What is the purpose of these Net Metering Rules?
The rules explain how customers can connect renewable energy systems to NLRED’s grid and how they receive credit for the electricity they generate.
Does Net Metering have an ordinance?
Yes. Here is the link to our ordinance: Solar Distributed Generation
Who is eligible for Net Metering?
Any NLRED customer who owns, leases, or subscribes to a qualifying renewable energy system, except customers on interruptible rates.
What is required to apply for Net Metering?
A project description, proof the system meets size limits, a Preliminary Interconnection Review Request, and applicable fees.
What are the metering requirements?
- Residential and non‑demand customers use separate consumption and generation meters.
- Demand‑billed customers may use a bi‑directional meter or another configuration approved by NLRED.
Why does NLRED require two separate meters for net-metered customers?
NLRED uses two meters to separately measure the electricity a customer consumes and the electricity their renewable system generates. This ensures accurate billing and proper crediting at the Avoided Cost rate.
What do I need to get solar panels/apply for Net Metering?
Most people use a contractor. An electrical one-line diagram, power ratings, spec sheets, panel layout, mounting specs and load calculations need to be submitted with the application fee to Planning.
Who has to review/inspect my facility before I can turn it on?
If in NLR, NLRED, Planning, electrical inspector and NLRFD review the application. NLRED and electrical inspector inspect the installation. If in Sherwood, NLRED and Sherwood review and inspect. If in the county, just NLRED will review and inspect.
What if the review fails? What happens next?
Reason for failure will be provided. Small issue(s) won’t require new application/fee. Big issue(s) will require new application/fee.
Can I install a facility without an Interconnection Agreement with NLRED?
No. Fines of $250–$500 per day, possible disconnection, and a $250 reconnection fee per Rule 1.07 Prohibited Conduct.
What is the maximum system size allowed?
- Residential customers: up to 25 kW or up to 100% of the previous 12 months’ usage.
- Non‑residential customers: up to 300 kW or up to 100% of the previous 12 months’ usage.
What if a customer qualifies for net metering and wants to install more than what NLRED’s system can handle?
NLRED will provide an estimate to upgrade the system. The customer is responsible for paying the total cost of the upgrade if they choose to proceed.
How does billing work for net-metered customers?
Residential Non-Demand Customers are billed normally for all standard charges. NLRED credits all generated kWh at its Avoided Cost rate.
What are the fees for Net Metering?
- Preliminary Review Fee: $100
- Interconnection Fee: $250
- Inspection Fee (if required): $100
- Plus Sherwood’s or NLR’s fees for permits.
What is NLRED’s Avoided Cost rate?
- Fixed‑tilt solar: $0.03629/kWh
- Tracking solar: $0.03779/kWh
Do my credits roll over?
Yes. Credits roll forward from month to month, but any unused credits will expire on February 1 of each year following the completion of the Annual Billing Cycle.
Can credits be applied to more than meter?
No. Credits can only be applied to a single meter.
Is there a grandfathering provision?
Yes. Customers who installed systems before these rules may continue under the old rules for 20 years from installation or 10 years from adoption, whichever ends sooner.