Cooperative Living May 2022 - 37
MEMBER FYI
●●●●● †
by Sam Brumberg, Contributing Columnist
Important questions to ask your solar installer
when net metering
N
et metering continues to offer cooperative members
an alternative option for renewable energy at their
homes or farms. Net metering is a billing practice that
enables you to receive a credit for the excess generation your
renewable fuel generator produces in the month.
Your cooperative wants to make sure that you are asking
the right questions and getting a fair deal when you decide
to go solar. Here are some of the questions you should ask
your solar installer.
How much solar can I install?
Residential solar installations at electric cooperatives
are limited to 20 kilowatts or 100% of a home's electricity
consumption, whichever is less. This is different from the
sizing limitations for customers of investor-owned utilities
in Virginia.
What is my electric bill going to be
after solar is installed?
Be wary of promises of a " zero electric bill. " By law, the
cooperative is required to collect at least the fi ed customer
access charge each month.
What is going to happen to the solar tax credit?
As you may know, the federal solar tax for residential
solar installations does not continue indefinitely. It will expire
starting in 2024, unless Congress renews it. Make sure your
solar installer is taking this into account.
HOW NET METERING WORKS
Net metering is a billing mechanism that compensates consumers who own
private solar panels (or other renewable energy systems) for any excess power
that is sent back to the electric grid.
A renewable energy system, in this case
privately-owned solar panels, converts energy
from sunlight into electricity.
An inverter, which is connected to the electric grid,
converts the electricity from direct current (DC) to alternating
current (AC) to make it safe for use in homes.
The electricity is used to power the home. (It should be
noted that solar panels do not provide electricity during
a power outage.)
If the solar panels produce more electricity than the home
needs, the consumer is compensated for excess electricity
sent back to the electric grid.
co-opliving.com
How will I pay?
Some solar installers require upfront payments; others
allow payments over time. Be sure you are clear on how
much will be charged and at what intervals. Be sure to
compare the cents-per-kilowatt-hour rate from your solar
installer to the cents-per-kwh from your electric cooperative.
What is the payback period?
This is how long it will take for your solar panel investment
to be paid off or for your panels to pay for themselves
by generating electricity. The longer this period is, the worse
the deal you're getting. Cooperative rates generally do
not increase 3-4% every year, so be sure that your installer
is using a reasonable metric to forecast future energy rates.
When will you talk to my cooperative?
Either you or your installer must apply and be approved
for interconnection with the cooperative prior to installing
your solar panels. It is critically important that your solar
installer not access cooperative equipment, such as the inside
of the electric meter or the meter base. This equipment is
sealed for your protection; going inside of it is dangerous
and illegal. If you have a generator in addition to your solar
panels, make sure you understand how it will work, as well.
Contact your cooperative when you are ready to install your
system. Visit your cooperative's website to get more
information on the process and contact information.
How can I get more information?
As your trusted energy expert, your cooperative is here
to help. Please call your cooperative if you have any questions
about net metering. Th best time to call your cooperative
is before you have signed a contract with the solar installer.
While we can't recommend a specific solar company, we can
help you through the process and make sure you're being
treated fairly and asking the right questions.
Sam Brumberg is vice president of regulatory affairs
and general counsel for the Virginia, Maryland & Delaware
Association of Electric Cooperatives.
May 2022 ● Cooperative Living ●
35
GRAPHIC COURTESY NRECA
PHOTO COURTESY ALEXIS MATSUI/NRECA
http://www.co-opliving.com
Cooperative Living May 2022
Table of Contents for the Digital Edition of Cooperative Living May 2022
Cooperative Living May 2022 - 1
Cooperative Living May 2022 - 2
Cooperative Living May 2022 - 3
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