Net Metering by State

What your electric utility actually pays for exported solar power.

South Dakota solar export compensation

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

Record verified 2026-09-16 · 8 of 17 fields sourced

What does your utility pay?

No single rate — formula based

No net-metering rate. Xcel says net metering is not available in South Dakota; qualifying facilities of 100 kW or less are paid under Section 9 of Xcel's South Dakota Electric Rate Book (Occasional Delivery Energy Service and Time of Delivery Energy Service tariffs), which the SD PUC revised effective January 1, 2026 in docket EL25-025.

Xcel Energy (South Dakota) · South Dakota

Effective Xcel's approved tariff revisions are effective for services rendered on and after January 1, 2026.

The SD PUC order in docket EL25-025 grants Xcel's Section 9 tariff revisions effective for service on and after January 1, 2026; the tariff sheets themselves are not reproduced in the order. Xcel's own South Dakota page states that net metering is not available there, but that page is JavaScript-rendered and cannot support a verbatim quote.

Source: puc.sd.gov

Full Xcel Energy (South Dakota) detail →

South Dakota has no statewide net-metering rate: the South Dakota Public Utilities Commission says the state does not compensate solar generation at a net-metered rate. For utilities within PUC jurisdiction, small solar facilities are compensated through utility-specific avoided-cost or small-power-producer tariffs, not a single statewide retail-credit program. The PUC says facilities under 100 kW have filed purchase rates, while utilities and rural cooperatives maintain their own terms. Xcel says net metering is unavailable in South Dakota and directs systems under 100 kW to its Section 9 tariff. Otter Tail's current Section 12.01 tariff, effective April 1, 2026, lists $0.04571/kWh base avoided costs plus a $0.00300/kWh solar REC payment for qualifying facilities not exceeding 100 kW.

Program details

Compensation mechanismSouth Dakota uses utility-specific avoided-cost or small-power-producer purchase arrangements rather than statewide net metering. The PUC says regulated utilities must interconnect with and purchase power from small solar facilities, and the minimum is avoided cost.
Export rateThere is no single statewide export rate. The PUC says South Dakota does not compensate solar generation at a net metered rate; compensation is set in utility filings. For Otter Tail Section 12.01, the 2026 base avoided-cost energy credit is $0.04571 per kWh plus a $0.00300 per kWh solar renewable-energy-credit payment.
Rate effectiveOtter Tail's Section 12.01 tariff is effective with bills rendered on and after April 1, 2026 in South Dakota. Xcel's approved tariff revisions are effective for services rendered on and after January 1, 2026.
Credit rolloverNot yet verified
Credit expirationNot yet verified
Annual true-upNot yet verified
Residential system capNot yet verified
Commercial system capNot yet verified
Aggregate program capNot yet verified
Program statusSouth Dakota does not compensate solar generation at a net metered rate; there is no statewide net-metering credit framework in the PUC's FAQ.
RegulatorSouth Dakota Public Utilities Commission. The PUC regulates small-generator interconnection practices and the price solar generators receive for excess generation for utilities within its jurisdiction.
DocketUtility-specific current tariff approvals include Otter Tail Docket No. EL26-001 and Xcel Docket EL25-025.
Governing ruleSDCL 49-34A-108 requires each electric utility to file minimum purchase rates for renewable electricity from a small renewable power facility with capacity of 100 kilowatts or less; PUC rules also govern small-generator interconnection.
GrandfatheringNot yet verified
Interconnection applicationOtter Tail requires the customer, before installation, to complete its interconnection process and the Interconnection Agreement for Small Generator Facility Tier 1, Tier 2, Tier 3 or Tier 4 Interconnection under ARSD chapter 20:10:36.
Interconnection timelineNot yet verified
Pending changeNot yet verified

Rates by utility

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

Xcel Energy (South Dakota)No net-metering rate. Xcel says net metering is not available in South Dakota; qualifying facilities of 100 kW or less are paid under Section 9 of Xcel's South Dakota Electric Rate Book (Occasional Delivery Energy Service and Time of Delivery Energy Service tariffs), which the SD PUC revised effective January 1, 2026 in docket EL25-025.
Xcel's approved tariff revisions are effective for services rendered on and after January 1, 2026.
The SD PUC order in docket EL25-025 grants Xcel's Section 9 tariff revisions effective for service on and after January 1, 2026; the tariff sheets themselves are not reproduced in the order. Xcel's own South Dakota page states that net metering is not available there, but that page is JavaScript-rendered and cannot support a verbatim quote.
Otter Tail Power Company (South Dakota)$0.04571 per kWh base avoided costs plus $0.00300 per kWh solar renewable energy credit for Section 12.01 qualifying facilities not exceeding 100 kW.
Effective with bills rendered on and after April 1, 2026, in South Dakota.
Section 12.01 says the customer is compensated monthly for all energy received from the small qualifying facility less the customer charge; the payment schedule is subject to annual review. Section 12.03 provides separate dependable-service seasonal avoided-cost payments.

Sources read for this record

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