Net Metering is another type of renewable energy program in Ontario which allows customers reduce their hydro bill by exporting generated electricity back to the utility grid for a credit against energy consumed. Here’s how it works:
Commercial Net Metering works the same way as residential and allows commercial entities to install solar panels on the rooftop of their production facilities, offices, warehouses, industrial shops, etc. and generate electricity onsite for their own use.
Any surplus of electricity is sent directly to the grid, and customers are only charged for the difference between their total energy production and consumption over the course of the billing period. If in any given month the output of energy is greater than the consumption, a kWh credit is created and carried over for up to 12-months until it expires.
Who is eligible to participate in the Net Metering program?
You are eligible to participate in the Net Metering program as long as you are:
– Planning to generate electricity primarily for your own use
– Using a renewable energy source (solar, wind, hydro, bio)
– Maximum size of your system is less than 500 kW
– The electricity generated is conveyed to your consumption point without reliance on the Hydro Company’s distribution system
How will it be calculated on my hydro bill?
The value of the amount of eligible electricity generated and returned into the Local Utility Company’s grid will be deducted from the value of the amount of electricity you consumed from the system. If the result is positive, you will receive an adjustment on your monthly (or bi-monthly) hydro bill. If the result is negative (meaning you’ve exported more energy than you’ve consumed), you will receive a credit which will be carried over into your next billing period. Important!!! Excess energy credits from previous billing cycles can be carried-over up to a maximum of 12 (twelve) months.
How to apply for the Net Metering program?
To find out what’s required to participate in the Net Metering program, and connect your system to the grid, we strongly encourage you to contact your local solar panels installer (or renewable energy consultant). Qualified electrical contractor would be able to consult you on the solar panels system size and costs, required documentation and approvals, and advise if any upgrades to your existing hydro meter are necessary.