How Much Does PG&E Pay Back for Solar

Title: How Much Does PG&E Pay Back for Solar? Exploring Solar Incentives and FAQs


As the world embraces renewable energy sources, solar power has emerged as a popular and sustainable option for many homeowners and businesses. In the United States, Pacific Gas and Electric Company (PG&E) is one of the leading utility providers that supports the adoption of solar energy. In this article, we will discuss how much PG&E pays back for solar installations and answer some frequently asked questions regarding solar incentives.

Understanding PG&E’s Solar Incentives:

PG&E offers various solar incentives to encourage customers to install solar energy systems. These incentives aim to offset the costs of purchasing and installing solar panels, making solar energy more accessible and affordable for consumers. The main solar incentive programs provided by PG&E are the Net Energy Metering (NEM) program and the California Solar Initiative (CSI).

1. Net Energy Metering (NEM) Program:

Under the NEM program, PG&E provides credits to customers who generate excess electricity from their solar panels and feed it back into the grid. These credits can be used to offset future electricity bills. The amount credited depends on the excess electricity generated and the current electricity rates, effectively reducing or even eliminating electricity costs for solar customers.

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2. California Solar Initiative (CSI):

The CSI program provides cash incentives for residential and commercial solar installations. The incentive amount is determined by the system size, performance, and other factors. This program is designed to promote the growth of solar energy installations in California and encourage a transition to cleaner energy sources.

Frequently Asked Questions (FAQs):

1. How much does PG&E pay for excess solar energy?

PG&E credits customers for excess solar energy at the retail rate, which is the same rate customers pay for electricity. This means that the value of excess solar energy is equivalent to the cost of electricity you would otherwise purchase from PG&E.

2. Can I receive a check for excess solar energy?

PG&E does not issue checks for excess solar energy. Instead, they provide credits that can be used to offset future electricity bills. If your credits exceed your monthly usage, they can be carried forward.

3. How long do PG&E solar credits last?

PG&E solar credits are carried forward from month to month and have no expiration date. If you generate more energy than you consume during a billing cycle, the excess credits will be carried over to the following month.

4. Can I sell excess solar energy back to PG&E?

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PG&E does not purchase excess solar energy from customers. However, they provide credits for the excess energy, which can significantly reduce your electricity bills.

5. Are there any limitations on the size of the solar system eligible for incentives?

PG&E’s solar incentives are available for both residential and commercial installations. There are no specific size limitations, but the incentives are based on factors such as system size, performance, and location.

6. Are the solar incentives taxable?

The incentives provided by PG&E are generally not taxable income. However, it is recommended to consult a tax professional for specific advice regarding your situation.

7. How can I apply for PG&E solar incentives?

To apply for PG&E solar incentives, you need to work with a licensed solar contractor who will handle the paperwork and coordinate with PG&E. They will guide you through the application process and ensure that you meet all the requirements.


PG&E plays a significant role in promoting solar energy adoption by offering attractive incentives to customers. Through programs like Net Energy Metering and the California Solar Initiative, PG&E provides credits and cash incentives that make solar energy financially viable for both residential and commercial customers. By taking advantage of these incentives, customers can not only reduce their electricity bills but also contribute to a cleaner and more sustainable future.

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