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Net Metering

Net metering allows you to reduce your monthly electricity costs by generating your own electricity from a renewable energy source.

Renewable Energy Technologies (RETs) include wind, water, solar and agricultural biomass.

How is the electricity that I generate through my renewable energy source(s) offset by the net metering program?

Net metering credits are based on the value of the electricity that you generate. It is not based on the kilowatt hours (kWhs) per unit that you generate.

The kWhs that you generate are given a “cost value”. This cost value is determined based on your rate class and represents all per-kilowatt hour charges. This value becomes a credit that can be applied only towards the energy (kWh) calculated on your bill (and not the fixed charges or, if applicable, demand charges). 

Presently, the "cost value" of generation for residential customers who participate in the program will be based on tiered rates rather than time-of-use (TOU) rates.

Please refer to Ontario Regulation 541 (O.Reg. 541) for more information.

How much does it cost to set up and join the net metering program?

Your standard meter will need to be replaced with a bi-directional meter. This usually costs less than $1,000 for residential customers. Like a standard smart meter, this meter measures how much electricity is delivered, as well as how much electricity is fed back into the grid. 

Your “service entrance” may also need to be upgraded if it doesn’t pass the electrical safety and servicing standards specified in our Conditions of Service.

What is the delivery charge for the electricity that I generate? Is it fixed or variable?

You can find information about delivery charges on our Rates and Conditions page.

The delivery charge is currently fixed and variable, however, it will transition to a fixed fee over the next few years in accordance with the Ontario Energy Board (OEB) regulation. 

Can the delivery charge be deducted from the net metering credit? How often is the amount charged?

Net metering credits can only be applied to the portion of the bill subject to a per-kilowatt-hour charge and not the fixed or demand (per kW) line items.

Please refer to the provincial legislation for more information.

Are there any other charges associated with the net metering program?

Yes, other charges include an account setup charge, a monthly service charge and, in some circumstances, an administration charge.

How long does the generation credit last?

The rolling credit must be used within 11 months. Please refer to the legislation for more information.

Are there any special requirements that may render residential homes ineligible from participating in the net metering program?

Yes, there may be circumstances that limit a residential customer’s ability to connect and generate electricity.

These include:

  • The size of their service entrance;
  • The share of the transformer capacity;
  • The capacity or performance constraints on the feeder branch between the customer and the distribution station and transmission system;
  • Lack of evidence that the energy produced is from a renewable energy source and;
  • An Energy Resource Facility with a nameplate rating greater than 500kW. 

How do I apply to the net metering program?

You don't need to apply to the IESO like you would for the microFIT of FIT programs. 

For Energy Resource Facilities that are 10kW or less, please follow our micro-FIT process online.

For Energy Resource Facilities that are greater than 10kW, please follow our FIT process online.

Is there any other information or upcoming proposed policy changes that I should be aware of?

Yes, the Ministry of Energy is currently reviewing the net metering program and regulations. Changes may happen anytime, but we expect an updated program will be introduced sometime in late 2017. 

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