BC regulation
BC Hydro Rate Schedule 2289, explained
On 1 July 2026 BC Hydro stopped accepting new customers onto net metering and opened a new rate in its place. If you already have solar, almost nothing about your bill changed. If you are about to install it, one detail changed the arithmetic completely — not what you are paid for exported power, but when it is counted.
By Majid Arabi, founder of Raincoast Solar · Reviewed July 2026
Verified 27 July 2026 against BCUC Order G-64-26 and BC Hydro’s published rate pages. Every figure below comes from those sources.
What Rate Schedule 2289 is, in one paragraph
Rate Schedule 2289 is BC Hydro’s Self-Generation Service: the rate that applies to a customer who generates some of their own electricity and stays connected to the grid. The BC Utilities Commission approved it in BCUC Order G-64-26, dated 24 March 2026, and it took effect on 1 July 2026. It pays 10¢ per kWh for energy you export to the grid, it settles that credit every billing cycle rather than once a year, and it sets a net injection limit of 100 kilowatts per phase after serving the customer’s load. Everything else on this page follows from those three facts.
One date trap before anything else: 24 March 2026 is the decision date, not the in-force date. The BCUC ruled in March; the rate began on 1 July. Anything you read that says the rules changed in March, or in April, is quoting an earlier and now-superseded application.
What changed on 1 July 2026, and what did not
Five things changed at once, which is part of why the coverage of BC Hydro’s net metering changes has been muddled. Taken one at a time:
Net metering closed
RS 1289, the Net Metering Service, stopped accepting new customers. Existing participants stay on it.
RS 2289 opened
Self-Generation Service became the rate for every new self-generating customer, at 10¢ per kWh exported.
RS 2290 opened too
Community Generation Service, for shared projects up to 2 MW, arrived the same day and has had almost no coverage at all.
Alongside those, two mechanics changed that matter more than the headline price. Settlement moved from annual to every billing cycle, and the netting interval moved from an annual reckoning to instantaneous. The size limit also changed shape: RS 1289 capped nameplate capacity at 100 kW, while RS 2289 caps net injection at 100 kW per phase, measured after your own load is served. Those are different rules, and only one of them is about the size of your array.
What did not change: the equipment, the permits, the electrical inspection, the interconnection application, or the retail rates you pay for the power you buy. More on that at the end — it is a longer list than most people expect.
How the settlement mechanic actually works
This is the part almost nobody has explained properly, and it is the part that decides whether a system is worth building.
Under the old net metering rate, your meter counted in both directions and the arithmetic was done on the totals. If you generated 900 kWh in a period and used 1,500 kWh, you were billed for 600 kWh — and it made no difference whether your own power was consumed at noon while the array was producing or at 10 p.m. from the grid. Surplus banked as kilowatt-hours and carried forward, and whatever was left at your anniversary date was cashed out at a price BC Hydro recalculated each 1 January from the prior year’s daily average Mid-Columbia market prices.
Under RS 2289, the arithmetic happens at the instant it happens. BC Hydro’s own wording: “Customers will be able to offset their consumption with their generation, i.e. at the retail rate, applying an instantaneous netting interval.” If your array is producing 3 kW while your house draws 1 kW, then in that moment 1 kW is self-consumed and offsets the retail rate, and 2 kW is exported and earns 10¢. There is no bank. There is no annual true-up. Each billing cycle you are billed for what you imported and credited for what you exported, and the two appear on the same bill.
| RS 1289 — closed 1 July 2026 | RS 2289 — in force | |
|---|---|---|
| When exports are counted | On the period totals | Instantaneously, as they occur |
| Credit unit | Kilowatt-hours, banked | Dollars, on each bill |
| Settlement | Once a year, at the anniversary date | Every billing cycle |
| Export price | Recalculated each 1 January from Mid-Columbia prices | 10¢ per kWh, fixed until reviewed |
| Can summer carry winter? | Yes — that was the point of the bank | No |
| Size limit | 100 kW nameplate | 100 kW net injection per phase, after load |
Sources: BC Hydro Rate Schedule 1289 (closed) and the rate-design material approved by BCUC Order G-64-26.
The consequence is short enough to state in one line: you can no longer bank summer sunshine against a winter bill. A kWh exported in July earns 10¢ in July. It is not held against December, when this coast generates a fraction of what it does in summer and consumes considerably more.
