Storage & energy management
Industry Term

NEM 3.0

NEM 3.0 is California’s updated net billing framework that changed how exported solar energy is compensated for many new residential solar customers.
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What does NEM 3.0 mean?

NEM 3.0 is California’s updated net billing framework that changed how exported solar energy is compensated for many new residential solar customers.

Why did NEM 3.0 make batteries more important?

Under lower export compensation, storing solar for later use can be more valuable than exporting it at midday. That makes battery efficiency, control, and system architecture more important to project economics.

How it relates to Tigo

Tigo’s Microinverter Tax content uses NEM-style export changes as an example of why batteries and efficient DC-coupled designs matter.

Related glossary terms

  • Export Rate
  • Solar Export Value
  • Time-of-Use Rates
  • Load Shifting