Net Metering Bane or Boon

Net metering is the practice of allowing utility customers with renewable electricity generation systems to sell their excess power to the electrical grid. Net metering offers several benefits to local consumers, such as decreasing their energy costs and improving local quality of service. For energy producers, it decreases strain on transmission lines and power generation facilities, allowing for decreased maintenance costs. And for local governments, it decreases pollution and decreases dependence upon imported fuel sources. Jose Roquios, the general manager of a Pototan, Iloilo, Philippines-based electric cooperative, is looking to broaden the local net metering program for the areas served by his district, but is struggling as initial interest in the program has been weak. The case discusses net metering as well as Jose’s struggles to improve participation, and then asks students how they would increase participation in the net metering program.

• Identify the types of power-generating facilities eligible for net metering.
• Determine how net metering works as an electricity policy for consumers who own renewable energy facilities.
• Assess the benefits gained by qualified end users if they use net metering in the context of monthly energy bill savings and contributing to the local energy supply.
• Critique net metering in the milieu of local distribution utilities.
• Develop a plan to attract qualified end users to participate in net metering.