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Is Net Metering Going Away in NC?
The short answer is no. But for Duke Energy customers, it works differently than it used to. If you already have solar, or you are thinking about it, this guide covers what changed, the two rate options Duke now offers, and the decision legacy net metering customers need to make before December 1, 2026.
After more than 20 years as one of North Carolina’s original solar installers, we have been through every twist in our state’s clean energy story, including a seat at the table when these changes were negotiated. Here’s what you need to know about Duke Energy’s net metering options, in the plain-English version.
Not a Duke Energy customer? If your utility is one of North Carolina’s Electric Membership Cooperatives (EMCs) or the Town of Apex, these Duke Energy changes do not apply to you. A handful of smaller North Carolina utilities run their own net metering, so this guide focuses on Duke’s program specifically. Read on if you are curious, but none of it will change your setup.
Topic 01
What Is Solar Net Metering?
Net metering is the interconnection policy that decides how your solar system connects to the grid and how the utility credits you for the energy you produce. Think of the grid like a battery — when your panels make more power than your home is using, the extra flows out to the grid and comes back as a credit for the nights and cloudy days when your panels are not keeping up.
When you go solar, Duke reprograms your meter to be a ‘bi-directional meter’ that measures both the energy you pull from the grid and the excess your system sends back. When your panels produce more than your home needs, that surplus is banked as a credit you can draw down later. How much value those credits hold is what’s changing at the end of 2026. We’ll dive deeper into the difference between the two options below.
Common Question
Why Net Metering Is Valuable
Not all interconnection policies are created equal. Under Duke’s legacy 1:1 net metering model, every kilowatt-hour you sent to the grid was worth the full retail rate you pay for power, which is why net metering has long been the most valuable option for North Carolina homeowners.
Other structures, such as buy-all-sell-all credits only your excess at a lower wholesale rate, which means you get paid less than what you pay Duke for the same energy. The good news is that the new Bridge and Time-of-Use rates keep much of net metering’s value while changing how, and how much your excess energy is credited, which is why choosing the right one matters.
Topic 02
What is Changing with Duke Energy’s Net Metering
There are currently three net metering options through Duke Energy (Legacy Net Metering, Bridge Net Metering, and Time-Of-Use). Availability to each depends on when you go solar.
Before 2023: Homeowners who went solar before 2023 were grandfathered into Legacy Net Metering, which gives a 1:1 credit for every kilowatt-hour sent back to the grid. Credits accumulate and roll over month to month before resetting at the end of May.
Watch Graham Alexander, solar designer and co-owner at Southern Energy explain the transition ahead for legacy net metering customers.
After 2023: New solar customers choose between two options, Bridge Net Metering or a Time-of-Use plan.
Beginning in 2027: Legacy net metering customers must transition to either Bridge Net Metering or opt into Time-Of-Use. New customers only have the option for Time-Of-Use.
We cover each option in detail below, along with the 2027 changes on the horizon.
Topic 03
Duke Energy’s Bridge Rate
In essence, the Bridge Net Metering Rate (Bridge Rate) is a close cousin to Duke’s legacy net metering system. It follows the streamlined credit approach of net metering with a few new billing components that come with their own pros and cons.
Under the Bridge Rate, you’re billed on Duke Energy’s standard retail rate schedule, so what you pay per kilowatt-hour doesn’t change because you went solar. That rate will shift over time as Duke’s rate increases get approved and utility rates rise, which is why going solar now holds more value.
The Bridge Rate is simple and, for most homes without a battery, the most cost-efficient option. It suits anyone who wants to set it and forget it, but it comes with three new billing components:
- Monthly excess at the avoided-cost rate: at the end of each month, Duke compares what your panels produced to what you used. Any surplus is credited at the avoided-cost rate, currently about 3.4 cents per kilowatt-hour, and unused credits roll over month to month with no cap. The upside is that instead of losing surplus at the end of a rollover period like the old model, you now get paid for it. This rate is reviewed about every two years and can change.
