As a Florida homeowner, you can save money on your utility bills by installing solar panels and taking advantage of the state's net metering policy. Net metering allows you to generate your own electricity and export any excess to the grid, offsetting your energy usage and reducing your bills. With the right system, you can save hundreds of dollars per year. The key to maximizing your savings is understanding how net metering works and how solar credits are applied to your utility bill
Based on federal consumer protection law and HUD/CFPB public guidance · Last reviewed July 2026
The Direct Answer
Florida's net metering policy requires utilities to credit homeowners for the excess energy their solar panels produce, at the same rate they charge for electricity. For example, if you produce 1,000 kWh of excess energy in a month, and your utility charges 12 cents per kWh, you'll receive a credit of $120 on your next bill.
The credits can be carried over to future bills, allowing you to offset your energy usage during periods of low solar production, such as at night or during winter months. To illustrate, let's say you use 1,500 kWh of energy in January, but your solar panels only produce 1,000 kWh. You can apply the $120 credit from the previous month to reduce your bill by $120, lowering your total payment to $360 (1,500 kWh x 12 cents/kWh - $120 credit)
Do not sign a solar lease or power purchase agreement without understanding the terms and how they may impact your net metering benefits. Some contracts may require you to sell your excess energy to the solar company at a lower rate, reducing your credits and savings
How Net Metering Works
Net Metering Basics
Net metering is a policy that allows homeowners to generate their own electricity and export any excess to the grid. In Florida, utilities are required to offer net metering to customers who install solar panels or other renewable energy systems. The utility will install a special meter that measures the amount of energy you produce and consume, and credits you for any excess energy you produce.
Your utility will provide a monthly statement showing your energy usage and production
Credits are applied to your bill at the same rate you pay for electricity
Credits can be carried over to future bills
Solar Credit Calculation
Calculating Your Solar Credits
The amount of credits you receive will depend on the amount of excess energy your solar panels produce, and the rate your utility charges for electricity. For example, if your solar panels produce 1,000 kWh of excess energy in a month, and your utility charges 12 cents per kWh, you'll receive a credit of $120. You can use online tools or consult with a solar installer to estimate your potential solar credits and determine the best system size for your home
Maximizing Your Savings
Optimizing Your Solar System
To maximize your savings, it's essential to choose the right solar system size and configuration for your home. A larger system will produce more energy, but may not be necessary if you don't use a lot of electricity. Consider your energy usage patterns, roof size, and orientation when selecting a solar system. You should also ensure that your system is properly installed and maintained to optimize energy production and reduce maintenance costs
Additional Incentives
Florida Solar Incentives
In addition to net metering, Florida offers several incentives to encourage homeowners to install solar panels. These include a property tax exemption for solar systems, and a state rebate program for solar water heaters. You may also be eligible for federal tax credits, which can help offset the upfront cost of installing a solar system
Get Started with Solar
Contact a licensed solar installer to assess your home's solar potential and determine the best system size for your energy needs. You can also consult with your utility company to learn more about their net metering program and any additional incentives they offer
You'll need to contact your utility company and provide documentation of your solar system installation. They will then install a net meter and begin tracking your energy production and usage. You can find more information on the application process on your utility company's website or by contacting their customer service department
Can I sell my excess energy back to the grid?
Yes, with net metering, you can sell your excess energy back to the grid and receive credits on your utility bill. The credits can be used to offset your energy usage during periods of low solar production
How long do solar credits last?
Solar credits can be carried over to future bills, but they may expire after a certain period of time, typically 12-24 months. It's essential to review your utility company's net metering policy to understand their specific rules and regulations regarding credit expiration
Are there any limitations on solar system size for net metering?
Yes, there may be limitations on solar system size for net metering, depending on your utility company's policies and the capacity of the grid. You should consult with your utility company and a licensed solar installer to determine the optimal system size for your home and ensure that it meets the necessary requirements for net metering