Nevada is one of the sunniest spots in the United States, so installing a rooftop solar system can significantly lower your energy use. But if you’re one of the 1.5 million Nevadans who use NV Energy, you’re probably wondering if your utility provider will buy back the excess power your solar system creates. Thankfully, the answer is yes.
Read on to learn more about receiving credit for the excess power you send to the grid from NV Energy.
What Are the Average Buyback Rates of NV Energy?
NV Energy has a net metering program to buy excess energy produced by residential solar panels. The policy helps homeowners reduce their payback period and increase their ROI. Net metering in Nevada requires utility companies to buy back energy from solar homeowners at 75% of the retail price. Customers receive this rate for 20 years with no capacity limit.
How NV Energy Net Metering Works
During the day, rooftop solar panels generate electricity used in the home, but sometimes they produce more energy than a home consumes. Any excess power is sent into the grid. When the solar system is not producing power at night, the house draws power from the NV Energy grid. The company records the energy from the solar homeowner and nets it against the energy they used from the grid within the billing period. NV Energy nets these credits monthly by calculating the difference between the energy a customer uses from the grid and the energy they send. The company also applies credits from previous billing periods to outstanding balances and gives extra credit for excess power generation.
NV Energy Rate Plans
NV Energy offers customers three types of rate plans for net metering.
- Standard rate: This plan allows customers to pay one price per kWh every time, and the credit they receive for excess solar power depends on that rate.
- Time-of-use rate: The cost of energy and solar credits changes depending on when the power is consumed. Peak times, like evening hours, have higher prices.
- EV rate: This plan is similar to the time-of-use rate, but it has a low overnight rate that encourages the charging of electric vehicles at night.
Choosing a rate depends on your energy needs and the power you generate. Generally, the standard rate plan is better for most people since it is simpler to understand. The time-of-use plan is suitable for people who can avoid using power during evening hours from 5 PM to 9 PM or need to charge electric vehicles at home.
The Verdict
Thanks to net metering, NV Energy helps its customers maximize the cost savings of their solar systems. The 75% retail value credit for excess energy is a strong solar policy, especially compared to states without a buyback program. Even better, these rates are guaranteed for 20 years!
Are you interested in discovering the numerous benefits of installing a rooftop solar system? Solar Optimum is dedicated to helping homeowners across Nevada harness the power of the sun with reliable, high-quality solar systems. Our team of certified elite installers will help you make the most of your home’s energy potential. Contact us today to schedule a free virtual consultation.
