Virginia Net Metering Laws & Utility Buyback Explained
Spoke ArticleVirginia1 min readVerified Q1 · 2026

Virginia Net Metering Laws & Utility Buyback Explained

SBI Editorial DeskUpdated Q1 · 20262 sections

Virginia mandates strong net metering policies that protect homeowners and guarantee fair compensation for solar production. If you use major utilities like Dominion Energy or Appalachian Power, understanding net metering is vital to maximizing your savings.

01

How 1:1 Retail Net Metering Works

During bright Virginia summer days, your system will likely generate more power than your home can consume. This excess electricity flows backwards through your meter into the grid. Your utility company is required to credit you for this power at the 1:1 retail rate. You bank these credits during the day and use them to offset your energy consumption at night or during the shorter winter months.

02

The Annual True-Up Cycle

Virginia operates on an annualized net metering cycle. If, at the end of your billing year, you have produced more electricity than you used across the entire 12 months, you have the option to roll those credits forward indefinitely or receive a payment from the utility company. When paired with SREC generation, Virginia's net metering laws ensure your roof becomes an income-producing asset.

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