Solar and Storage Rate

The Solar and Storage Rate (SSR) is for all residential, commercial and agricultural solar and/or solar and battery storage customers approved to install solar or battery storage on or after March 1, 2022.

Our standard rate for residential customers remains the Time-of-Day (5-8 p.m.) Rate, and that does not change with the addition of the SSR. This is also true for commercial and agricultural customers. However, commercial customer rates are based on demand and service voltage, while agricultural customers may elect to be on a non-Time-of-Day Rate, or an optional Time-of-Day Rate based on their demand.

SSR is just an additional component to our Time-of-Day Rate that allows compensation and incentives that are specific to customers with solar, solar and storage or storage only installed at their home or business.

As a community-owned, not-for-profit electric service, we're not governed by the California Public Utilities Commission (CPUC). Our Board sets policy and rates for SMUD customers and any proposed changes by the CPUC would not impact our rates.

Excess electricity rate

Effective March 1, 2022, excess electricity generated by customers on the Solar and Storage Rate for power they do not use or store in their battery can be sold back to SMUD at a rate of 7.4¢/kWh, no matter the time of day or season.

Interconnection information

Along with SSR, there is a one-time fee to connect new solar systems to SMUD’s grid to recover the cost of providing interconnection service.

Learn about interconnection

Frequently asked questions

 

Solar customers on the original Net Energy Metering (NEM) rate may remain on that rate through 2030. This includes all customers adding solar who were approved by SMUD to install solar or battery storage before March 1, 2022.

Customers on the NEM rate have the option to take advantage of incentives to add battery storage. Customers who add battery storage will be placed on the Solar and Storage Rate.

Customers moving to a property with solar will be placed on the Solar and Storage Rate whether they had solar at a previous property or not.

Residential customers remain on the Time-of-Day (5-8 p.m.) Rate under the Solar and Storage Rate option and are compensated for energy sent back to the grid at 7.4 cents per kWh, regardless of the time of day or season.

Changes in customers' bills may vary depending on when and how they use electricity. Customers can lower their bills by shifting energy use away from peak hours (5 PM to 8 PM) when power costs more.

If there is a credit for energy sent back to SMUD, it will be used to offset electricity usage charges and any remaining credit will carry over to subsequent bills.

Current solar customers on the NEM rate that want to add battery storage can remain on the NEM rate (until December 31, 2030) but will NOT be eligible for the My Energy Optimizer Partner+ incentives. However, if a customer transitions to the Solar and Storage Rate (SSR), they will be eligible to participate in the program and receive incentives. In addition, for existing NEM customers, if the system size is increased by more than 10% of generating capacity originally approved, or 1 kW, whichever is greater, or exceeds 110% of generating capacity originally approved, they must move to the SSR rate schedule and submit a new Interconnection application.