Solar used to be easy to explain:
Your panels made power.
You used some.
You sent extra to the grid.
You got credit
In 2026, it is more complicated. But the idea is still simple:
The value of solar depends on what happens to the energy you do not use immediately.
Net metering
Net metering generally means your excess solar production is credited back on your bill. Under older California NEM tariffs, customers received bill credits for exported energy at retail rates, but those tariffs are now closed to new enrollments.
This is the model many homeowners still imagine when they think about solar.
Net billing
Net billing is different.
Under California’s Net Billing Tariff, new customers are compensated under a newer structure that replaced NEM 2.0 for applications submitted on or after April 15, 2023.
Translation:
You may not get the same value for sending energy to the grid as you get from using it yourself.
That changes the whole strategy.
Buyback programs
In states like Texas, solar compensation may depend on your provider. Some retail electric providers offer solar buyback plans, but the terms vary. DSIRE tracks utility and provider-specific renewable programs, including Texas buyback offerings.
Translation:
In Texas, you do not just shop for solar.
You shop for the right solar plan.
Why batteries matter more now
When export credits are lower, the best move is often simple:
Use more of your own power.
A battery lets you store daytime solar and use it at night, during peak pricing, or during outages.
That means the battery is not just backup anymore.
It is strategy.
State-by-state quick view
- California: net billing makes batteries more valuable
- Texas: buyback depends on provider
- Florida: net metering is still important, but utility rules matter
- New Jersey: incentives and net metering can still create strong ROI
- Arizona: utility-specific export rates matter heavily
Sabio takeaway
The future of solar is not just panels.
It is timing.
When you produce power matters.
When you use power matters.
What your utility pays you matters.
That is why 2026 solar needs to be designed smarter.
