Southern California Edison · CPUC NEM 3.0
SCE net metering, explained for homeowners.
Net metering under Southern California Edison changed dramatically in April 2023, when the California Public Utilities Commission replaced NEM 2.0 with NEM 3.0 across SCE's territory — the largest utility footprint in Southern California. The headline: the credit you earn for exporting solar to the grid fell roughly 75%, and those export rates now follow an hourly avoided-cost schedule instead of paying full retail. That doesn't end the case for solar — it changes the smart design. The system that pays for itself under SCE today stores your midday production and uses it during the expensive 4-9 PM peak rather than selling it back cheaply. Helios pulls your actual SCE usage, models both solar-only and solar+battery, and the owner signs off on every design.
Southern California Edison
How net metering works on SCE.
Southern California Edison is a CPUC-regulated investor-owned utility, so it operates under NEM 3.0 (formally the Net Billing Tariff) for any system interconnected after April 15, 2023. Under the previous NEM 2.0 rules, exported energy earned roughly the full retail rate. Under NEM 3.0, exports are credited at hourly avoided-cost values that average about 75% lower — and those values swing throughout the day, paying very little midday when solar is abundant and more during the evening ramp.
The practical effect is that the old strategy of oversizing an array to bank credits no longer works well on SCE. Self-consumption is what matters now. SCE residential customers are also typically on time-of-use rate plans where the most expensive hours fall in the 4-9 PM window — exactly when rooftop solar production is fading. Closing that gap is the whole game.
That's why a battery has become central to SCE solar economics rather than an upsell. Storing midday solar and discharging it across the evening peak lets you avoid SCE's highest retail rates instead of exporting for pennies. We model your specific SCE rate schedule and load profile so the numbers reflect your home, not a regional average.
Storage on SCE
Should you add a battery?
On SCE, a battery is close to essential for a healthy return. Because NEM 3.0 pays so little for exported power, solar-only paybacks have stretched to roughly 10-14 years for many homes. Pairing solar with storage — so you self-consume during the 4-9 PM peak instead of exporting cheaply — typically brings that back into the 6-9 year range. In SCE's many High Fire Threat District communities, a battery does double duty: it also keeps your home running automatically during Public Safety Power Shutoffs. We model both scenarios honestly so you can decide, but on SCE the math usually points to storage.
SCE cities we serve.
Helios designs and installs solar across 40 SCE communities in Southern California. Pick your city for local sun hours, fire-zone notes, and a market-specific quote.
Acton
Los Angeles County
Agoura Hills
Los Angeles County
Beaumont
Riverside County
Camarillo
Ventura County
Castaic
Los Angeles County
Chino
San Bernardino County
Chino Hills
San Bernardino County
Claremont
Los Angeles County
Diamond Bar
Los Angeles County
El Monte
Los Angeles County
Fontana
San Bernardino County
Hacienda Heights
Los Angeles County
Hemet
Riverside County
Jurupa Valley
Riverside County
La Crescenta-Montrose
Los Angeles County
Lake Elsinore
Riverside County
Lake Forest
Orange County
Menifee
Riverside County
Murrieta
Riverside County
Oak Park
Ventura County
Ontario
San Bernardino County
Palmdale
Los Angeles County
Palos Verdes Estates
Los Angeles County
Rancho Palos Verdes
Los Angeles County
Redlands
San Bernardino County
San Dimas
Los Angeles County
Santa Clarita
Los Angeles County
Santa Paula
Ventura County
Silverado
Orange County
Simi Valley
Ventura County
Thousand Oaks
Ventura County
Topanga
Los Angeles County
West Covina
Los Angeles County
Westlake Village
Los Angeles County
Yorba Linda
Orange County
Yucaipa
San Bernardino County
Santa Monica
Los Angeles County
Malibu
Los Angeles County
Beverly Hills
Los Angeles County
Culver City
Los Angeles County
SCE net metering questions, answered.
- Does SCE still offer net metering in 2026?
- Yes, but under NEM 3.0 (the Net Billing Tariff), not the older NEM 2.0. Any SCE system interconnected after April 15, 2023 falls under NEM 3.0, which credits exported solar at hourly avoided-cost rates roughly 75% below the old full-retail value. Homeowners already on NEM 2.0 generally keep those terms for their legacy period.
- How much did SCE export credits drop under NEM 3.0?
- Exported energy is now credited at hourly avoided-cost values that average about 75% lower than the retail rate paid under NEM 2.0. The exact credit varies hour by hour — very low during the midday solar surplus and higher during the evening ramp — which is why self-consumption and storage matter so much on SCE.
- Is solar still worth it with SCE under NEM 3.0?
- Yes, especially paired with a battery. SCE's residential rates are high and keep climbing, so offsetting your own usage still pays. The key change is design: instead of exporting for cheap credits, you store midday production and use it during the 4-9 PM peak. We model solar-only and solar+battery for your specific SCE rate so you see the honest difference.
- Can I still get the 30% solar tax credit on an SCE system?
- Not as a homeowner who buys the system — Congress ended the residential 30% credit on December 31, 2025. Our prepaid-lease option (Propel) instead captures the federal commercial clean-energy credit and passes it through as roughly 30% off your cost up front, with you taking title in year 6. We put the structure in writing; we're not tax advisors, so confirm details with yours.
Get a transparent SCE quote.
Free home assessment, no pressure. We model net metering on your exact SCE rate — solar-only and solar+battery — with payback period and every line-item cost.