We wrote about the basics of net metering in this previous post. There is no doubt net metering mechanisms have been key to the growth of residential and commercial solar over the past decade.

The net metering successor tariff ‘NEM-3’ proceeding in California has recently begun – something that will alter NEM rules in the state and have national repercussions. PV Mag is calling it “the single most important policy mechanism for customer-sited solar over the last decade.”

A recent study found that customers have benefited from the structure and that ratepayers have seen rate increases. The California Public Utility Commission expects to have a decision no later than the end of next year. This decision will most probably serve as precedent for other regions looking to redesign their NEM tariffs in the future.