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Frequently Asked Questions

How do utility tariff structures affect residential solar economics? Utility tariff structures determine how each kilowatt-hour your solar system produces or exports is valued. Time-of-use (TOU) tariffs assign higher rates to peak hours and lower rates to off-peak hours, changing the optimal solar system design and storage pairing strategy compared to flat-rate tariffs.

What is a net metering tariff? A net metering tariff is a billing arrangement under which the utility credits solar exports at the retail electricity rate, allowing homeowners to offset future consumption kWh-for-kWh. Traditional net metering is being replaced in many states by successor tariffs with lower export compensation rates — California’s NEM 3.0 cut export credits by approximately 75 percent for new systems.

Where can homeowners find their utility’s current solar tariff? Your utility’s current tariff schedule is a public document available on the utility’s website, typically in the ‘Rates and Tariffs’ section. DSIRE (dsireusa.org) summarizes net metering and other solar-relevant tariffs by state, but the utility’s actual tariff document is the legally binding reference that governs your solar export compensation.

What are solar import tariffs and do they affect U.S. panel prices? The U.S. imposes Section 201 and Section 301 tariffs on imported solar panels, primarily from China and some Southeast Asian countries. These tariffs affect wholesale panel prices and are tracked by SEIA; their impact on retail residential system prices varies by manufacturer sourcing and changes as tariff exemptions and rates are adjusted.

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