NET METERING BENEFITS
When your solar system is producing, your billing meter will slow down or may actually spin backwards. (A digital meter will show an arrow blinking left.) At the end of the month, PNM will take a reading and compare it to last months reading. If your solar system produced less than what you used, PNM will bill you for the NET difference. If you produced more than what you used, the NET overproduction will be credited to you in one of two ways:
• SMALL PV PROGRAM (Inverter capacity of 10kW-AC or less): PNM will credit you the NET overproduction as a Cumulative Renewable Energy Credit (in kWh) on the next month’s bill. These credits never expire and, if your system is large enough, can build up during the year and be used later to reduce PNM bills that are high due to things like summer air conditioning. When you close your account, PNM will pay you for any credits remaining on the account at Rate 12, which your can find on https://www.pnm.com/rates
• LARGE PV PROGRAM (More than 10kW-AC of inverter capacity): PNM will pay you for that NET overproudction based on Rate 12 and will be applied on your next bill. NET overproduction is paid each month unlike the cumulative credit in the Small PV Program. You can find Rate 12 on https://www.pnm.com/rates.
PNM Rates including Rate-12 can be found here:
RENEWABLE ENERGY CERTIFICATE (REC) PURCHASE PROGRAM FOR NEW SYSTEMS ONLY
You can sign up to have PNM purchase your solar production to help PNM meet their own Renewable Portfolio (RPS) requirement mandated by the state of New Mexico. PNM will purchase your solar production for a set number of years according to the contract terms. Currently, the REC contract pays $0.0025/kWh for solar produced over 8 years and is available to new customers only. Additionally, for customers in the Large PV Program, RECs are paid only for net energy consumed by the customer. There is an additional application fee to sign up for the REC purchase program and the customer should decide if this program is right for them.
REC contracts in the past have paid anywhere from 2 cents to 15 cents per kWh and paid anywhere from 8 to 20 years. Some REC contracts are transferrable but not all. Some REC contracts can be amended for system modifications but not all. It’s best to have us help the customer look up their contract to know how to proceed.