Net Billing
You can install solar, wind, or other renewable energy systems up to 1 megawatt on your Indiana property and receive bill credits for excess electricity you send to the grid at 1.25 times the locational marginal price, with credits rolling over month to month indefinitely. To get started, work with your utility to sign an interconnection agreement and ensure your system meets Indiana's interconnection standards—the utility cannot charge you fees for metering, inspection, or requesting net metering eligibility.
Indiana's net billing program allows you to serve residential, commercial, agricultural, and institutional customers installing renewable systems up to 1 megawatt, with no aggregate statewide capacity cap. Your customer's excess generation is compensated at 1.25 times the locational marginal price each month, and you must ensure the system complies with Indiana's interconnection standards (170 IAC 4-4.3) before grid connection; utilities handle metering at no charge to the customer.
Indiana's net metering rules, revised under Senate Bill 309 (2017), require investor-owned utilities to credit distributed generation exports at 1.25 times the locational marginal price with indefinite monthly rollover, eliminating the previous 1.5% aggregate capacity cap. Facilities must be ≤1 megawatt and use wind, solar, hydro, fuel cells, hydrogen, or biomass; interconnection agreements are mandatory, and utilities bear metering costs for single-phase systems, applying statewide across residential, commercial, agricultural, nonprofit, and government sectors.
Program details
- Program ID
- 342
- Effective
- 9/1/2004
- Last updated
- 3/3/2026
Eligibility
- Sectors
- commercial industrial local government nonprofit residential schools state government federal government agricultural multifamily residential institutional
- Technologies
- solar thermal electric solar photovoltaics wind (all) biomass hydroelectric hydrogen fuel cells using non-renewable fuels wind (small) hydroelectric (small) fuel cells using renewable fuels
Program summary
The Indiana Utility Regulatory Commission (IURC) adopted rules for net metering in September 2004, requiring the state's investor-owned utilities (IOUs) to offer net metering to all electric customers. Senate Bill 309, signed into law in May 2017, changed Indiana's compensation system for distributed generation, including an eventual phaseout of retail rate net metering. Each investor-owned utility went through a regulatory process with the Indiana Utility Regulatory Commission to establish revised rules.
Eligible Resources and System Size
Facilities with a maximum capacity of 1 megawatt (MW) are eligible for net metering. Eligible net metering energy resources include wind, solar, hydro, fuel cells, hydrogen, organic waste biomass and dedicated crops powered generation.
Aggregate Cap
The previous net metering rules had an aggregate capacity limit of 1.5% of each utility's most recent summer peak load, but the new rules do not have an aggregate capacity limit.
Net Excess Generation (NEG)
Production and consumption of electricity are netter instantaneously, and any excess electricity exported to the grid will be credited to the customer's next monthly bill based on 1.25 * the locational marginal price (LMP) for the applicable utility. NEG credits rollover indefinitely. If a customer elects to cease net metering, any unused credit will revert to the utility.
Interconnection
An interconnection agreement between the utility and the customer must be executed before the facility may be interconnected. Net-metered systems must comply with Indiana's interconnection standards (170 IAC 4-4.3).
Metering
Either a single meter or a dual-meter arrangement may be used. Utilities may not charge customers any fees for additional metering for single-phase configurations installed by the utility, for customers' requests to net meter, or for an initial net-metering facility inspection.
Contact & resources
- Additional resources
Please verify current program details with the administering agency before making any financial decisions.