- A non-bypassable charge: every customer pays this. Duke Energy Carolinas customers pay 28 cents per kW each month, and Duke Energy Progress customers pay up to 62 cents per kW. On a 10 kW system that is about $2.80 or $6.20 a month. Duke says it covers demand management, energy efficiency, storm recovery, and cybersecurity.
- A minimum monthly bill: solar customers can have months where they pull almost nothing from the grid, so Duke adds a small charge to make sure it still recovers its fixed costs. It adds up to $8 a month for Duke Energy Carolinas customers and up to $14 for Duke Energy Progress customers.
Topic 04
Duke Energy’s Time-of-Use (TOU) Rate
Duke’s version of time-of-use pricing includes all the same features as the Bridge Rate (the avoided-cost credit for excess, the non-bypassable charge, and the minimum monthly bill), with time-based energy pricing layered on top.
Who Benefits: homes with battery storage, and anyone who likes a hands-on approach to managing energy. When we modeled our past customers’ hourly usage against the new TOU schedules, almost all of them would pay a slightly lower annual rate per kilowatt-hour on TOU than on their old flat rate, and a battery makes the savings bigger by shifting usage out of peak periods.
Technical terms
What are Time of Use (TOU) Rates?
Most people are used to paying a single flat rate for electricity no matter when they use it. In reality, the cost of generating and delivering power changes with demand: it is expensive during busy peak hours and cheaper when demand is low.
Time-of-use rates reflect that by charging different prices at different times of the day, week, and year. The goal is to nudge you toward using energy when it is abundant and cheap, and away from peak windows, which eases strain on the grid and gives you more control over your bill. Utilities across the country are adopting time-of-use pricing, and Duke Energy now offers it as one of the two solar rate options.
Duke Energy’s Time-of-Use Rate Schedule
Duke’s TOU energy charges fall into four periods that shift by season:
| Period | Cost | When (Season) | Days |
|---|---|---|---|
| Discount | Lowest | Winter: 1am to 3am and 11am to 4pm Summer: 1am to 6am |
All Days |
| Off Peak | Low | Any time that's not in an On Peak or Discount period (the majority of times for summer and winter fall in this period) | All Days |
| On Peak | High | Winter: 6am to 9am Summer: 6pm to 9pm |
Monday to Friday, excluding holidays |
| Critical Peak | Highest | Up to 20 on-peak periods a year that Duke can flip to Critical Peak, where the per-kWh rate roughly doubles. Duke notifies you by 4pm the day before. | Monday to Friday, excluding holidays |
The following charts show what a typical day looks like for the TOU rates in the winter and summer periods:
Topic 05
Bridge vs Time-of-Use: How to Decide
Legacy net metering customers need to decide whether they want to automatically transition to the Bridge Net Metering structure in January 2027 or opt into a Time-Of-Use plan before December 1st, 2026. Here’s a quick guide to help you decide:
| Bridge Net Metering | Time-of-Use | |
|---|---|---|
| Pros | Default option – You’ll be automatically transferred in January 2027
Simple and straightforward – no need to reprogram your battery and no peak hours to memorize Cost-efficient if you don’t have battery storage NMB Benefits are locked in for the remainder of your 15-year interconnection term (If your system went live in 2020, you're on Bridge until January 2036) |
Energy is worth more during peak windows and less off-peak, which rewards you for shifting when you use power
Additional savings potential by avoiding peak rate charges through battery programming More control - Ideal for those who like a more hands-on approach to managing their energy consumption |
| Cons | Excess energy is credited at the avoided-cost rate rather tahn full retail value. | You have to opt in by calling Duke's Renewable Services Center at (866) 233-2290 by December 1, 2026. Makes most sense if you have a battery. |
Which option is right comes down to your situation: whether you have or plan to add battery storage, your overall energy use, whether you own or plan to own an electric vehicle, and your day-to-day habits. We’re happy to take a look at your energy history to give you a recommendation on what’s best.
