How Your SCE Solar Bill Works Under NEM 3.0
Short version: on SCE's Net Billing Tariff (NEM 3.0), your bill nets the power you pull from the grid against the power your panels send back — but the two are priced very differently. You pay full retail time-of-use rates for imports, while exports earn a time-varying credit usually far below retail. Add SCE's fixed Base Services Charge and an annual true-up, and here's exactly how the statement reads.
Get a free estimate
- On SCE's Net Billing Tariff (NEM 3.0), your bill nets what you pull from the grid against what you send back — but the two are priced very differently.
- Imports cost the full retail time-of-use rate; exports earn a time-varying export credit, usually far below retail — illustratively about 5–8¢/kWh at common midday hours (approximate figures reviewed July 2026; the actual hourly credit varies), with a few late-summer evening hours worth much more.
- You still pay SCE's Base Services Charge (about $24/month standard residential; less on CARE/FERA — approximate figures reviewed July 2026, verify the current SCE tariff and rate plan), plus a monthly minimum, no matter how much solar you make.
- Credits and charges run as a rolling 12-month balance and settle once a year at your true-up — which is why self-consumption and a battery matter so much under NEM 3.0.
How an SCE solar bill actually works
This article is about the statement — how the numbers land on the page each month for a Southern California Edison solar customer. For the policy behind it (why exports pay so little now), start with our parent guide, NEM 3.0 explained for California. Here we stay concrete: what each line means, how solar changes it, and why a bill can still show a balance.
Under SCE's Net Billing Tariff — the tariff commonly called NEM 3.0 — every kilowatt-hour is tracked in one of two directions. Power you pull from the grid (an import) is billed at your full retail time-of-use rate, which changes by hour and season. Power your panels send back to the grid (an export) earns an export credit. The key thing to understand: those two prices are not the same. You buy high and sell low.
The single most valuable kilowatt-hour is the one your panels make and your home uses at the same moment — it never touches the grid, so it offsets a retail-priced import directly. That's why, under NEM 3.0, the game shifts from “send everything to the grid” to “use your own power when you make it.”
The export credit is time-varying — not a flat rate
This is the part most people get wrong. SCE does not pay a fixed cents-per-kWh for your exported solar.
Export credits are set from the CPUC's Avoided Cost Calculator — roughly, what the grid would have paid to get that energy from somewhere else at that exact hour. The value changes by hour, day, and month, producing hundreds of distinct export prices across the year. In plain terms: exporting a kilowatt-hour at noon in spring is worth very little; exporting during a few late-summer evening hours, when the grid is strained, can be worth several times more.
As an illustrative shorthand only: midday exports often land somewhere around 5–8¢/kWh, while the retail rate you pay to import is far higher — SCE residential energy charges commonly run in the mid-20¢ to high-50¢/kWh range depending on time-of-use period and season. Treat those export cents as a rough illustration, not a quoted rate — your actual credit depends on the hour you export. The takeaway is the gap: exports are credited well below what imports cost.
Buy high, sell low
Because imports are retail-priced and exports are credited at a lower avoided-cost value, sending a kilowatt-hour to the grid and buying one back later is a losing trade. Every kilowatt-hour you consume on-site — or store in a battery for the evening — is worth far more than one you export. That single fact drives good NEM 3.0 system design.
Line by line: what's on an SCE solar statement
Here's how the pieces fit together, and what solar does — and doesn't — change on each one.
