California · Net metering · Deep-stack program
California NEM 3.0 (NBT)
Sets the billing terms for excess solar generation sent back to the grid by residential customers in California -- see the credit rate and how it shapes payback below.
- Time-of-use export rates
- stated benefit
- Residential
- eligible customers
- 6.3 yr
- California baseline payback
- 4
- other California programs
Deep-stack program · late directory
California runs a 5-program DSIRE stack; this net metering is one layer on a 6.3-year modeled baseline, not the whole story.
- Stack5 programs
- In-state #3/4
- Type #3/46
- Baseline6.3 yr
In-state directory place #3 of 4 (late alphabet). National net metering directory #3 of 46. Amounts and eligibility change; verify with the official program page before relying on a dollar figure. Informational only - not financial advice. See our disclaimer.
Program description
Under NEM 3.0, solar exports are credited at hourly avoided cost rates. Paired storage increases value significantly.
Program at a glance
- Program type
- Net metering
- Eligible customers
- Residential
- Stated benefit
- Time-of-use export rates
- State electricity rate
- 30¢/kWh
- California solar score
- 66/100
Solar's trajectory in California
The market this incentive operates in: total installed solar capacity in California reported to the EIA.
California's solar incentive stack
How this net metering sits among California's 4 tracked programs, by type
- Rebate
Rebate
2 programs
- Tax exemption
Tax exemption
1 programs
- Net metering
Net metering
1 programs
What this shows California tracks 3 incentive types; net metering (1 program) governs the billing side, while the state's other tracked types handle upfront cost or ongoing payments.
How this net metering layers inside California's deep stack
The California NEM 3.0 (NBT) governs how California credits excess solar generation sent back to the grid, one of the state's DSIRE-tracked solar policies. Eligibility is scoped to residential customers, with a stated benefit of Time-of-use export rates. DSIRE lists no scheduled sunset, though enabling legislation and appropriations can still be revised year to year.
That's the backdrop this incentive works against. California averages 5.8 kWh/m²/day of usable sunlight and residential rates of 30¢/kWh, producing an estimated 10,162 kWh/year and $3,049 of annual utility offset on a typical 6 kW system costing $19,200. That baseline already implies a 6.3-year simple payback and a 25-year modeled net of roughly $57,025 before this incentive - every dollar this net metering delivers compresses that payback further.
California bundles a deep incentive stack, so this program rarely stands alone. California has 5 solar incentive programs indexed in DSIRE, including adjacent options like CA Active Solar Energy System Property Tax Exclusion, CA Green Tariff/Enhanced Community Renewables, Self-Generation Incentive Program (SGIP). The state's net-metering policy is classified as partial, which governs how excess generation is credited and often decides whether a given program is worth claiming for a specific household.
Other California incentives
Frequently asked questions
Where does the California NEM 3.0 (NBT) sit in California's deep program stack?
How does this net metering work beside California's other programs?
Who qualifies, and what does a late in-state directory place mean?
How does this incentive affect solar ROI in California?
Which other California programs stack with this one?
Incentive data from the DSIRE (Database of State Incentives for Renewables & Efficiency); state solar economics from NREL and the U.S. EIA. See our methodology · California solar data · ROI calculator · All incentives.