Net Metering by State

What your electric utility actually pays for exported solar power.

Arizona solar export compensation

What Arizona pays for exported rooftop solar power, with the source and the date each figure was checked.

Record verified 2026-09-16 · 17 of 17 fields sourced

Arizona closed retail-rate net metering to new rooftop solar customers in 2018. The Arizona Corporation Commission replaced it with the Resource Comparison Proxy (RCP), a purchase rate derived from a rolling five-year weighted average of what the utility pays for grid-scale solar. The RCP is reset annually for each new tranche of customers and steps down each year, capped at a 10% annual reduction. Exports are metered instantly and credited at the RCP; imports are billed at the customer's retail rate, with no netting between the two. Salt River Project is not regulated by the ACC and runs its own solar price plans. Customers who interconnected before the change keep retail-rate netting for 20 years.

Program details

Compensation mechanismNet billing. Exported energy is purchased at the RCP export rate; there is no netting of imports against exports. Retail-rate net metering is closed to new residential solar customers.
Export rateSet per utility, not statewide. APS: $0.05554/kWh. TEP: $0.0513/kWh, with $0.0462/kWh pending for October 1, 2026. The rate a customer receives is the tranche in effect when they applied to interconnect, locked for 10 years.
Rate effectiveAPS: September 1, 2026 through August 31, 2027 (Tranche 2026). TEP: October 1, 2025 through September 30, 2026, with the next rate effective October 1, 2026.
Credit rolloverYes. A bill credit larger than the customer's monthly bill is applied to the next monthly bill, and to subsequent bills if necessary.
Credit expirationBalances are settled annually rather than forfeited. APS: after the December bill, credits over $25 are refunded by check; smaller balances carry forward to the following year. TEP: on the October bill (September usage), balances over $10 are paid out; smaller balances carry forward.
Annual true-upAPS: annual settlement after the December bill. TEP: annual settlement on the October bill, covering September usage.
Residential system capAPS Rate Rider RCP states no size limit; the generator must be on-site, installed behind the billing meter, and serve the customer's load. TEP Rider-14 limits capacity to 125% of the customer's total connected load, or below the service drop capacity where load data does not exist.
Commercial system capAPS Rate Rider RCP is residential-only. New non-residential solar is served under separate net billing riders: EPR-6 for business net metering, and EPR-2 / E-56R for larger generators, the latter for nameplate capacity at or below 100 kW-ac. TEP Rider-14 covers residential and small general service customers.
Aggregate program capNot yet verified
Program statusOpen to new applicants. Rate Rider RCP and TEP Rider-14 set no enrollment cap or aggregate program limit; the annual tranche step-down is the mechanism that reduces compensation over time.
RegulatorArizona Corporation Commission for APS, Tucson Electric Power, and UniSource Energy Services. Salt River Project is not ACC-regulated and sets its own solar price plans.
DocketACC Decision No. 82122 sets the APS Tranche 2026 RCP. The framework dates to Decision No. 75859 (2017), implemented in Decision No. 76295. TEP's October 1, 2026 rate is pending in ACC Docket No. E-01933A-26-0169.
Governing ruleFPA tariff filings rather than statute: APS Rate Rider RCP (A.C.C. No. 6248, Revision No. 11) and TEP Rider-14 (RCP-PRS). Generators must also meet the Arizona Administrative Code Distributed Generation Interconnection Requirements.
GrandfatheringCustomers who took service before the RCP replaced net metering keep retail-rate netting for 20 years from the date their system was interconnected. Moving from a grandfathered net metering rider to the RCP rider is permitted but one-way: the customer cannot switch back. Increasing system capacity by 10% or 1 kW-ac, whichever is greater, ends the locked RCP rate.
Interconnection applicationAn interconnection application is filed with the utility and the RCP rate is set by the date that application is submitted, not the date the system is switched on. The installation must then be completed and approved within 180 days. Customers need an advanced metering infrastructure (AMI) meter.
Interconnection timelineAPS: installation and approval by the Authority Having Jurisdiction within 180 days of the interconnection application. That extends to 270 days where the delay is caused by a third party or by APS rather than the customer or their installer.
Pending changeTEP's next RCP of $0.0462/kWh is listed as Pending in TEP's Statement of Charges, effective October 1, 2026, subject to ACC approval. TEP applied on May 1, 2026; the Utilities Division filed a Memorandum and Proposed Order on August 27, 2026 and the matter appeared on the ACC's September 10, 2026 Open Meeting agenda.

Rates by utility

State rules set the framework. Individual utilities often pay something different, and where they do the utility tariff governs.

Arizona Public Service (APS)$0.05554/kWh
September 1, 2026 - August 31, 2027
Tranche 2026 RCP under ACC Decision No. 82122. Down 10% from $0.06171 the prior tranche, the maximum annual reduction the framework allows.
Tucson Electric Power (TEP)$0.0513/kWh
October 1, 2025 - September 30, 2026
$0.0462/kWh is listed as Pending for October 1, 2026, subject to ACC approval in Docket No. E-01933A-26-0169.
UniSource Energy Services (UNS)Not yet verified for the 2026 tranche
Set October 1 each year by ACC order
UNS Electric runs its own annual Resource Comparison Proxy tranche under the same ACC framework as APS and TEP. UNS's public RCP page last posted $0.0680/kWh for October 1, 2024 through September 30, 2025; the current rate is published in the UNS Electric Statement of Charges, which we have not yet read for this record. We are leaving the figure unstated rather than carry a stale one forward.
Salt River Project (SRP)$0.0345/kWh fixed, on the Time-of-Use Export plan
May 2026 billing cycle
SRP is not ACC-regulated. The Customer Generation and Average Demand plans use net metering instead. SRP reduced prices by $0.0038/kWh across the board for the May-October 2026 billing cycles due to lower natural gas and market power costs.

Sources read for this record

Keep reading