← All Guides

Net Metering by State 2026

Updated March 2026 · PlainSolarData Editorial · 51 states + DC

41

Full Retail NM

Earn full rate on exports

8

Partial / Avoided Cost

Earn less than retail

2

None / Limited

No grid credit for exports

Net metering policy is one of the most important factors determining solar ROI in your state. Below is a complete state-by-state breakdown of net metering policies, along with each state's electricity rate, which together determine how much your exported solar electricity is worth.

How to read this table: States with full retail net metering AND high electricity rates offer the best economics for solar. States with partial or no net metering require higher self-consumption ratios (or battery storage) to maximize ROI.

Full Retail Net Metering States (41)

You earn the full retail electricity rate for every kWh exported to the grid. This is the most solar-friendly policy, excess production earns full credit toward future bills.

State Rate (¢/kWh) Payback
Connecticut 28.5¢ 8.9 yr
Massachusetts 27.5¢ 9.2 yr
Rhode Island 26.0¢ 9.7 yr
Maine 26.0¢ 9.3 yr
New Hampshire 25.5¢ 9.8 yr
Vermont 22.5¢ 11.5 yr
Alaska 22.5¢ 17 yr
New York 22.0¢ 11.1 yr
District of Columbia 19.5¢ 13 yr
New Jersey 18.5¢ 12.8 yr
Michigan 17.5¢ 14.4 yr
Illinois 16.5¢ 14 yr
Pennsylvania 16.5¢ 14.2 yr
Wisconsin 16.5¢ 14.2 yr
Maryland 16.0¢ 14.3 yr
Delaware 14.8¢ 15.4 yr
Florida 14.5¢ 12 yr
Ohio 14.5¢ 16.3 yr
Colorado 14.2¢ 12.3 yr
Minnesota 14.2¢ 15.9 yr
New Mexico 14.0¢ 10.3 yr
Virginia 13.8¢ 15 yr
Arizona 13.5¢ 10.3 yr
Kansas 13.2¢ 13.7 yr
North Carolina 12.8¢ 14.4 yr
Missouri 12.8¢ 15.6 yr
Oregon 12.8¢ 16.9 yr
Nevada 12.5¢ 11.9 yr
Iowa 12.5¢ 16.7 yr
Montana 11.8¢ 16.3 yr
Kentucky 11.8¢ 17.7 yr
Oklahoma 11.5¢ 15.5 yr
Nebraska 11.5¢ 16.4 yr
Arkansas 11.4¢ 17.2 yr
Wyoming 11.2¢ 15.3 yr
South Dakota 11.0¢ 17.1 yr
Utah 10.8¢ 14.5 yr
North Dakota 10.8¢ 18.2 yr
Washington 10.5¢ 26.6 yr
Louisiana 10.2¢ 17.8 yr
Idaho 10.0¢ 20 yr

Partial / Avoided Cost Net Metering States (8)

You receive less than the full retail rate, typically the utility's "avoided cost" (what it would pay to generate that power itself), usually 4–8¢/kWh. Self-consumption is critical here; battery storage often improves ROI.

State Rate (¢/kWh) Payback
Hawaii 38.0¢ 5.2 yr
California 30.0¢ 6.3 yr
Texas 14.0¢ 11.8 yr
Alabama 13.8¢ 14.4 yr
South Carolina 13.2¢ 14 yr
Georgia 12.5¢ 14.5 yr
Mississippi 12.0¢ 15.7 yr
Tennessee 11.5¢ 16.7 yr

No Net Metering / Limited States (2)

Limited or no formal net metering policy. In these states, solar ROI depends almost entirely on self-consumption. Battery storage and time-of-use rate optimization are essential.

State Rate (¢/kWh) Payback
Indiana 13.8¢ 15.8 yr
West Virginia 12.0¢ 19.4 yr

Key Takeaways

  • Full retail net metering + high electricity rates = fastest payback. States like Hawaii, Massachusetts, and Connecticut check both boxes
  • California is the exception. Despite high rates, NEM 3.0 drastically reduced export value. Battery storage has become near-mandatory for new California installations
  • Low-rate states need irradiance to compensate. Arizona and Nevada have excellent sun but modest rates; their strong solar scores rely on irradiance volume
  • Policies change. Florida's legislature has signaled a move from full retail NM to avoided-cost after 2029. Florida solar installations are time-sensitive
  • Municipal utilities may differ. This table reflects state-level policy. Your specific investor-owned utility, electric co-op, or municipal utility may have different rates

Net metering classifications sourced from DSIRE USA database. Policies current as of early 2026. State net metering rules evolve through legislation and utility commission decisions, verify current policy with your state public utilities commission before installing. Municipal utilities and electric cooperatives are not required to follow state net metering mandates in all states.

Compiled by PlainSolarData from public NREL, EIA & DSIRE data · Updated July 2026