PowerEngineer
Diamond Member
- Oct 22, 2001
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Originally posted by: silverpig
When I was doing research on it the utility companies don't buy the power back at retail rates, rather at wholesale rates.
I've done some quick research (which in my case means "googling") and see that the effective rates paid for delivered power have become more complicated and varied. While there are still many utilities that do buy back at retail rates, there are others that pay a fixed rate set by tariff (presumably tied to average wholesale rates). It's also true that more utilities are moving toward "time-of-day" tariffs/metering where rates charged (or credited) are based on hourly market pricing. I even came across one tariff that required customers (not opting for time-of-day service) to give the excess power to the utility.
So I guess the bottom line is that under a "net metering" arrangement, you'll effectively get paid your retail rate for current power generated up to the amount of your current load (i.e. you are still a net taker of power from the utility). Rates established by tariffs for any excess generation (i.e. the power you deliver to the utility) can vary quite a bit.
I stand corrected (again).
