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Net Billing Basics
Net Billing is how homeowners with solar get paid for excess energy produced. It's a system used in Alberta to credit you for the unused solar energy you export to the grid.
You're not storing energy, your trading with the grid. Instead of storing unused power, you export it to the grid and receive credits you can use later.
Your utility company tracks what you use and what you export. A bi-directional meter measures electricity flowing in both directions, both into and out of your home.
Your credits help offset future electricity purchased from the grid. The energy sent to the grid can reduce what you pay when you inevitably need to pull power from the grid.
Net Billing make solar more financially viable in Alberta. It allows homeowners with solar to recover more value form their solar system over time.
How Net Billing Works In Alberta (Step-by-Step)
Your solar system generates electricity
Sunlight hits your panels, your system begins producing electricity for your home. Production is highest during sunny summer days.
Your Home Uses Solar Energy First
Any electricity your system generates is instantly used to power your home. Reducing how much energy you need to buy from your utility company (the grid).
Extra Energy is Exported to the Grid
If your system produces more energy than you are using, the excess is sent back to the grid through your bi-directional meter.
You Recieve Credits for Exported Energy
Your energy retailer will track how much electricity you export and provides you with credits based on your agreed energy rate. (This can vary depending on your plan)
You pull Energy from the Grid When Needed
When your system isn't producing enough (like at night or during winter months), your home automatically draws electricity from the grid.
Your Bill is Calculated based on Net Energy use
At the end of your billing period, your billed (or credited) based on the difference between energy imported and energy exported, this is where "Net Billing" gets its name.
Net Billing vs. Net metering: Whats the Difference?
While these sound similar, net billling and net metering actually work in different ways. Understanding the differences and why Alberta uses net billing will help you understand how your solar power is being used.
Net Billing (Alberta's System)
• You're credited for excess energy based on your electricity rate
• Credit rates can vary depending on your energy plan
• Often tied to programs like Solar Club rates
• Designed to help you maximize value based on overproduced energy
Net Metering (Used in other provinces)
• You receive a 1:1 credit for every kWh you export
• Credits are typically on a fixed rate and don't change seasonally
• Simpler system, but offers less flexibility in how credits are earned
Why Alberta Uses Net Billing
Alberta's net billing system is designed to reflect real electricity market conditions and changes, giving you the opportunity to earn more during high production months and offset costs more strategically year round.
How much do you get paid for solar in Alberta
In Alberta, using the net billing program, the amount you are paid (credited) for exported energy isn't fixed. It depends on your electricity rate.
Unlike other regions using net metering, Alberta's net billing system allows you to earn credits based on the rate you are currently using. This means the value of your exported energy can change, if you choose a different rate.
Understanding Solar Export Rates
Before Solar: $318.43/Month
After Solar: -$9.09
In June they used 738kWh of energy but exported enough to earn $431.10 in microgen credits. These credits roll into winter, cutting year round electricity costs and speeding up your solar ROI.
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