If you’ve been researching solar for your home or business in St. Thomas, St. John, or St. Croix, you’ve probably run into the term “net metering.” It’s one of the biggest financial reasons solar makes sense in the territory — but the rules just changed, and a lot of information online is now out of date.
Here’s what net metering actually is, what changed in 2026, and what it means for your solar investment.
Net metering is a billing arrangement between you and the Virgin Islands Water and Power Authority (WAPA). When your solar system produces more electricity than you’re using — which happens often during sunny midday hours — the excess power flows back onto WAPA’s grid. In exchange, you receive a credit on your account that offsets the electricity you pull from the grid at night or on cloudy days.
In simple terms: your solar panels turn your electric meter into a two-way street, and WAPA credits you for what you send back.
For years, net metering in the USVI meant customers were credited at the full retail rate for every kilowatt-hour they exported. That changed under territorial law (12 V.I.C. § 1149).
Here’s the timeline:
If your system is 10 kWac or smaller, nothing changes — you remain on the original net metering structure. Most residential rooftop systems fall into this category, so many homeowners won’t feel the shift directly. Larger residential systems and most commercial installations, however, are now on NEB.
Instead of crediting exported power at the full retail rate, NEB compensates exported energy at 75% of the Levelized Energy Adjustment Clause (LEAC) rate — the portion of your bill tied to fuel costs. WAPA’s stated reasoning is that this reflects both the fuel savings your exported power creates and your continued reliance on the grid for backup power, maintenance, and distribution infrastructure.
Practically, this means exported energy under NEB is worth less than it was under the old program. It doesn’t make solar a bad investment — it changes the math, especially for system sizing and whether pairing your panels with battery storage makes sense.
Not really — it changes how you should design your system. With exported power worth less than it used to be, the priority shifts toward:
This is exactly the kind of decision where working with a local installer who understands WAPA’s process — rather than a generic mainland solar calculator — makes a real difference.
Is net metering still available in the USVI? Yes, for residential systems 10 kWac and under. Larger systems now fall under the Net Energy Billing program instead.
What happened to my old net metering credits? For systems over 10 kWac, all accumulated credit balances reset to zero at the end of 2025 as part of the transition to NEB.
Do I need to reapply if I bought a house with solar already installed? Yes. Net metering and NEB agreements stay with the previous owner’s account, not the property, so new owners must apply for enrollment with WAPA.
Where do I apply for Net Energy Billing? Applications go through WAPA directly, with support available from the VIEnergize Department for transition-related questions.
Whether you’re sizing a new system, adding battery storage, or figuring out which program you fall under, Electric Factory can walk you through the numbers and handle the WAPA paperwork for you. Contact us for a free consultation and let’s build a solar plan that works under the current rules — not last year’s.
