It's in the fine print

Man installs $20,000 solar power system and sells power back to his utility.
They charge him for the power he used from the utility PLUS the power he generated, then they credit him for the power he contributed to the system.
He's still ahead because they pay him more than they charge per kwh, but...
http://www.knoxnews.com/news/2009/may/19/solar-power-plan-gets-heat /
Oh, and this comes from a subsidiary of the TVA, supposedly one of the cheapest providers in the nation.
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wrote:

I admit I have only read it once. It seems they should be neither charging nor paying for electicity that he generates and uses.
OTOH, are they measuring everything he generates, and paying him for all of it, including the portion that he uses, and then billing him for everything he uses, including the part he generates. That would be almost fair. But I have to read it again to see if that is what they are saying.
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mm wrote:

the customer must pay for energy he would have used in his home, and providing electricity to the TVA is counted as using it, so the customer must pay TVA. Sounds deceptive!
The power company agreed to pay him 15 cents but was charging him only 9.3 cents. That was not realistic. The net 5.7 cents he got may have been a fair price. Unless solar electricity coincides with peak demand, it's worth less than wholesale electricity from other sources.
Years ago the town put a meter on a neighbor's well because the mayor decided to bill him for water from his own well. My neighbor had no choice but to pay because it was a tax.
A subsequent administration stopped billing him for his own well water. Lately, the old mayor began spreading the malicious rumor that he's a freeloader who hasn't paid his water bill in years.
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wrote:

I looked at the URL some more and I can't tell what they're saying, and those who comment have different ideas too. I'm surprised the customer is taking it so well, except he had installed everything before he learned of the plan. But others maybe were misled or at least confused, before they invested in solar panels or windmills??

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