The DPU Just Opened an Investigation Into Net Metering—Here's What's at Stake

On December 15, 2025, the Massachusetts Department of Public Utilities (DPU) filed an order that should concern every Western Massachusetts homeowner considering solar.

In docket D.P.U. 25-200, the DPU announced it will investigate "reductions to the value of the net metering credit" and compare Massachusetts net metering rates to other jurisdictions that "offer lower compensation."

This isn't theoretical. This is an active regulatory proceeding with comment deadlines in March and April 2026.

If you've been considering residential solar in Massachusetts, the window to lock in today's solar economics is closing faster than I expected.

We Keep Adapting—Because We Have To

A few weeks back, I told you we launched a new fixed-rate energy plan with Palmetto LightReach. That wasn't because we wanted to change our business model. It was because interest rates spiked, and sticking exclusively to cash and local loans was leaving too many Western Massachusetts families behind.

That was about financing. This is different.

The DPU order isn't about how you pay for solar. It's about whether solar still makes financial sense at all under a restructured net metering system.

And based on what happened in California and Illinois, the stakes are enormous.

What Is Net Metering in Massachusetts?

Net metering is the financial backbone that makes residential solar work in Massachusetts. It's the policy that allows homeowners with solar panels to receive credits for excess electricity sent back to the grid.

Here's how Massachusetts net metering works: when your solar array produces more electricity than you're using—say, on a sunny afternoon when you're at work—that excess power flows back to the grid. Eversource credits you for that exported energy at approximately $0.25 per kWh.

That's nearly the full retail rate you pay for electricity—roughly 95-98% of what you'd pay to pull that same power from the grid at night. The small difference accounts for certain non-bypassable charges all customers pay.

This is volumetric net metering. One unit out, one unit credited. Nearly dollar-for-dollar.

And for Massachusetts solar customers, it's incredibly valuable.

What the DPU Order Actually Says

The order is 27 pages long. Here's what matters:

From page 15:

"Finally, the Department acknowledges that the potential changes to electric distribution kilowatt-hour charges contemplated by this investigation necessitate consideration of the effects on the net metering program."

From page 16:

"We take this opportunity to investigate how net metering credits offered in Massachusetts compare with similar offerings in other jurisdictions and to determine whether the current value of net metering credits appropriately balances the benefits of incentivizing the deployment of distributed generation with the costs borne by ratepayers. Therefore, in this investigation we will consider reductions to the value of the net metering credit..."

Let me translate that regulatory language: The DPU is actively investigating whether to cut what you get paid for solar exports.

One of the specific questions they're asking stakeholders (Question 10, page 20):

"Should the Department reform net metering values or structures for excess distributed generation to increase customer affordability? If so, how? Please identify examples from other jurisdictions where instructive."

The DPU is explicitly looking at what other states did. And what other states did was slash net metering compensation by 50-75%.

What Happened in California and Illinois: A Warning for Massachusetts Solar Buyers

Massachusetts isn't the first state to "investigate" net metering reform. We know exactly how this story ends because we've watched it play out in California, Illinois, and other states.

California solar net metering (NEM 3.0) - implemented April 2023. The value of solar exports dropped by 75% overnight—from roughly $0.30/kWh to $0.08/kWh. For a typical homeowner, that change eliminated $50,000 to $100,000 in lifetime solar savings.

Illinois solar net metering reform - effective January 1, 2025. They cut net metering credits by approximately 50% by only compensating the "supply" portion of the bill—not delivery charges, taxes, or fees.

In both states, existing solar customers were grandfathered. Anyone who got their solar interconnection application in before the deadline kept the old net metering rates for 20-30 years.

Everyone else? They're in the new system. Forever.

The Math: What Massachusetts Net Metering Changes Mean for Your Solar Investment

Let me show you what a 60% reduction in net metering value would do to a typical Northeast Solar customer.

Scenario 1: You install now (current net metering)

System size: 10 kW
Annual production: ~12,000 kWh
Net metering rate: $0.255/kWh for exports
Typical self-consumption: ~7,000 kWh (used during the day)
Exported to grid: ~5,000 kWh
First-year savings: ~$1,820
25-year savings: $66,400 (assuming 3% annual utility rate increases)

Scenario 2: You wait (60% net metering reduction)

Same system, same production
Export credit drops to ~$0.10/kWh
First-year savings: ~$1,045
25-year savings: $38,100

The difference: $28,300

That's not a projection. That's the actual dollar impact based on what California and Illinois did—and what the DPU is now actively investigating.

