Florida Net Metering Explained: How It Lowers Your Solar Bill in 2026

Florida Net Metering Explained: How It Lowers Your Solar Bill in 2026

If you are considering going solar in Florida, you have likely heard the term "net metering." In the Sunshine State, net metering is not just a technical policy — it is the financial backbone that makes rooftop solar a viable investment for thousands of homeowners.

If you are still weighing the costs, read our Solar Panel Cost in Florida for 2026 guide to see how net metering impacts your specific bottom line.

Key Takeaways

• Florida continues to support 1:1 retail net metering for residential solar.
• You earn full retail-rate credits for every excess kilowatt-hour (kWh) sent to the grid.
• Net metering effectively turns the electric grid into a free battery for your extra solar production.
• All major Florida utilities, including FPL, Duke Energy Florida, and TECO, participate in net metering.

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What Is Net Metering?

Net metering is a billing mechanism that credits solar energy system owners for the electricity they add to the grid. When your solar panels produce more electricity than your home consumes during the day, the excess power is sent back to your utility company.

Your meter effectively "spins backward," and you receive a credit on your utility bill at the retail rate — the same price you pay for electricity. When you use grid power at night or during cloudy weather, you use those accumulated credits.

See our article on lowering Florida electric bills for more details on how this offsets your monthly consumption.

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Why Net Metering Matters in 2026

With the expiration of the federal 30% Residential Clean Energy Credit (Section 25D) as of December 31, 2025, the economics of solar have shifted. Because homeowners can no longer rely on a large federal subsidy, the long-term ROI now depends almost entirely on the electricity savings generated by your system.

Florida’s 1:1 net metering policy is crucial because it ensures your solar production is valued at the full retail rate, rather than a cheaper "wholesale" or "avoided cost" rate found in some other states.

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How Net Metering Works by Utility

Florida utilities are governed by the Florida Public Service Commission, which sets the standards for interconnection and net metering.

Major Participating Utilities:

• FPL (Florida Power & Light): Allows systems up to 115% of your annual historical usage, credited at retail rates.
• Duke Energy Florida: Provides standard residential net metering credits.
• TECO (Tampa Electric): Offers retail-rate credits for excess production.

You can find additional details on state solar policies through the Solar Energy Industries Association (SEIA).

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Frequently Asked Questions

Does net metering cover my entire electric bill?

Net metering offsets the energy usage portion of your bill. You will still pay the standard monthly base connection fee and any applicable taxes or surcharges required by your utility.

Is net metering a law in Florida?

Net metering is regulated by the Florida Public Service Commission. It is a mandatory program that investor-owned utilities in Florida must offer to their residential solar customers.

What happens to my excess credits at the end of the year?

Policies vary by utility. Some utilities "zero out" accumulated credit balances once per year, while others may carry them over indefinitely. Always check your specific utility's net metering tariff.

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Making an Informed Choice

Net metering makes solar a powerful tool for energy independence in Florida. However, it is important to ensure your system is sized correctly for your actual usage patterns.

Request your free, no-pressure consultation at /consultation for a data-driven analysis of how net metering can lower your specific utility bills.