What changed in Maine: Net Energy Billing after LD 1777
Maine does not use the term net metering. Its mechanism is Net Energy Billing (NEB), set out in 35-A M.R.S. section 3209-A (the kWh credit program) and section 3209-B (the commercial and institutional program, commonly called the tariff rate program). The program grew fast: coverage of the 2025 reform reported Maine distributed generation expanding from 88 MWac in 2019 to 936 MWac in 2025, and ratepayer cost became the central political issue.
The Legislature responded with LD 1777, enacted as Public Law 2025, chapter 430 and effective September 24, 2025. For a commercial owner evaluating a project in 2026, the provisions that matter are these:
- No new front-of-the-meter NEB. After December 31, 2025, the PUC may not allow a utility to enter into a NEB agreement with a generator that is interconnected, or planned to be interconnected, on the utility side of a customer's meter. Standalone "sell the credits to offtakers" projects are closed to new entrants.
- Tariff rate program is collocated only. Since the end of 2023, a new resource can use the commercial tariff rate program only if it is collocated with all of its NEB customers and those customers subscribe to 100 percent of the output. Projects with NEB agreements executed on or before December 31, 2023 are grandfathered on this point.
- Tariff rate formula reset. Through 2025 the rate for most projects equaled the standard offer supply rate plus 75 percent of the effective T&D rate of the smallest commercial class. From January 1, 2026 the rate is fixed at a base (the 2025 rate for resources under 3 MW; the escalating legacy rate for 3 to 5 MW resources) and increases 2.25 percent per year beginning January 1, 2027.
- Size and term. Both NEB programs remain limited to resources under 5 MW, and an eligible tariff rate customer keeps credits for no less than 20 years from first credit.
The PUC publishes the tariff rates annually by utility and rate class. We do not quote a 2026 cents-per-kWh figure here because it depends on the customer's rate class and utility; we pull the currently published rate into the model for each site.
What this means in practice. A Maine project we scope in 2026 is almost always a behind-the-meter system on the customer's own premises. Energy consumed on site avoids the full delivered rate, which is where the value concentrates. Exported kWh are handled under whichever NEB program the project qualifies for, and the model should not assume the pre-2025 economics.