By Claire WhitakerThe dominion net metering proposal asks solar owners to accept a different way of being credited for power they send back to the grid. For homeowners who are already planning a system, or who recently installed one, the choice comes down to whether you can size your array for self-consumption and whether you plan to stay put long enough to recover your investment under the new terms. Owners with high daytime use and battery storage will generally fare better under the proposal, while households that export large volumes of midday power may find the current retail-credit approach more favorable.
This article compares the two frameworks side by side. It is written for homeowners in Dominion Energy territory who want a practical understanding of how each option affects their bills. Policy details can change during regulatory review, so treat the specifics below as a framework to check against the latest filing rather than a final ruling.
Comparison at a Glance
| Criterion | Current Net Metering (retail credit) | Dominion Net Metering Proposal |
|---|---|---|
| Export compensation | Exported kWh offset imported kWh at the full retail rate | Exported kWh credited at a lower avoided-cost style rate, separate from retail |
| Value of daytime self-use | Same as exported energy | Higher relative value, since self-consumed power avoids retail purchases |
| Battery storage incentive | Limited direct benefit under standard net metering | Storage paired with the array can shift exports to higher-value hours |
| Sizing strategy | Oversizing to offset annual use is common | Sizing closer to daytime load and self-consumption is more favorable |
| Billing cycle treatment | Monthly credits roll forward, annual true-up | Expect changes to how excess credits carry over and settle |
| Predictability of payback | Well understood from existing bills | Depends on final rate design and approval timing |
| Best fit | Households that export a lot and want simple crediting | Households with daytime use, storage plans or smaller systems |
Export Compensation: Which Option Pays More per kWh?
Under current net metering, every kilowatt-hour your system pushes to the grid is credited against what you draw later, usually at the full retail rate. That makes the arithmetic simple: a kWh exported at noon offsets a kWh imported at night. The winner on this criterion, for existing customers, is current net metering, because the credit per exported kWh is higher.
The dominion net metering proposal separates the value of exported energy from the retail rate. Exports would be credited at a rate tied more closely to the utility’s avoided cost, which is typically lower than retail. Self-consumed power, by contrast, still avoids the full retail charge because you never buy it. The gap between those two values is the central economic change. Winner: current net metering for pure export value.
Self-Consumption Value: Which Option Rewards Daytime Use?
Under the proposal, the strongest financial lever is using your own solar power as it is generated. A household that runs dishwashers, laundry, or a heat pump during daylight hours avoids retail purchases directly. This is the piece most likely to matter for a typical homeowner who is at work during the day and home in the evening, because that pattern produces more exports than self-use.
Under current net metering, self-use and exports are worth the same, so timing matters less. Winner: the Dominion net metering proposal, for households with meaningful daytime load.
Battery Storage: Which Option Makes Storage Worthwhile?
Storage has an awkward fit with standard net metering. Because exports are already credited at retail, a battery mainly adds value through backup power or time-of-use shifting, and the payback is often slow. Under the proposal, a battery can capture midday surplus and discharge it into evening hours when the utility’s avoided-cost signal, and your own retail rate, are higher. Storage becomes a tool for shifting energy in time rather than just a backup purchase.
Battery economics still depend on the battery’s cost, its usable capacity, round-trip efficiency, and how many cycles you run each year. Those factors should be modeled against your actual interval data. Winner: the Dominion net metering proposal, provided you plan to add storage.
System Sizing: Which Option Favors Oversizing?
Many homeowners under current net metering size arrays to match or exceed their annual consumption, since every extra kWh exported still offsets retail usage. That strategy becomes less attractive under the proposal, where surplus exports earn less. The better target is a system that covers most daytime load and exports only a modest share.
Practical steps for sizing under either framework:
- Pull 12 months of interval data or monthly kWh bills from your utility account.
- Separate weekday daytime use (roughly 9 a.m. to 4 p.m.) from evening use.
- Estimate how much of your daytime load a proposed array would cover, month by month.
- Compare the annual exported kWh under each scenario against the credit rate that applies.
- Run a payback estimate with and without storage before committing to a size.
