Net metering in Ohio

What is net metering?

Net metering is a billing arrangement where customers who produce their own electricity can receive a credit on their electric utility bills for any extra electricity produced by the customer that flows back onto the electric utility’s distribution system.

Generating your own electricity may reduce your electric bill in two ways:

• The electricity you produce displaces electricity you would otherwise have purchased from the electric utility (or from a competitive supplier); and

• Your electricity bill is lowered by the amount of electricity your generating system feeds back onto the electric utility’s distribution system.

How does net metering work?

If you want a net metering billing arrangement, your generating equipment must be interconnected to the local electric utility’s distribution system. You must also use an advanced meter capable of registering the flow of electricity in each direction. Whenever your generating equipment produces more electricity than you need, the extra electricity flows backward through the advanced meter on your property making it turn in reverse. This reverse metering is “netted” against your total energy usage for the month in the form of a bill credit, thus lowering your electric bill.

What happens to that credit?

Net metering credits can be used to offset charges in future months and will continuously carry forward on future bills. Credits are associated with your current premise and may be lost if you relocate or stop taking service from the electric utility.

2 things are promised tomorrow, the Sun will rise, and so will electric bills. Start turning your liability into a asset.