Solar / Net Energy Metering (NEM)
Orange County Power Authority (OCPA) offers a Net Energy Metering (NEM) program designed to maximize value for solar customers. If you already have solar installed on your home or business, or are considering installation, this program is for you!
As a program participant, customers remain connected to Southern California Edison (SCE) for delivery and billing, while OCPA provides the generation service with enhanced value. OCPA works in partnership with SCE to provide your electricity services, and it works the same for your NEM enrollment. SCE is responsible for delivering the NEM service charges and credits, and OCPA is responsible for NEM generation charges and credits.
How it Works
When your solar panels generate more electricity than your home uses, the extra energy is sent back to the grid. With NEM, that energy is credited to your account. This allows you to save credits and use them when your home needs more electricity than your solar system is producing. When you use banked credits, they’re applied at the full retail electricity rate.
At the end of each annual billing cycle, any remaining unused credits are paid out at the Net Surplus Compensation (NSC) rate, which is lower than the retail value.
Click here to view NSC rates.
Many solar customers generate the majority of their excess energy during the spring and summer months. If your annual true-up happens before you’ve had the chance to use those credits, they may be cashed out at the lower NSC rate instead of being applied toward future electricity use at the higher retail rate.
That’s why OCPA conducts customer true-ups ahead of summer. This way, customers have the best chance to bank solar credits at the retail rate and apply them at the retail rate. It gives customers the most value for their excess energy.
Key Benefits for Solar Customers
NSC
OCPA pays 10% more for excess generation compared to SCE, rewarding customers who produce surplus energy.
Monthly Generation True-Up
OCPA reconciles generation charges monthly, improving customer cash flow and providing greater billing transparency.
April Annual True-Up
OCPA’s April annual true-up cycle allows customers to bank credits during high-production months and use them during lower-production months, helping retain more value before credits convert to NSC.
Local Accountability and Programs
OCPA is community-owned and reinvests in local renewable projects and customer programs, supporting clean energy development in Orange County.
Increased Value
OCPA currently treats its solar customers on the Net Billing Tariff (NBT) as if their generation were under NEM 2.0.
Why it Matters for Contractors
- Contractors can use OCPA’s NEM benefits as a selling point to demonstrate higher long-term value for solar customers.
- Enhanced compensation rates and the unique true-up structure strengthen customer satisfaction and retention.
- OCPA provides program materials and support for contractors—no enrollment cost or additional paperwork required.