This FAQ breaks down the key concepts behind NEM 3.0, how often rates are updated, how Solargraf keeps its rate files current, and what this means for system design, monthly savings, and battery integration.

What is the NEM 3.0 tariff?

NEM 3.0 is the current Net Energy Metering (NEM) policy in California. It’s a hybrid system that combines aspects of both traditional net metering and a feed-in tariff. Under NEM 3.0, the rates for energy imported from and exported to the grid are different, and export rates are determined hourly based on historical grid demand patterns.

How often are NEM 3.0 rates updated?

The export rate schedule is published for 25 years, but the values are reviewed and updated every two years. Solargraf ensures its platform always reflects the most recent rate updates, currently aligned with the 2025 published rates. The next update is planned once the 2027 rates are released.

How does Solargraf keep rate files current?

Solargraf regularly uploads official published rate files, which include 8,760 hourly export values (one for every hour of the year) for each utility area. This ensures that calculations within the platform always use the latest available data.

How are import and export values calculated in Solargraf?

For each hour of the billing cycle:

• Imported energy is multiplied by the hourly buy rate.

• Exported energy is multiplied by the hourly sell rate.
  At the end of each month, Solargraf nets these amounts to determine whether the customer owes money or earns credits. Any credits are carried forward and applied to future bills.

Does Solargraf support separate generation and delivery charges?

Yes. Both buy and sell rates are divided into generation and delivery components. Credits for each portion are tracked and applied independently, matching how utilities handle billing under NEM 3.0 requirements.

How does NEM 3.0 affect battery storage use?

NEM 3.0’s rate structure strongly incentivizes battery integration. In certain months—especially in high-demand periods like August—export rates can exceed import rates during peak hours. This makes it financially advantageous for customers to store excess solar energy in batteries and export it during those peak times to maximize credits.