For a long time, one-to-one net metering was one of the key drivers of the residential solar industry. Every kilowatt-hour of solar electricity generated during the day that you didn’t use would offset one kilowatt-hour you might use from your utility at night. If you never used any of the energy your solar panels generated, it didn’t actually matter, since it was credited to you as if you used it all.
Some utilities that offer net metering are switching to a system with smaller credits, often called net billing. California’s big utilities did in 2023, and, in 2025, Illinois’ are following suit and switching to supply-only net metering. If you’re considering solar or already have solar panels on your home, what do the changes mean for you? Those answers and more below.
What Changes Are Happening to Illinois Net Metering?
Net metering at the full retail rate is going away in ComEd, Ameren, and MidAmerican utility territories for residential solar projects granted permission to operate (PTO) after December 31, 2024. Projects that miss that deadline will fall under the new supply-only net metering system.
Customers with supply-only net metering will still avoid buying energy at the full retail rate for solar produced and immediately consumed in the home. Every kilowatt-hour they send back to their utility will earn them credits that match the supply charges from their utility, but not for the delivery charges. Electric bills will still include charges not related to the amount of electricity you use, such as the customer and meter charges.
For example, under net metering, if your solar system sends 200 kWhs of electricity to the grid in a month and you purchase 300 kWhs from your utility, you pay for the 100 kWhs that make up the difference. Under supply-only net metering you would be billed for the 300 kWhs you get from your utility, and also receive credits equal to the supply charge for 200 kWh.
Over the last year, ComEd’s electric rate was about $.143/kWh. Over that same time, supply-only net metering credits would have been worth about $.068/kWh. For Ameren, the full retail rate was about $.145/kWh. New supply-only net metering credits would have been worth about $.08/kWh.
What do credits cover under Illinois net metering and net billing?
| Net metering (through 2024) | Net billing (beginning 2025) | |
|---|---|---|
| Supply | Yes | Yes |
| Delivery | Yes | No |
| Set fees and charges | Yes | No |
Will Net Metering Change if I Already Have Solar Panels?
No. People with net metering already in place or in place before the deadline will still receive net metering benefits for the life of the system. If you move, net metering will stay with the premise and the new homeowner will also receive net metering. If you make significant changes to your system, you may get bumped from net metering to net billing.
For Ameren, doubling your solar system’s capacity will push you into the new net billing system. According to Illinois Shines, also known as the Adjustable Block Program, any changes that require a new permission to operate from the utility will bump ComEd customers from net metering to supply-only net metering. ComEd hasn’t yet confirmed this policy.
What Is the Deadline to Get Net Metering in Illinois?
The deadline to lock in net metering is December 31, 2024. If your system has received PTO by that point, you have net metering locked in for the life of the system, unless you make any of the changes outlined above.
Because PTO requires filling out and reviewing documents, it’s impossible to guarantee when PTO will occur, but the utilities have offered some guidance.
ComEd says (PDF) that Customers must have submitted a Certificate of Completion and Witness Test Request by 5 p.m. on December 13, 2024. That will give the utility time to review your requests, though if there are errors or missing information in those documents, you’ll need to resubmit them before the deadline to guarantee review.
Ameren requires the necessary documentation before 5 pm on December 31, 2024, though if there are errors or missing information, the same caveat applies.
Note: Messaging from the utilities and Illinois government agencies sometimes differ on the timeline. Illinois solar installers are doing all they can to work with the electric utilities and ensure deadlines are met as quickly as possible. Please be aware that no one can guarantee PTO before the end of the year.
Is Going Solar Still Worth It in Illinois?
Knowing whether solar panels are worth it is always best decided with a look at your own circumstances. Still, there are a lot of reasons to go solar in Illinois.
Illinois’ Adjustable Block Program, also known as Illinois Shines, gives owners of new solar systems the option to receive an upfront payment for the solar renewable energy credits, or SRECs, their system is projected to generate. At current incentive rates, a system in ComEd territory expected to produce an average of 5 SRECs per year may be eligible for a net incentive of $6,500. The upcoming change to net metering does not impact Illinois Shines eligibility.
Illinois also has an additional rebate for solar panel installations with smart inverters attached. The incentive is $300/kW (direct current), and requires you aren’t participating in retail rate net metering. If the system has a battery attached, it can qualify for another rebate of $300/kWh. For a 10 kilowatt solar array with a battery with a 10 kilowatt-hour capacity, solar owners could earn $6,000 in rebates, not including the Illinois Shines incentive.
If you're leasing your panels, the leasing company can claim the above incentives and pass the savings along to you in the form of lower lease pricing.
If you’re interested in going solar in Illinois, see how much you can save with Palmetto’s solar savings calculator or reach out to a solar advisor today. Whether you’re interested in buying panels, or going solar with the LightReach Energy Plan, Palmetto has an option for you.
Net metering is changing in Illinois, but it doesn’t mean solar is going anywhere. With strong incentives and a statewide commitment to renewable energy, now could be the time to make the switch.
Illinois Net Metering FAQs
Is net metering going away in Illinois?
The way solar panels earn you credits on your electricity bill is changing. Starting in 2025, credits will apply to the supply charges on your bill, but not delivery charges.
What is the deadline to get retail net metering in Illinois?
The new system goes into effect for systems that get permission to operate after December 31, 2024. The utilities affected have set deadlines for submitting necessary paperwork.
Disclaimer: This content is for educational purposes only. Palmetto does not provide tax, legal, or accounting advice. Please consult your own tax, legal, and accounting advisors.
Andrew BlokWriter and EditorAndrew has worked as a journalist and writer for four years, over half of those dedicated to covering solar. He currently lives in Tucson, AZ, where you might run into him walking his dog and birding while dodging the heat. He has degrees in English education and journalism.
