Simply put, net metering is an agreement between home owners and their respective power company that allows for the bi-directional exchange of energy. If a home’s solar production in a given moment exceeds the home’s demand for power, the excess solar production goes back to the grid through the meter. At the end of the month, the homeowner is charged only for the “net” energy that passes through the bi-directional meter.

Say, for instance, your home used 10 kWh of energy over a 24 hour period. If your solar panels produced 15 kWh of energy in that period, you would have sent 5 kWh back to the grid. Those 5 kWh are now considered a credit on your Dominion Energy account. The energy you sent back to the grid is “free” energy that you can use when your system is producing less than your home demands (on a cloudy day, night time, etc..).

Here in Virginia, we are lucky to benefit from an ideal net metering agreement with Dominion Energy. For every 1 kWh you send back to the grid, you get 1 kWh credited to your account. Other parts of the country are not so fortunate. This is one of the reasons solar makes a lot of financial sense in the Hampton Roads area.