Net Metering by State
Why the same panels pay back faster in some states than others.
Net metering is the billing arrangement that lets your solar panels spin your meter backward when they export more power than you use. The value of those exports is the single biggest policy driver of your payback period after the federal tax credit.
Full-retail vs reduced compensation
States that credit exports at the full retail rate (for example Florida and North Carolina) let solar offset your most expensive electricity 1:1, shortening payback. States that pay only wholesale or a fixed "alternate compensation tariff" (for example California NEM 3.0, in effect since April 2023, which sharply cut the export credit) make batteries and self-consumption more important.
How this site models it
The Net metering credit (0–1) field scales your first-year savings: 1.0 means every exported kWh is worth the full retail rate, 0.75 means you keep three-quarters of its value, and so on. The state pages pre-fill a realistic credit for each state — lower for California and Nevada, higher for Florida, New Jersey and Arizona — so your estimate reflects local policy rather than a generic guess.
Other structures
Some states (Georgia, Ohio) use a capacity-only credit or a one-time payment rather than ongoing 1:1 metering. A few (Washington, Colorado) pair good metering with tax breaks on equipment. Because these rules change often, treat the pre-filled values as planning estimates and confirm the current terms with your utility.