BC Hydro’s Switch from Net Metering to Net Billing: What Solar Customers Need to Know
BC Hydro’s solar program is changing, and we know this transition has created a lot of questions for both current and prospective solar customers.
Effective July 1, 2026, BC Hydro’s Self-Generation Program will transition from Net Metering to Net Billing. While the details can feel technical, the key difference comes down to how BC Hydro compensates customers for excess solar energy sent back to the grid.
Under Net Metering, excess generation was banked as kilowatt-hour (kWh) credits that could be used to offset future electricity consumption. Under Net Billing, your home will still use the solar energy it produces first, but any excess energy exported to the grid will be compensated at a fixed rate of $0.10 per kWh.
Who Is Affected by These Changes?
Customers who received a BC Hydro solar rebate will automatically transition to the new Net Billing program unless they choose to repay their rebate.
Customers who did not receive a BC Hydro rebate will remain on Net Metering for a 10-year transition period from the date they joined the program.
New solar customers approved on or after July 1, 2026 will be enrolled in the new Net Billing program and compensated for excess energy exported to the grid at the applicable export rate.
If you already have solar, it’s important to review the information provided by BC Hydro and understand which program terms apply to your account.
Should I Repay My BC Hydro Solar Rebate?
Customers who accepted a BC Hydro solar rebate have the option to repay their rebate and remain on Net Metering during the 10-year transition period.
At first glance, remaining on Net Metering may seem like the obvious choice. However, the decision is more nuanced than it appears.
Our engineering team has reviewed a range of customer scenarios and found that, for many homeowners, the additional value gained from remaining on Net Metering may not outweigh the value of the rebate itself. While every situation is unique, keeping the rebate may be a reasonable option for many customers.
We encourage homeowners to review BC Hydro’s information and consider their individual circumstances before making a decision.
What Does This Mean for Solar Customers?
The most important thing to understand is that this change primarily affects excess solar energy exported to the grid.
The solar energy your home uses directly is still the most valuable energy your system produces. When your solar panels generate power that is used in real time, you are offsetting electricity you would otherwise purchase from BC Hydro.
In simple terms, the best bang for your buck comes from using as much of your own solar energy as possible.
The move to Net Billing only affects excess energy exported to the grid, it does not change the value of the solar energy you use directly in your home.
How Does This Affect ROI?
The impact on return on investment (ROI) will vary from customer to customer and depends on factors such as:
- System size and design
- Household energy consumption patterns
- Self-consumption of solar energy
- Amount of energy exported to the grid
- BC Hydro rate structure and transition terms
- Battery storage
The greatest value from a solar system comes from using the energy you generate directly in your home. While Net Billing changes how excess energy exported to the grid is compensated, homeowners will continue to benefit from lower electricity costs, long-term energy savings, greater energy independence, and protection against future energy price increases.
For many homeowners, the impact on ROI may be smaller than expected. While the exact effect will vary, solar remains a strong investment and continues to deliver meaningful long-term value.
What About Battery Storage?
Battery storage can play an important role under Net Billing because it allows homeowners to store excess solar energy for use later, rather than exporting it to the grid.
For some homes, a battery can help increase self-consumption, improve backup power capabilities, and support greater energy independence. For others, the additional investment may not be the right fit. The value of battery storage depends on your energy use, goals, budget, and overall system design.
The Bottom Line
BC Hydro’s compensation structure may be changing, but the core benefits of solar remain the same. Solar continues to be an effective way for homeowners to lower electricity costs, increase energy independence, and invest in their long-term energy future.
Learn More on the Solar PVcast
In the latest Solar PVcast episode, we discuss these changes and what homeowners should know moving forward. Watch it here!