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The California Independent System Operator (CAISO) has declared a Flex Alert for Wednesday, August 17, 2022. You can help by reducing your electricity use during the peak hours of 4 p.m. to 9 p.m. Learn more >

Net Energy Metering: Understanding Your Bill

Net Energy Metering (NEM) works a little differently than other types of energy rates, so once you’re enrolled and interconnected, your bill will have a new look. The NEM bill involves both credits and charges – as well as some flat fees – and can take a little getting used to. It is important to understand some of the major differences between your NEM bill and the bill you receive prior to interconnection. One key difference is how and when you pay any balance you owe. Unlike customers who aren’t enrolled in NEM, your energy use balance is due once every 12 months (settlement statement) from your Permission to Operate (PTO) date. This will accrue each month according to the difference between the electricity you import from and export to the power network. Since the annual balance can vary from customer to customer – some customers may owe nothing at the end of a 12-month period, whereas others may have a balance – you’re always welcome to pay monthly to spread out your charges into more manageable payments.

NEM 1.0 applies to residential and small business customers who received permission to operate before July 1, 2017.

NEM 2.0 applies to residential and small business customers who received permission to operate on or after July 1, 2017.

SOMAH-VNM Bill Sample applies to multifamily and virtual net metering solar projects.

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