How Does Net-Metering Work?
Net metering allows you to generate your own power using small, grid-connected renewable energy systems (such as residential solar systems). If you generate more energy than you use, your electric meter runs backward providing you a credit for the full retail value of the electricity produced. You are allowed to keep the credit for this excess generation for up to 12 months from the date it was produced. If you don’t use the credit during those 12 months, it reverts to the utility and you receive no compensation. If your home or business needs more electricity than is generated by your renewable energy system, your electric meter runs forward as you use electricity from the grid.
What is group net metering?
In 2008, Vermont passed a law that allows group net metering - meaning you can join with others who are served by the same electric utility to install a renewable energy system. The electricity generated by the system is divided up among the members of the group. The utility will divide up the electric production from the tracker among the members of the group on a percentage basis that is decided by the group. Groups who choose to participate in group net metering through jointly-owned renewable energy systems are also eligible for state and federal tax credits and incentive programs.*
*This tax information should only be used as a guide as AllEarth Renewables cannot provide tax advice. Please consult a tax professional to learn how any tax incentives would affect you.