Pepco Net Metering 2025: Your Clear, No-Nonsense Guide to Solar Credits in Maryland & D.C.
When you install solar, one of the biggest benefits is seeing your utility bill shrink — sometimes to almost nothing. That’s the power of net metering, the policy that allows you to earn credits when your solar system produces more electricity than you use.
For Pepco customers in Maryland and Washington, D.C., net metering remains strong in 2025, with favorable rules, flexible crediting, and clear protections for homeowners and businesses. Below, we break everything down in a simple, homeowner-friendly way — no utility jargon.
This guide is based on the most current regulatory information from Pepco, the Maryland PSC, and the D.C. PSC.
What Is Net Metering — and Why Does It Matter?
Net metering allows solar customers to:
- Use the power their system produces in real time
- Send any extra power back to the grid
- Earn full-value or near-full-value credits toward future bills
- Roll credits over month-to-month to offset low-production seasons
Pepco installs a bidirectional meter that measures electricity flowing in both directions. At the end of each billing cycle, you're billed only for your net use — consumption minus production. If you produced more than you consumed, you bank credits for later.
In short: solar offsets your annual usage, and net metering ensures you’re credited fairly for every kilowatt-hour.
Net Metering in Maryland (2025)
Maryland maintains a strong, consumer-friendly net metering program — and it’s still open for enrollment.
Who’s Eligible?
- Homeowners, renters (with agreement), businesses, nonprofits, and government customers
- Solar, wind, biomass, fuel cells, micro-CHP, small hydro
- Systems up to 2 MW
Maryland allows systems to be sized up to 200% of your previous year’s usage, giving homeowners room for EV charging or future electrification.
How Your Credits Work
- Monthly excess generation earns full retail-rate credits
- Credits roll forward to future bills
- No special fees, no standby charges
- Annual April “true-up”: leftover yearly credits paid out at the wholesale/commodity rate
- NEW: Customers may opt to roll credits over indefinitely instead of taking the annual payout.
Program Status
Maryland’s cap is currently 3,000 MW statewide, and as of 2025 the cap has not been reached.
Net Metering in Washington, D.C. (2025)
Washington, D.C. offers one of the strongest net metering environments in the U.S.
Who’s Eligible?
- All Pepco D.C. customers
- Solar, wind, fuel cells, microturbines, biomass
- Systems up to 1 MW
No statewide cap exists in D.C. — the District continues to encourage as much solar as possible.
System Sizing
As of 2024, customers may size systems up to 200% of annual usage, giving plenty of room for future electrification.
How Credits Work
- Monthly excess exported energy earns full retail-rate credits for systems 100 kW or smaller
- Systems over 100 kW earn credits at the generation-only rate
- Credits roll over indefinitely — no annual reset
- Credits reduce usage-based charges but not fixed customer fees
Community Solar
D.C. has a robust Community Renewable Energy Facility (CREF) program—shared community solar that also nets credits monthly with no expiration.
Pepco Interconnection: What to Expect
Going solar means connecting your system to Pepco’s grid through their My Green Power Connection portal. Here’s the simplified timeline:
- Installer submits application
- Homeowner signs off in the Pepco portal
- Pepco reviews and issues Authorization to Install
- System is built and inspected
- Pepco installs bidirectional meter
- Pepco issues Permission to Operate (PTO)
Typical timelines:
- Maryland: 4–8 weeks
- D.C.: 8–12+ weeks (regulators are enforcing improved timelines in 2025)
Application fees vary by size and jurisdiction, but most Maryland homeowners (systems under 10 kW) pay no fee.
2025 Updates You Should Know
- Maryland now allows indefinite credit rollover (optional)
- Maryland’s cap increased to 3,000 MW and is expected to rise
- D.C. system oversizing up to 200% of annual usage now fully in effect
- D.C. PSC is improving Pepco timeline enforcement
- Community solar credit timing updates underway in D.C.
Why All This Matters for Homeowners
When paired with Pepco’s strong net metering rules, solar becomes one of the most predictable and financially rewarding upgrades you can make to your home. Clear, consistent credits mean:
- Lower utility bills
- Faster solar payback
- Protection against rising electricity rates
- Long-term savings you can count on
This is exactly why City Renewables was founded — to help homeowners and businesses take advantage of solar without the confusion.
Ready to Make the Switch to Solar?
City Renewables handles everything: system design, permits, interconnection, SREC enrollment, and utility approvals. We make going solar simple, transparent, and stress-free.
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