| Line item | What it is | How solar affects it |
|---|---|---|
| Energy charges (imports) | Grid power you used, priced at your retail time-of-use rate by hour and season | Solar reduces it — most when you use power as you make it |
| Export credits | Excess solar you sent to the grid, valued at a time-varying avoided-cost rate | Solar creates it, but each credit is worth far less than a retail kWh |
| Net energy charge | Imports minus export credits for the month; can be positive, near zero, or a credit | This is where your solar shows up as a monthly balance |
| Base Services Charge | A fixed monthly infrastructure fee (about $24 standard residential) | Solar does not reduce it — you pay it every month |
| Minimum charge | A floor SCE bills if your net charges fall below it | Even a big solar month can't take your bill below the minimum |
| Other charges & taxes | State/local surcharges, taxes, and fees applied per the tariff | Mostly unaffected by solar |
| Running true-up balance | Your net charges/credits carried across the 12-month cycle | Solar builds or draws down this balance all year |
Sources: SCE Net Billing Tariff schedule · SCE Base Services Charge · CPUC Net Billing. Exact line-item names vary by rate plan and statement.
The Base Services Charge & minimum: the bill you always pay
Starting in November 2025, SCE moved some fixed infrastructure costs into a flat monthly Base Services Charge, required under California Assembly Bill 205. For most residential customers that's about $24 per month (roughly $0.80/day); it's lower for income-qualified customers — about $12/month on FERA and about $6/month on CARE (verify your exact figure on your plan, as amounts are adjusted over time). Crucially, this charge is not based on usage, so solar cannot lower it — you pay it even in a month your panels cover all your energy.
Separately, SCE bills a minimum charge if your net energy charges for the month come in under it. Between the Base Services Charge and the minimum, a solar home on SCE essentially always has a floor to its bill. If you expected a $0 bill and didn't get one, this is usually why — more on that in why you still have an electric bill after going solar.
The annual true-up: a running balance that settles once a year
NEM 3.0 doesn't cash you out each month. Instead, your net charges and credits are tracked across a 12-month cycle (SCE calls it your Relevant Period). Months when you export more than you import build a credit that rolls forward; months when you import more add to the balance. You still pay the current month's charges as you go — so you're not blindsided — but the surplus side isn't settled until your annual true-up date.
At true-up, SCE tallies the full year. If you came out a net importer, the remaining balance is due. If you produced a net surplus over the whole year, you're paid Net Surplus Compensation at a market-based rate — typically just a few cents per kWh, well below retail. That low surplus rate is the reason it rarely pays to oversize a system to bank exports: extra summer production you can't use yourself is worth very little by the time true-up arrives.
An illustrative monthly example
Numbers below are an illustrative scenario to show how the netting reads — not a quote or a prediction. Assumptions are stated so you can see the mechanics, not memorize the figures.
| Item | Amount |
|---|---|
| Grid imports billed at retail TOU (illustrative) | $95.00 |
| Solar exports: 300 kWh × ~7¢ avoided-cost credit (illustrative) | –$21.00 |
| Net energy charge for the month | $74.00 |
| Base Services Charge (standard residential) | $24.15 |
| Illustrative monthly total before taxes & surcharges | ~$98 |
Assumptions: hypothetical SCE residential TOU home; 300 kWh exported at an illustrative ~7¢/kWh midday credit; retail import charge shown as a round figure. Actual imports, export hours/credits, taxes, and surcharges vary. Purely to show how imports, exports, and the fixed charge combine — not a bill estimate.
Notice what the example shows: even though exports knocked $21 off, the home still owes a meaningful amount — because imports are retail-priced, exports are credited low, and the Base Services Charge sits on top. Shift more of that usage to when the sun is up, or store it in a battery, and the retail-priced import number — the big one — shrinks.
Why self-consumption & a battery matter under NEM 3.0
Because exporting pays little and importing costs a lot, the winning move is to keep your solar energy on your side of the meter.
Use power when you make it
Running the pool pump, EV charging, laundry, and pre-cooling during daytime solar hours turns would-be low-value exports into retail-value savings.
Store the surplus
A battery soaks up midday solar and discharges it into the expensive evening peak, so you import less at the priciest hours instead of exporting cheap at noon.
Cover the peak, not the meter
Under NEM 3.0 the target isn't a spinning-backward meter — it's avoiding retail imports during your TOU peak, where the savings are largest.
