For Colorado’s net-metering rules, any customer net excess generation (NEG) in a given month is applied as a kilowatt-hour (kWh) credit to the customer’s next bill.
If in a calendar year a customer’s generation exceeds consumption, the utility must reimburse the customer for the excess generation at the utility’s average hourly incremental cost for the prior 12-month period.
If a customer-generator does not own a single bi-directional meter, then the utility must provide one free of charge. Systems over 10 kilowatts (kW) in capacity require a second meter to measure the output for the counting of renewable-energy credits (RECs).
Customers accepting IOU incentive payments must surrender all renewable energy credits (RECs) for the next 20 years. Cooperative and municipal utilities are free to develop their own incentive programs at their discretion but they are not subject to the solar set-aside.
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