Net Metering If you are thinking of using a renewable “green” energy technology to generate your own electricity and reduce your monthly costs , net metering might be the ideal solution for you.Electricity consumers in Ontario who produce some of their own power from a renewable resource may take advantage of the “net metering” initiative. Net metering allows you to send excess electricity you generate from renewable resources to the distribution system for a credit toward your energy costs. Essentially, it’s a “trade” of electricity you supply against electricity you consume.

NetMetering diagram

Eligibility criteria include, but are not limited to:

  • You must generate electricity primarily for your own use;
  • The electricity must be generated solely from a renewable resource (wind, water, solar energy or biomass); and
  • The maximum capacity of the generation facility can’t be more than 500 kilowatts

How does it work?

Once you’re connected to the distribution system, your local distribution company will continue to read your meter just as they do now and then the value of electricity you supply to the grid will be subtracted from the value of what you take from the grid. The “net” difference between these two amounts will be what you see on your bill. If you supply more power than what you take from the grid over the billing cycle, you’ll receive a credit toward future energy bills. The credit can be carried forward for up to 12 months.

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