For an in-depth look at how grid-tied systems interact with the utility, see How Grid-Tied Solar Works: Net Metering, Interconnection and Outages, which explains how exports, interconnection and outage behavior fit together. Winner: the Dominion net metering proposal rewards right-sizing; current net metering rewards oversizing.
Billing and Bill Credits: Which Option Is Easier to Track?
Current net metering is familiar. Credits accumulate across the billing cycle, and most annual settlements are straightforward. Under a new export rate, you may see separate line items for self-supplied energy, exported energy, and any carried-forward credits, which means more lines to check each month. Read your bill carefully during the first months after any change, and keep a simple spreadsheet of monthly generation, imports and exports from your inverter or utility portal.
Ask the utility how unused credits are handled at the end of the year and whether any balance is paid out or forfeited. Winner: current net metering, for simplicity.
Payback Certainty: Which Option Is Easier to Forecast?
Payback under current net metering can be estimated from your existing bills and a standard production estimate. Under the proposal, forecasting depends on the final rate design, the avoided-cost inputs, any time-of-use structure, and when the rules take effect. Homeowners who sign a contract during a transition period may face uncertainty about which rules govern their system for its full life.
If you are close to signing, ask your installer to model both scenarios and show the results side by side. Winner: current net metering, for predictability, while the proposal remains unsettled.
Which Should You Choose?
- Choose current net metering if you already have a system, you export most of what you generate, and you want simple monthly crediting.
- Choose the framework that favors the proposal if you use most of your power during the day, work from home, or run appliances on daytime schedules.
- Plan for the proposal if you intend to add a battery and want storage to earn value beyond backup.
- Size more conservatively if you are early in the process and expect the proposal to apply, targeting daytime load rather than full annual use.
- Wait and compare if you are not yet committed, since final rules may shift the numbers before a system is energized.
Equipment choices affect how well any of these strategies work. For a grid-tied inverter that reports production in real time, many owners look at the Enphase IQ8 microinverter family, which is widely installed on residential roofs. For storage, the Tesla Powerwall 3 is a common pick for homeowners who want an integrated battery. Confirm compatibility with your installer and the utility’s interconnection requirements before purchasing. View on Amazon View on Amazon
FAQ
What is the dominion net metering proposal?
It is a proposed change to how Dominion Energy credits customers who send solar power to the grid. The main idea is to separate the value of exported energy from the retail rate, so that self-consumed power and exported power are valued differently.
Will the proposal apply to systems already installed?
That depends on the final regulatory decision, including any grandfathering provisions. Check the approved filing and ask your installer or the utility how existing interconnections are treated.
Does the proposal make solar a bad investment?
Not necessarily. Homeowners with high daytime use or storage plans may still find solar worthwhile. Those who export most of their generation are more likely to see longer payback periods. Consult a licensed solar installer or energy advisor to model your specific situation.
Is a battery a good idea under the proposal?
It can be, particularly where storage can shift midday exports into higher-value evening hours. Battery payback depends on capacity, efficiency, cycling and final rate design, so model it using your own interval data.
How can I prepare before the rules are finalized?
Gather 12 months of usage data, estimate your daytime load, and ask any installer to present both current and proposed scenarios. Avoid committing to an oversized system until the final tariff is approved.
Conclusion
The dominion net metering proposal shifts value away from exports and toward self-consumption and, potentially, storage. Current net metering remains simpler and more generous to large exporters, while the proposal rewards households that use their solar power during the day. The right choice depends on your load pattern, your appetite for storage and how long you plan to stay in your home. Review the final filing, run both scenarios with your own data, and get a written estimate from a qualified installer before you commit.
Related reading
- What Is Net Metering Cap? A Homeowner's Guide to Limits (2026)
- Solar Panels for Net Metering (2026): Which Should You Choose?
- Solar Net Metering Bill Example PDF: How to Read Yours Step by Step
About Claire Whitaker
Claire Whitaker is part of our editorial team and reviews and edits our home solar guides, checking product details against manufacturer specifications and owner feedback.
