at a later time when your system is not fully meeting your electricity needs. You are allowed 100% of your total annual consumption of the energy you have stored on the grid. The annual program automatically renews at the end of the 12-month cycle. If you are a low usage customer (under 20 kW), then you have the option to pay your electric bill just once every twelve months.
What if I "Over-Produce" electricity?
Some homeowners consider building a solar system that consistently produces more electricity than the home consumes. At this time, you cannot "sell" any surplus energy you may have stored back to SDG&E at the end of your 12-month cycle. In October 2009, Governor Schwarzenegger did sign legislation (AB 920: The California Solar Surplus Act of 2009) requiring utilities to buy any excess energy credits from those homeowners and businesses producing excess electricity. The California feed-in-tariff allows eligible customer-generators to enter into 10, 15 and 20 year contracts with their utilities to sell the electricity produced by small renewable energy systems-up to 3 megawatts-at time-differentiated market based prices. The rates and terms are currently being studied by the California Public Utilities Commission, and the program will go into effect in January 2011 at the earliest.
Dream Design Builders is an award-winning San Diego Home Remodeler and Solar Installer and a 2-time winner of Better Business Bureau's Torch Award for Marketplace Ethics, San Diego 2007 and 2009. 1-877-DREAMS7. http://www.dreamdesignbuilders.com
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