Important information about the impending changes to North Carolina’s net metering policy

North Carolina’s net metering policy is set to undergo changes that will impact solar savings for Duke Energy customers. While not as drastic as the recent changes in California, these new rules are expected to reduce the average solar shopper’s savings by around 20 percent. However, residents of North Carolina have the opportunity to secure current net metering rates through 2026 by going solar and submitting an interconnection application before October 1, 2023.

Under the new net metering rules, it is estimated that long-term solar savings will decrease by $10,000 and payback periods will increase by two to three years. These changes will take effect on October 1, 2023, and apply to customers within Duke Energy service territories. However, customers who can submit their net metering application by that date will be able to take advantage of the current net metering rates during a three-year transition period. Current Duke Energy customers with solar who are part of the net metering program will be able to keep their current rates until September 30, 2027.

To guarantee the best solar savings, it is recommended that North Carolina residents considering solar go solar as soon as possible to lock in more favorable net metering rates through 2027. By doing so, they can avoid being subject to the new net metering rates implemented between October 1, 2023, and September 30, 2027.

To understand how these changes will directly impact homeowners, the article provides specific information based on their current solar status. For those who already have solar, there will be no immediate changes, and they will remain on their existing net metering plan until October 1, 2027. However, after this date, they will be transitioned to a bridge rate for the following 15 years, unless they were already on an alternative net metering rate structure.

For homeowners planning on going solar, it is advised to act now. If an installer submits their interconnection application by September 30, 2023, they will be eligible to remain on the current net metering plan until September 30, 2027. Homeowners who go solar between October 1, 2023, and September 30, 2027, will not be eligible for the current net metering rates but will have the option to choose between the new bridge rate or time-of-use (TOU) rates. The best choice will depend on factors such as the specifics of their system and the presence of battery storage or electric vehicles.

The changes to net metering in North Carolina were not sudden, as there have been ongoing discussions between solar advocates and utility company representatives. The new policy, known as “$mart Saver,” was finalized by the North Carolina Utilities Commission on March 23, 2023, and will go into effect on October 1, 2023. These changes will impact customers in Duke Energy service territories, including Duke Energy Carolinas and Duke Energy Progress.

The new net metering rules include the introduction of monthly minimum bills for all Duke Energy customers participating in net metering. Previously, there was no minimum, and customers with solar could owe $0 on their electric bills some months. Under the new rules, the monthly minimum bills will be $22 for Duke Energy Carolinas customers and $28 for Duke Energy Progress customers. Additionally, there will be additional non-bypassable charges that will contribute to the total monthly bill costs.

Homeowners will also experience decreased long-term savings and an increased payback period under the new net metering rules. It is estimated that DEC customers will see a 19 percent decrease in 20-year savings, while DEP customers will see a 17 percent reduction. The payback period will increase by approximately 20 percent, meaning it will take longer for homeowners to recoup the cost of their solar panel systems.

Furthermore, all net metering customers will be transitioned to time-of-use (TOU) or critical peak pricing (CPP) rates. Instead of a flat rate, electricity rates will fluctuate based on wholesale prices at specific times of the day.

In conclusion, it is crucial for residents of North Carolina to understand the changes to the net metering policy and take necessary steps to ensure the best solar savings. By going solar and submitting an interconnection application before October 1, 2023, homeowners can lock in current net metering rates through 2026. Engaging with solar resources and seeking assistance from EnergySage can help individuals navigate the process of going solar and make informed decisions.