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Virtual Net Metering (VNM)

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Definition:
An energy billing system that allows multiple consumers to share the benefits of a single solar or renewable energy system, even if they are not physically located at the installation site.

Key Components:

  • Virtual Energy Credit Allocation: Consumers receive credit on utility bills for shared solar.
  • Centralized Solar Generation: A single renewable installation serves multiple users.
  • Regulatory & Policy Frameworks: Varies by region and utility company.
  • Multi-Tenant & Community Participation: Supports apartment buildings, businesses, and neighborhoods.

Use Cases/Industries:

  • Multi-Family Residential Buildings: Tenants share solar power from a rooftop array.
  • Community Solar Programs: Homeowners benefit from off-site solar farms.
  • Commercial & Industrial Parks: Multiple businesses utilizing a common solar facility.

Advantages:

  • Expands Renewable Energy Access: Enables those without rooftops to use solar power.
  • Improves Cost Savings: Reduces individual electricity bills through shared solar credits.
  • Encourages Sustainability in Urban Areas: Promotes large-scale solar adoption in dense cities.

Challenges:

  • Regulatory Hurdles: Not available in all regions.
  • Complexity in Billing & Credit Allocation: Requires advanced metering and tracking systems.

Related Terms:
Community Renewable Energy, Aggregated Solar Generation, Shared Renewable Credits

Example:
A New York apartment complex implemented virtual net metering, allowing tenants to share solar power and collectively save $10,000 annually on electricity bills.

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Synonyms:
Community Solar Billing, Remote Net Metering, Shared Energy Credits
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