California Assembly Bill 920 allows PG&E and other state utilities to offer payment for surplus energy sent back to the electric grid by your home or business’ renewable energy systems. Our NSC program is based on this bill. Get answers to queries about NSC.
This video answers your most common questions about the Net Surplus Compensation (NSC) program.
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View the following answers to questions about net surplus compensation.
Net Surplus Compensation (NSC) is a credit for Net Energy Metering (NEM) customers. If you are a NEM customer, you can receive NSC if your renewable energy system produced more energy than it used over the last 12 months.
Your solar energy system is designed to generate power to supply your home or business’ energy needs when sunlight is available. PG&E automatically supplies additional energy to you through the electricity grid at night or at other times when your solar system isn’t generating enough to meet your energy needs. When your solar is producing more than you need, excess electricity is returned to the power grid. You receive monthly bill credits for that energy at the retail rate.
Net Surplus Energy payments kick in if your PG&E SmartMeter™ shows you have generated more electricity than you’ve used in aggregate over your 12-month True-Up period. At the end of your 12-month billing cycle, PG&E pays you for your “Net Surplus” energy with NSC. The NSC rate is set at fair market value.
Check your annual True-Up statement. You’ll receive Net Surplus Compensation if the Total Energy line shows a negative number of kilowatt-hours (kWh). That negative number means you have surplus energy.
View the following answers to questions about credits and compensation.
You are automatically enrolled as an existing Net Energy Metering (NEM) customer. If your home generates surplus energy over the total 12-month True-up cycle, a credit will be added to your True-up bill.
Yes, if you are in a tenant unit or a common area and a participant in our Virtual Net Energy Metering (VNEM) program, you are eligible for compensation.
No, each NEM account is treated separately, and you cannot combine accounts. You must be the PG&E customer of record to participate in the NEM program.
No, you are not eligible for this program if you are a Direct Access customer. Contact your energy service provider or community choice aggregator to find out if they offer programs.
View the following answers about program eligibility and enrollment.
Compensation is listed on the first page of your annual True-Up statement. Refer to the Summary of NEM Charges portion of your bill for more detail on how your NSC was calculated.
The NSC rate is based on current market prices. Find this month's NSC rate. Download Net Surplus Compensation Rates for Energy (PDF, 139 KB).
If the amount you owe is less than zero on your True-Up statement, you have two compensation payment choices:
Payments are processed at the end of your 12-month billing cycle, on your annual True-up statement. The statement lists any NSC earned. If you don’t know when your billing cycle ends, check your monthly NEM statement.
California Assembly Bill 920 requires PG&E to pay your Net Surplus Compensation at a rate that is comparable to what we pay other energy producers for electricity generation in the wholesale market. In contrast, your monthly Net Energy Metering credit for exports in each month is calculated using a higher rate. This higher rate is based on the full retail cost of providing energy. It’s calculated using the underlying rate of your service.