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More American households are embracing renewable energy technology. 

One form that has become popular and affordable is solar power. 

Solar panels convert energy from the Sun into a readily usable form.

But it’s challenging to generate the exact amount of energy you need around the clock. 

Some systems use a battery bank to store excess energy, granting greater independence from the grid. 

Net metering is another possible solution.

Let’s check it out!

What Is Net Metering?

Net metering allows users to sell excess solar electricity to their utility provider. 

If your home is connected to the grid, this is a great way to reduce your utility bills. 

It also gives you peace of mind knowing that you can draw on electricity when you need it. 

How Does It Work?

When you sell excess energy to the utility company, you receive credits.

When you draw from the grid, these credits offset your energy costs if your panels cannot keep up with household demand. 

In some cases, you may be able to carry credits over – ideal for shorter winter days in northern climates. 

What Are the Benefits of Net Metering?

A net energy metering agreement offers you several benefits. 

For example, you can gain significant cost savings. 

It’s one of the best ways to offset any electricity you draw from the grid. 

Some of the other benefits include:

  • Jobs for installers and other solar power-related workers
  • Reduced pressure on the electric grid – critical in areas where shortages are common
  • A quicker return on your initial investment

Do You Have to Use Net Metering?

While many homeowners benefit from it, not everyone wants to sell power back to the utility company. 

According to the Database of State Incentives for Renewables & Efficiency, 38 states and several US territories have mandatory net energy metering policies. 

In the remaining states, net energy metering is voluntary or unavailable to solar owners.

Even if there are no legal requirements, you may need to sign a metering agreement with your utility company to take advantage of incentives and rebates. 

Do be sure first to contact your utility provider about their requirements. 

Take the Next Step Toward a More Sustainable Future

If you decide to equip your home with grid-tied solar, you could benefit from net metering. 

At Unbound Solar, we’d love to discuss your solar needs.

Contact us today to learn more about net metering and how solar can work for you!

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