Net Energy Metering (NEM) Programs Overview


This is the most common program, which is for a solar system(s) serving one meter. Excess energy returned to SDG&E during the day can be taken back at times when your system is not generating such as at nighttime.  These customers will have an option of the NEM or NEM-ST tariff, depending on whether they connected their system before or after SDG&E reached the NEM Cap.  Customers taking service under the NEM-ST tariff will pay a one-time, non-refundable fee of $132 and are subject to non-bypassable charges on the electricity delivered by SDG&E.

This fee does not apply to Qualified Customers under NEM-V-ST and VNM-A-ST or NEM Aggregated Accounts under NEM-ST

NEM Aggregation

This program allows multiple meters in the same customer name on adjacent properties to share generation from one system. This can be done through the Billing Account Method or the Generation Output Method (NGOM).

Under the Billing Account Method, the customer allocates excess generation to other accounts. The generation is behind one meter. Excess generation is used to offset usage on adjoining meters.

Under the NGOM, the customer pays for SDG&E to purchase and install a generation output meter ($900- $3,000) and energy is shared with each eligible account. The generation goes to the grid and does not directly serve any load. The NGOM location needs to be approved before submitting your application. Please contact Customer Generation at or call 858-636-5585 for consultation.  

Virtual Net Metering (NEM-V and NEM-V-ST)

This program is for multiple meters at the same location to share the generation from a solar system. This program requires that you pay for SDG&E to purchase a generation output meter. ($900-$3,000) You determine by percentage how much energy is providing to each participating meter. This program is for residential and commercial customers. The meters do not need to be in the same customer name. 

Virtual Net Metering (VNM-A and VNM-A-ST)

This program is for residential apartment complexes that meet the definition for low income. This program allows tenants and common area use to share generation from one or more systems. Generation output meters are required, which can cost $900 to $3,000. The tenants do not need to share the same service delivery points. Generation does not serve load, but goes directly out to the grid.

NEM Informational Matrix

An informational matrix of the Virtual NEM and NEM Aggregation tariffs has been prepared as a quick comparison of the above NEM tariffs for public convenience only. Please refer to SDG&E’s tariffs posted on the SDG&E website for the most current and accurate information.

NEM Aggregation and Virtual NEM Checklist

A general informational checklist listing the major steps required to process the above NEM tariff programs has been prepared as a public convenience only. Please contact to ensure the most current information. 

NEM for Fuel Cells

NEM-FC is net metering for accounts served by fuel cells. The energy used by the fuel cells to produce electricity is not required to be renewable.


Allows local governments to share generation across their area of jurisdiction between accounts in their name. These local government customers should start with their Account Executive if they are interested in this program.