Don’t forget: Legacy customers who want Time-of-Use must opt in by December 1, 2026. Otherwise, you will automatically move to Bridge Net Metering in January 2027.
Topic 06
Why is Net Metering Changing in NC?
These changes did not appear overnight. They trace back to clean energy legislation passed in 2017 (House Bill 589). In November of 2021, Duke Energy filed a proposed change to North Carolina’s solar net metering policy with the NC Utilities Commission (NCUC), and the Commission approved a version on March 23, 2023.
Advocating for North Carolina Solar
If you know anything about Southern Energy Management, and especially our co-founders, Maria and Bob Kingery, you’ll know that we aim to stand for things, not against.
After initial net metering changes were proposed by Duke Energy, we were joined by 17 other solar companies, including our friends at Sundance Power Systems in asking Governor Cooper and NC Attorney General to help North Carolina stand for:
- Having a 3rd party perform the required study on the value and cost of net metering
- Fair compensation for solar generation
- Supporting local North Carolina clean energy jobs
- Advocating for homeowner pathways to energy independence
- Continuing solar growth to meet North Carolina’s climate goals
You can see our original letter to the governor here.
Our co-founder Bob Kingery, alongside Stew Miller of YES Solar and Dave Hollister of Sundance Power Systems, helped lead the intervention in the NCUC case, and we continue to work with partners like the North Carolina Sustainable Energy Association (NCSEA). The compromise that group negotiated prevented a much steeper cut to the value of solar and built in new consumer protections. It is not everything on our wish list, but it kept solar worth it for North Carolinians.
Common Questions
Do legacy net metering customers need to submit a new interconnection request in 2027?
No. Customers do not need to submit any paperwork or pay any fees for this transition. It will happen automatically.
Do legacy net metering customers need to reprogram their battery for the upcoming changes?
For customers transitioning to Bridge Net Metering, you do not need to change any of your solar or battery settings.
If you are opting into the Time-Of-Use (TOU) plan, we recommend that you update your battery settings. From your battery app, when you go to settings there is an option for “Tariff Settings”. You should see your utility and TOU in the options. A more complete walkthrough coming soon!
Will there be any other changes to net metering in the future?
Once legacy net metering customers transition to Bridge Net Metering, they will stay under this policy for the remainder of the 15 year term from when the original interconnection application was filed. Once those 15 years are up, they’ll automatically be transitioned to the Time-Of-Use program.
For example, if the system’s interconnection date was in 2020, they would stay on Bridge Net Metering until December 31, 2035.
As far as changes beyond the scope of these updates, the North Carolina Utilities Commission (NCUC) is the governing body responsible for approving Duke Energy’s requests. We’ll keep you updated if we see any new changes flow through that process.
What's NExt?
What this Means for You
Duke’s new solar program is a lot to take in, with more than a few caveats and variables to consider. If you’re still on the fence or in the thick of researching what to do, here are some keys to take with you:
- Work with a trusted local solar installer. With the complexity of Duke Energy’s net metering changes, it is as important as ever to work with a local installer who deeply understands the new program and can model your predicted savings so you can make the most informed decisions for your solar journey going forward. Do your homework and make sure you are working with a reputable installer who has firm roots in North Carolina (bonus points if they’re a Certified B Corp 😉).
- Batteries will be increasingly more valuable in North Carolina. Solar + batteries will offer greater energy and financial savings, especially if you’re opting to the TOU route. Learn more about home battery storage in North Carolina so you can reap the benefits.
- And Duke Energy’s PowerPair Incentive Program! See if you’re eligible for up to $9,000 in solar + battery savings with Duke Energy’s PowerPair Incentive Program. There is still some capacity left for Duke Energy Carolinas customers (unfortunately space has filled for Duke Energy Progress).
The simplest way to know which option fits your home is to have us model it. Reach out for a free evaluation and one of our solar designers will walk you through the Bridge vs Time-of-Use choice based on your energy use and goals.
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