Customers may obtain credit on their account for excess generation when the amount of electricity produced by a solar panel system exceeds the amount of power consumed by Xcel Energy. Customers receive payment for any extra electricity generated.
Let’s first understand what Net Metering is. Your non-incentivized solar option is called Net Energy Metering (NEM). Net energy metering advantages are available to all solar consumers. The excess solar energy generated by the system is fed into our grid when it exceeds what is required. You will be compensated for any excess energy generated if it exceeds the amount used.
The unit of measurement for the renewable energy generated and used to achieve renewable energy targets is the renewable energy credit (REC). You can claim the RECs for your renewable energy with this non-incentivized NEM alternative.
Xcel Energy offers Net Metering in the following states:
Benefits of Xcel Energy Net metering
The advantage of net metering is provided when you own your own system. You will be compensated for any excess energy generated if it exceeds the amount used. To ensure you receive the full value of all your generation, this enables you to “credit back” excess generation onto your payment.
You keep the renewable characteristics of the renewable energy your PV system generates because NEM is not financially rewarded. The following step is to register and/or claim your Renewable Energy Credits (RECs), each of which attests to producing one megawatt-hour (MWh) of renewable energy.
Bill Credits by Xcel Energy Net Metering
In each state where it operates, Xcel Energy has slightly varied policies for excess net metering bill credits. They all, however, work on the same basic concept.
When customers create more power than they use in a month, Xcel Energy considers them a “net producer”. Xcel Energy does not bill them for any kilowatt hours (kWh) during that billing cycle.
Minnesota
If you are a net producer and your PV system generates more energy than you consume, the extra kilowatt-hours are credited to your account at the current cogeneration rate. Excess generation credits are added to your account each month until you obtain a bill credit of $25 or greater. At that point, we’ll mail you a check for the total amount.
New Mexico
Client bill credits in New Mexico roll over monthly until the customer achieves or exceeds a bill credit value of $50. When this amount is achieved, Xcel Energy sends a check for the total amount to customers.
Michigan, North Dakota, South Dakota, Texas, Colorado, and Wisconsin
The Solar Bank can be used in two ways. Continuous Rollover Credits offset bills when client use exceeds solar panel system generation. These credits never expire, however they cannot be cashed out or transferred if the service is discontinued. Customers can choose “Waive Your Decision,” in which case they will get a year-end compensation for any excess generation credits. These credits are valued at the previous year’s average hourly incremental cost of energy, which is calculated based on the cost incurred by the utility in generating and producing power.
Xcel Energy REC
A Renewable Energy Credit (REC) signifies renewable energy’s green features, with each REC verifying the production of one megawatt-hour (MWh) of renewable energy.
Xcel Energy will purchase RECs from Solar Rewards projects to meet renewable energy targets.
Xcel Energy Interconnection
You must connect to Xcel Energy’s system to install distributed energy resources on your home, place of business, or other property. Before filing a complete interconnection application, it can be beneficial to check these resources, especially for sizable installations that might influence the grid. Find out the policies and procedures for the system you want to connect with before you begin.
Xcel Energy Interconnection process
The procedure of connecting a solar panel system is often left to the solar installer. The installer will file the interconnection application on behalf of the customer. Customers who want to register their own application must enter onto the Xcel Energy website’s Solar Application Portal and complete the application online. Click on your state below to learn more:
What’s our role
DroneQuote will help you all throughout the process in getting your ideal solar panel system so that you’ll be able to take advantage of all the perks of saving energy and Net Metering. Let’s get you started by clicking here