Ontario Net Metering Rates: How Your Solar Credit Is Set (Step-by-Step)

By Claire Whitaker

Updated November 2026

Ontario net metering rates determine how much your home solar system is credited for the electricity it sends back to the grid. This guide walks through how those credits are set, how to check the rate that applies to your connection, and what to verify before you sign off on a system. By the end, you will be able to estimate your credit and spot the details that most often change the result.

Understand How Ontario Net Metering Works

Net metering lets your home offset its own electricity use with the power your panels produce. When your system generates more than your house needs, the excess flows to the grid and your account is credited. When your home draws more than your panels supply, you pull from the grid as usual. Your utility then nets the two flows over a billing period, so you pay only for the difference.

Shopping for one? See our guide: LADWP Net Metering Rates (2026): Which Is Better for Your Home?.

In Ontario, the credit you receive is tied to the rules set by your local distributor and the Ontario Energy Board. The credit is not always worth the same as the retail rate you pay for power, so it helps to know which figure applies to your account before you size a system.

Find the Rate That Applies to Your Connection

Ontario net metering rates are not a single number for the whole province. Your distributor, your rate class and the type of connection you hold all affect the value of each kilowatt-hour you export. Work through these checks in order:

1. Confirm your distributor. Your bill shows the company name, and the Ontario Energy Board website lists the distributors by service area.
2. Identify your rate class, usually shown as residential on your bill, and whether you pay time-of-use pricing.
3. Ask your distributor in writing how exported energy is credited, including whether credits are valued at the same time-of-use period as your consumption.
4. Request the connection agreement and read the section on export compensation and carry-forward credits.

Calculate Your Expected Credit

A simple estimate uses three numbers: your annual export in kilowatt-hours, the credit value per kilowatt-hour, and any fixed monthly charges that do not get offset. Your installer can model the export figure, but you can sanity-check it using your panels’ rated output and your local sun hours.

Subtract the fixed charges from the total credit to see what your net savings look like. Treat the result as an estimate, since rates and rules can change.

Check the Rules Before You Install

Many surprises come from details buried in the paperwork rather than the headline rate. Look for limits on system size relative to your historical load, rules about how unused credits roll over, and any time-of-use timing that shifts your export value. If you are weighing whether the system pays off, our guide on Is Net Metering Worth It Ontario? A Homeowner's Guide to the Numbers walks through the math in more detail. For background on how credits are applied to your statement, see How Does Net Metering Work in Ontario? Credits, Rules and Who Benefits.

Common Mistakes to Avoid

• Assuming one provincial rate applies everywhere, when your distributor sets the details.
• Sizing a system only on roof space instead of your actual annual usage.
• Ignoring fixed monthly charges, which net metering usually does not erase.
• Overlooking time-of-use periods, so exports at the wrong hour earn less.
• Skipping the written connection agreement and relying on a verbal promise about credits.

FAQ

Do Ontario net metering rates change over time?

Yes. Distributor rates and the rules around credits can be updated, so check current figures with your utility before making a decision.

Can unused net metering credits carry forward?

Often they can, but carry-forward rules differ by distributor. Confirm the policy in your connection agreement.

Should I hire a professional to review my credit calculation?

For a system of meaningful size, it is worth having a licensed installer or energy advisor review the numbers, since they affect a long-term financial decision.

Conclusion

Ontario net metering rates depend on your distributor, rate class and connection terms, so the headline figure alone is not enough. Confirm the rate that applies to you, run a simple credit estimate, and read the agreement before you commit. Doing that work up front makes it much easier to judge whether a home solar system will pay off for your household.

Related reading

• Xcel Net Metering Rates: How Your Solar Credit Is Calculated (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.