What does NEM 3.0 mean for solar in California?

NEM 3.0 is reference to the latest rules relating to Net Energy Metering in California.

This is the basic measurement of how much your energy is worth in credits from the utility if it is fed back into the grid.

For instance, for each solar-generated kWh your business doesn’t instantly use will be credited by your utility at 30 cents under NEM 2.0.

But under NEM 3.0 customers of Investor-Owned Utilities (Southern California Edison, Pacific Gas & Electric, and San Diego Gas & Electric) will receive 8 cents per kWh on average.

You have until April 13, 2023 to be grandfathered into NEM 2.0 by submitting a complete interconnection application for a new solar system.

So what does NEM 3.0 mean for solar in California?

• It means your cost savings will be lower than they are now.

• It means the average payback period will go by two years to nine years.

• It means solar will no longer be considered the best investment a business can make without an energy storage system to store the energy for later use rather than feed back into the grid.

• It means you have about four weeks left to grandfather in NEM 2.0.

Our advice is to get on that!

Email us at customer@sunisticsgroup.com or call 323-393-0375.