What your exported power is actually worth in Maryland, how the credit is calculated, and what that means for sizing a system.
Month to month, Maryland net metering is straightforward: exports credit against imports at the full retail rate, and surplus rolls forward.
At your annual true-up, whatever credit remains is settled at the utility’s avoided cost — roughly 3 to 5¢ per kWh, against a retail rate of 14 to 17¢.
So a system sized well above your annual usage does not pay for itself the way brochure math implies. Every kilowatt-hour beyond what you consume in a year is worth about a quarter of what it would be worth offsetting your own use.
Maryland requires residential systems to be sized to on-site load for exactly this reason. Your export value also tracks your utility — a Pepco customer earns more per exported kWh than a Potomac Edison customer.
Sources: Maryland Public Service Commission net metering rules.
Net metering is a billing arrangement, not a rebate. Nobody sends you a cheque. Your meter runs backward and your bill goes down.
It also does not eliminate your bill entirely. Fixed customer charges continue regardless of usage, and most utilities true up on an annual cycle rather than paying cash for a surplus.
Which is why system sizing matters: a system built well beyond your annual usage produces credits worth far less than the ones that offset what you actually consume.
The 30% federal Residential Clean Energy Credit under Section 25D ended for systems purchased after December 31, 2025. If you buy with cash or a loan in 2026, you cannot claim it. Any site still advertising a 30% federal credit for a homeowner purchase is running outdated information.
What remains is Section 48E, the commercial investment credit. It applies to third-party-owned systems — leases and power purchase agreements — where the system owner claims it rather than the homeowner. That is precisely what makes $0-down possible.
EnergyPros does not provide tax advice — confirm your situation with a tax professional.
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Not usually. Fixed customer charges continue regardless of how much power you generate, and most utilities settle any annual surplus at a rate well below retail. A well-sized system substantially reduces the bill; it rarely eliminates it.
In most cases, one sized to your actual annual usage. Building well beyond that produces credits that are worth far less than the ones offsetting what you consume, because surplus is typically trued up at avoided cost rather than retail.
Net metering credits generally stay with the meter rather than the person. If you sell, the arrangement transfers with the property. If you are on a lease or PPA, that agreement transfers to the buyer — your installer handles the paperwork.
It can, considerably — especially where exports are credited below retail. A battery lets you use your own production during expensive hours instead of exporting it cheaply. In states with 1:1 retail credit the case is weaker; in net billing states it is usually decisive.
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