Right-size, don't oversize
Because annual net surplus pays only a few cents, a system sized to your own use usually beats one built to bank big exports.
Batteries add resilience too
Beyond bill math, storage keeps essentials on during a PSPS or outage — and may qualify for SGIP incentives when budgets are open.
Know your rate plan
Which TOU plan you're on changes when imports are cheap or costly — compare options in our SCE TOU plans guide before locking in.
None of this means solar stops making sense on SCE — retail rates are high, so offsetting imports is valuable. It means the design goal changed: match production and storage to your own usage pattern, rather than counting on generous export credits. For the wider context on SCE rates, see electricity rates in Los Angeles.
Not sure how your SCE bill will look after solar?
We'll walk through your actual SCE statement and TOU plan, model self-consumption with and without a battery, and show you an honest monthly and true-up picture — no dealer-fee games. Call +1-323-844-7777 or get a free estimate.
Frequently asked
How does SCE bill solar customers under NEM 3.0?
On SCE's Net Billing Tariff, each month SCE prices your grid imports and your solar exports separately — imports at your full retail time-of-use rate, exports at the applicable hourly Energy Export Credit price (an avoided-cost value, usually far below retail). The resulting dollar credits offset eligible energy charges over the Relevant Period rather than cancelling kWh one-for-one. You also pay a fixed Base Services Charge (about $24/month standard residential) and a monthly minimum. Current energy charges can still be billed through the year; the annual true-up mainly determines how any remaining credits and net-surplus energy are handled at year end.
How much does SCE pay for exported solar under NEM 3.0?
There's no flat rate — exports are credited at a time-varying avoided-cost value that changes by hour, day, and month. As an illustration only, common midday exports often land around 5–8¢/kWh, while a few late-summer evening hours are worth much more. Either way it's well below the retail rate you pay to import, which is why using your own solar on-site is worth far more than exporting it.
What is the SCE Base Services Charge and can solar remove it?
It's a fixed monthly infrastructure fee SCE began in November 2025 under California Assembly Bill 205 — about $24/month for standard residential customers, roughly $12 on FERA and $6 on CARE (verify your current figure). Because it isn't based on usage, solar can't lower it. You'll pay it every month even if your panels cover all your energy.
What is a solar true-up on SCE?
The true-up is SCE's annual settlement of your solar account. Over a 12-month cycle (your “Relevant Period”), monthly net charges and credits are tracked and credits roll forward. You still pay current charges monthly, but the surplus side isn't settled until true-up. If you're a net importer for the year, the balance is due; if you produced a net surplus, you're paid a low market-based Net Surplus Compensation rate.
Why do I still get an SCE bill every month after going solar?
Two reasons build a floor under your bill: the fixed Base Services Charge (about $24/month) and a minimum charge — neither of which solar reduces. On top of that, any grid imports at hours your panels weren't covering are retail-priced. See why you still have a bill after solar for the full breakdown.
Does a battery help on SCE's NEM 3.0 bill?
Often, yes. Because exports are credited low and evening imports are expensive, a battery lets you store midday solar and use it during the peak instead of exporting it cheaply. That cuts retail-priced imports — the largest part of most bills — and adds backup power during outages. Whether it pencils out depends on your usage, rate plan, and battery cost.
Related reading
See your real SCE solar numbers
Send us your SCE bill and rate plan and we'll show you an honest month-to-month and true-up picture — with and without a battery. No dealer fees, no pressure.
Get a free estimatePrepared by Cali Energy, August 2026. This article is for general educational purposes only and is not legal, tax, financial, engineering, or utility advice. Rates, incentives, codes, permit requirements, equipment specifications, prices, and program terms may change; figures and timelines are estimates, not guarantees. Confirm current requirements with the applicable utility, AHJ, program administrator, manufacturer, or a licensed professional. See our Content Disclaimer. Cali Energy · 19201 Parthenia St Unit E, Northridge, CA 91324 · CSLB #1032379 (B, C-10, C-39)