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What Is Net Metering? How It Works for Washington and Oregon Homeowners

Net metering

If you’re considering solar in Washington or Oregon, net metering is one of the most important policies to understand. It’s the reason solar pays off faster in the Northwest than in many other parts of the country — and it’s available to most homeowners served by PSE, Seattle City Light, Snohomish PUD, PGE, and Pacific Power.

Here’s exactly how it works.

What Is Net Metering?

Net metering is a utility billing arrangement that credits you for excess electricity your solar panels send back to the grid. Think of your utility as a bank: you deposit energy when your system produces more than you use, and you draw from those credits at night or during low-production months.

In Washington and Oregon, utilities are required to offer net metering to residential solar customers. That means every kilowatt-hour your system produces above your daily consumption is working for you — not going to waste.

How Net Metering Works in Washington and Oregon

Washington

Washington state requires utilities to offer net metering under RCW 80.60. Major utilities including Puget Sound Energy (PSE), Seattle City Light, and Snohomish PUD all offer net metering programs. Excess generation credits roll forward monthly on your bill.

Oregon

Oregon’s net metering rules are governed by the Oregon PUC. PGE and Pacific Power both offer net metering to residential solar customers. The Energy Trust of Oregon also offers cash incentives for eligible customers that reduce your system cost upfront.

Why Net Metering Matters for Northwest Homeowners

Seattle averages around 4 peak sun hours per day and Portland is comparable. That means your system will produce more energy than you use during long Pacific Northwest summer days — and bank those credits to offset your higher winter utility bills.

The result: a more predictable energy cost year-round, and a shorter payback period on your solar investment.

Net Metering and Your Electricity Bill

You’re only billed for your “net” energy usage — what you consumed from the utility minus what your solar system produced — plus any fixed utility fees. During high-production months, many A&R Solar customers in Seattle and Portland see their utility bills drop to near zero.

Does Net Metering Work With Battery Storage?

Yes — and pairing solar with a home battery like the Tesla Powerwall or Enphase IQ Battery gives you even more control. You can store excess energy locally instead of sending it to the grid, then use it during outages or at night. A&R Solar installs both solar and battery storage across Washington and Oregon.

Net Metering vs. Off-Grid Solar

Net metering only applies to grid-tied systems. Off-grid solar operates independently from the utility — which means no net metering credits, but also no utility bills. Most residential installations in the Seattle and Portland areas are grid-tied, which is the right choice for most homeowners.

Frequently Asked Questions About Net Metering

Does Washington state have net metering?
Yes. Washington requires utilities to offer net metering under state law. PSE, Seattle City Light, Snohomish PUD, and most other Washington utilities offer net metering to residential solar customers.

Does Oregon have net metering?
Yes. Oregon’s net metering rules apply to PGE and Pacific Power customers. The Energy Trust of Oregon offers additional incentives for eligible customers on top of net metering credits.

How much can I save with net metering in Seattle or Portland?
Savings depend on your system size, energy usage, and utility rate. A&R Solar models your specific production and net metering credits as part of every proposal — so you know exactly what to expect before you sign.

Does net metering work with battery storage?
Yes. You can combine net metering with a home battery. Excess energy can be stored locally or sent to the grid depending on your settings and utility program rules.

Will net metering change in Washington or Oregon?
Net metering policies can change over time as utilities and state regulators revisit the rules. A&R Solar stays current on policy changes in both states and will factor the latest program terms into your proposal.

Ready to See What Net Metering Means for Your Home?

A&R Solar has been installing residential solar across Washington and Oregon since March 2007. We’ll model your net metering savings, available incentives, and system performance before you sign anything.

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