Net Metering Explained — How Solar Credits Work
Published 2026-02-01 · Updated 2026-07-07 · MySunROI Research Team
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Net metering lets you send excess solar to the grid and receive bill credits. Rules vary by state and utility — they directly affect payback and whether you need a battery.
How net metering works
When panels produce more than you use, the surplus flows to the grid. Your meter tracks this and credits your account — typically at retail or near-retail rates in full net metering states.
- Daytime surplus → credits on bill
- Night/cloudy draw → use accumulated credits
- Annual true-up settles remaining balance (varies)
Net metering by region
Policy changes frequently — verify with your utility before signing.
- Florida — full retail net metering (IOUs)
- California — NEM 3.0 export credits reduced
- Texas — buyback programs vary by REP
Solar costs by state
Frequently Asked Questions
Does net metering work at night?
You use credits earned during the day — the grid acts as virtual storage.
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