Utilities · Solar in California

Los Angeles Department of Water and Power (LADWP): how it credits the solar power you send to the grid

Retail net metering, billed monthly: power you send out is credited at the energy rate, and extra credit is banked for later bills. California's NEM 3.0 doesn't apply.

Checked November 12, 2026. Utilities change these rules; check the current tariff before you sign.

How it works

Exported power earns the full retail price, kWh for kWh.

As a city-owned utility, LADWP sets its own solar rules, and it has kept net metering while PG&E, SCE and SDG&E moved to net billing.

When you send out more than you use in a billing period, the excess becomes a credit balance that LADWP applies to later bills, but never to taxes or minimum charges.

Systems up to 1 megawatt qualify, far more than any home needs.

Tip: Because credits stay on the meter that earned them, a home with two meters can't move credit between them.

What it means for a typical California home

With full credit, a typical 3 kW system in California (about $7,710 at the 2026 median price) pays for itself in about 5 years and saves about $40,104 over 25 years after its price, paid in cash with no federal credit. It doesn't matter much whether you use the power as it's made or send it out, so a battery adds backup, not savings. Payback by system size in California.

Also in California: PG&E (4.9¢), Southern California Edison (SCE) (6.6¢), SDG&E (3.7¢), SMUD (9.6¢).

All 55 utilities · Solar in California · Lease and PPA terms by company

Sources: LADWP: net energy metering guidelines; U.S. Energy Information Administration (EIA), final 2025 data: Annual State Historical Spreadsheets (Form EIA-861, released October 7, 2026) and Electric Power Annual (October 21, 2026); EnergySage: median quoted price, first half of 2026.