The DPU 25-200 Timeline: What Happens Next for Massachusetts Solar

Here's the Massachusetts Department of Public Utilities schedule from the order:

January 30, 2026: Utilities must submit reports
March 31, 2026: Initial public comments due on net metering changes
April 30, 2026: Reply comments due
Late 2026/2027: DPU issues decision on Massachusetts net metering reform

If the DPU follows California's timeline, they could give as little as 120 days notice before new net metering rates take effect.

And here's the critical part for Massachusetts solar customers: Just like California and Illinois, Massachusetts will grandfather existing solar systems. The day you interconnect, you lock in today's net metering rules for 20-30 years.

After the cutoff? You're in the new system.

Why the DPU Is Doing This

The order frames this as a question of "affordability" and "equity"—the idea that solar customers aren't paying their "fair share" of grid costs.

It's the same argument utilities made in California and Illinois. And it worked.

But here's what the order doesn't say: Renewables—solar and wind—are the cheapest forms of new electricity generation on the planet. Every rooftop array reduces demand on an aging grid. And every dollar that doesn't go to Eversource stays in Western Massachusetts, supporting local jobs and local businesses.

The DPU has to balance competing interests. I get that. But let's be clear about who benefits from cutting net metering rates: the utilities, not homeowners.

What About Solar Financing in Massachusetts?

Our no-money-down, 20-year fixed-rate solar energy plan through Palmetto LightReach was designed to make solar accessible in a high-interest-rate environment.

But that solar financing plan still depends on net metering. If the DPU cuts export credits by 60%, the economics change for everyone—cash buyers and financed solar systems alike.

The lender isn't going to offer the same terms under a gutted net metering system. And neither would we.

Already Have Solar in Massachusetts? You're Locked In

If you already went solar with Northeast Solar, you're protected. Your Massachusetts net metering credits aren't going anywhere.

But your neighbors in Western Massachusetts are running out of time. We're still offering our $500 referral bonus for every referral who goes solar. Help someone lock in current net metering rates before the rules change.

Why I'm Writing This Now

I could have stayed quiet about this order. It's 27 pages of dense regulatory language filed right before the holidays. Most people won't even know it exists until the decision is final.

But that's not who we are.

You deserve to know what's coming. Not after the comment period closes. Not after the decision is made. Now, while you still have time to act.

The DPU is asking whether Massachusetts should follow California and Illinois. Based on the language in this order, they're seriously considering it.

And if they do, the only people who will be protected are the ones who got their systems interconnected before the cutoff.

What Massachusetts Homeowners Should Do About Net Metering Changes

If you've been thinking about solar panels for your Massachusetts home, here's what I recommend:

Request a free solar assessment from Northeast Solar. We'll evaluate your roof, your energy usage, and your solar financing options. No pressure, just honest numbers.
Understand the Massachusetts solar timeline. The DPU comment period closes in April 2026. A decision could come 6-12 months after that. If you want to be grandfathered into current net metering rates, you need to be interconnected before the new rules take effect.
Don't wait for perfect certainty. The DPU 25-200 order is public. The investigation is real. The precedent from California solar and Illinois solar is clear. Waiting for the final decision means it's too late.
Share this with other Massachusetts homeowners who need to know. Post it. Forward it. Talk about it at the coffee shop. The more people who lock in current net metering rates now, the stronger our local economy becomes.

The Bottom Line on Massachusetts Net Metering

Net metering as we know it in Massachusetts may not survive this DPU investigation.

I don't know the exact timeline. I don't know whether the cut will be 50%, 60%, or 75%. But I know the Massachusetts Department of Public Utilities just opened an official proceeding (D.P.U. 25-200) to investigate net metering reform, and I know what happened in every other state that went down this path.

Massachusetts solar customers who act now will be grandfathered. The people who wait will lose $28,000 or more.

It's that simple.

Ready to lock in today's Massachusetts net metering rates?

Call us at (413) 247-6045 or visit northeast-solar.com to schedule your free solar assessment.

Let's do the good work—together, and while the rules still favor Massachusetts homeowners.

P.S. If you want to read the full DPU order on net metering changes, it's public record: D.P.U. 25-200, filed December 15, 2025. You can find it on the Massachusetts Department of Public Utilities website at mass.gov/dpu.