SCE&G/Dominion’s net metering program will end once their 2% net metering capacity cap is achieved unless new legislation is enacted soon.
This cap can be hit at any time due to large commercial projects grabbing allocations of the program, but the expectation is currently now May 3rd.
Here is the current deadline from SCE&G’s website-https://www.sceg.com/docs/librariesprovider5/pdfs/nem_cap_notification.pdf
For net-metering applications approved prior to the capacity being reached, customers will be able to take advantage of the current net metering policy. This policy allows the customer to receive a 1:1 ratio for energy they sell back to the grid. They are grandfathered into the program. After the cap is met, utilities will give you less than a 1:1 ratio for energy you create. They typically pay at what is called “avoided rate” or “wholesale rate” which is a fraction of what they charge you. This change reduces the value of installing solar and can cause the payback period to DOUBLE because instead of getting a full retail credit of ~$0.12/kWh for any energy sent back to the grid, they will only pay about $0.05/kWh.
We remain optimistic that new legislation called the Energy Freedom Act will pass in the SC Senate (already passed in the House) and that the net metering cap will be extended, but there are no guarantees. If you have any desire to free yourself from the utility monopolies, gain your energy independence, & save $$$$, you need to act now or the chance might pass you by.
In addition to the net metering, Federal Tax Credits are changing – tax credits will remain at 30% until the end of 2019, they drop to 26% in 2020, and to 22% in 2021.
State Tax Credits are NOT changing – we have one of the best tax credits in the country!
Please reach out to SuperGreen Solutions of Charleston today for a no obligation assessment to see what the benefit of going solar would be for you!