Sign up NOW, before it is too late!!!
Anticipated deadline is July 1st, 2017 for SCE. This is when all utilities are required to transition. SCE will not likely hit the cap. Under NEM 1.0, you receive full credit for the power you send to the grid.
What this means is that when your solar system overproduces and sends power to the grid, you receive that same amount of power back when you need it to power your home later in the day when the sun isn’t shining.
For every kilowatt hours of power you send back to the grid, you receive the same amount of kilowatts hours back. However, once NEM 2.0 takes effect in SCE territory, all new solar customers will be on what’s called a “time of use” (TOU) rate structure.
This means that if your solar system produces 1 kW of electricity that is sent back to the grid at 10 AM, for example, you’ll receive 28 cents of credit. If your home then pulls that same 1 kW of electricity from the grid at 7 PM (when the sun has gone down and your solar system isn’t producing power), you’ll be charged 45 cents for the energy you draw.
So if you send power to the grid during what are considered “off-peak” hours, you’ll only receive about half of the energy back when you need it during “on-peak” hours. Under this time-of-use structure that takes effect under NEM 2.0, you don’t receive the same amount of power back from the grid that you produce when you’ll likely need it the most. So to optimize your solar investment, it’s critical for customers to switch to solar as soon as possible. The anticipated deadline is approaching fast!
If you go solar before NEM 1.0 expires, you won’t have to worry about time-of-use or not receiving equal credits for what your solar system produces for a long time. Customers who go solar under NEM 1.0 are grandfathered into the program for the next 20 years!
NEM 2.0 also mandates that solar customers are charged more in additional charges that support grid maintenance and help fund low-income programs, in addition to a new one-time, nonrefundable interconnection fee.
If your prospect lives in SCE territory they don’t want to wait any longer. While solar will still be financially beneficial under NEM 2.0, we wouldn’t want you to miss out on the considerable perks of NEM 1.0.