The export credit, and what it is worth against what you pay
Search for a solar export credit in BC and 10¢ per kWh is the number you land on. On its own it means nothing. It means something against the price of a kWh you would otherwise have bought — so here are both, from BC Hydro’s published residential rates as of 27 July 2026.
| What happens to the kWh | Worth | Vs. exporting |
|---|---|---|
| Exported to the grid (RS 2289) | 10¢ | — |
| Used on site, tiered rate 1101 Tier 1 | 11.87¢ | +1.87¢ |
| Used on site, tiered rate 1101 Tier 2 | 14.08¢ | +4.08¢ |
| Used on site, flat rate 1151 | 12.70¢ | +2.70¢ |
Tier 1 applies to the first 22.1918 kWh per day; Tier 2 to everything above it. The basic charge of 23.44 cents per day is excluded here, because it is unaffected by generation. Figures before GST and rider adjustments.
That table is the single most useful thing on this page, and it is worth reading it more carefully than the marketing does. Yes, a kWh you use is worth more than a kWh you sell. But in Tier 1 the gap is 1.87¢ — not nothing, and not the dramatic difference the phrase “self-consumption is far more valuable” implies. In Tier 2 the gap is 4.08¢, more than twice as much. Self-consumption pays properly in a high-consumption household, and only modestly in a frugal one.
Is the 10¢ fixed?
Here is where most coverage gets it wrong, and the correct answer is sharper than the wrong one. You will read that the rate is “fixed for five years”. That phrase comes from BC Hydro’s application — it is what was asked for. The Commission did not grant a term. Its finding, in full, was this:
“The Panel finds it reasonable for the Energy Price to be fixed until there is a review of BC Hydro’s evaluation report, as this will provide a period of stability for customers while allowing the Energy Price to be revisited in the future.”
— and it directed BC Hydro to file that evaluation report by 30 April 2030. So the price is fixed until a review, not for a term, and 30 April 2030 is a filing deadline rather than an expiry date. It is also under four years after the rate began, so “five years” is wrong about the arithmetic as well as the mechanism.
There is no per-customer lock-in either, and this one costs money if you get it wrong. One intervenor proposed fixing each customer’s price at their service start date for the life of their project; the Panel did not adopt it. If somebody models 10¢ per kWh across a 25-year payback and calls it locked in, they are quoting a proposal, not a decision. The full detail of what BC Hydro pays and how that price is set is worth its own read.
A worked example on a real bill
Assumptions, stated so you can substitute your own: a 30-day billing period, a household consuming 1,500 kWh, on the tiered residential rate, with a 9 kW array producing 900 kWh in that period. The only thing that differs between the two RS 2289 columns is how much of that generation is used in the house as it is produced.
| Per 30-day period | No solar | RS 1289 closed |
RS 2289 40% used on site |
RS 2289 70% used on site |
|---|---|---|---|---|
| Billed grid consumption | 1,500 kWh | 600 kWh | 1,140 kWh | 870 kWh |
| Energy charge | $196.49 | $71.22 | $145.80 | $107.78 |
| Basic charge | $7.03 | $7.03 | $7.03 | $7.03 |
| Export credit | — | banked as kWh | −$54.00 | −$27.00 |
| Period total | $203.52 | $78.25 | $98.83 | $87.81 |
Before GST and rider adjustments. The RS 1289 column shows what a new customer would have been billed under the now-closed rate — it is not a choice anyone still has. BC Hydro bills most residential customers bi-monthly, with the Tier 1 threshold pro-rated by the number of days.
Two things fall out of that table, and the second is the one worth remembering.
First: the timing of your own consumption now moves your bill. Shifting 270 kWh from export to self-consumption — the difference between the two RS 2289 columns — is worth $11.02 in this period. That is exactly 270 kWh at the 4.08¢ Tier 2 premium, and you can check the arithmetic yourself.
Second, and this is the whole change in one line: under RS 1289 that column does not move. Annual netting worked on the totals, so a household using 40% of its generation on site and one using 70% got the same bill. Under RS 2289 the same house, the same array and the same 900 kWh produce two different bills. That is what an instantaneous netting interval means in practice.
Who this affects: new applicants versus existing systems
If you applied for net metering before 1 July 2026 and were accepted, you are on RS 1289 and you stay there. The transition runs 10 years from the initial net metering service start date — so your ten years and your neighbour’s ten years end on different days.
There is one exception, and it is the sharpest fact in this whole area. Taking a solar rebate moves you to RS 2289. BC Hydro’s wording: “If you received a solar rebate, you will be moved to the new self-generation rate (Rate Schedule 2289) when it begins.” If you received your rebate before the BCUC decision on 24 March 2026, you have a one-time opportunity to repay it and stay on net metering for the remainder of your ten years.
And it cannot be undone. The tariff is explicit: “Once an Eligible Customer begins receiving service under Rate Schedule 2289, they cannot under any circumstances revert to or receive service under Rate Schedule 1289.” Accepting a rebate is a permanent rate decision, not just a cheque. It belongs in the same conversation as the rebate itself, and if nobody has raised it with you, raise it with them.
BC Hydro has not published a deadline for that repayment option. We have looked; the page that should carry it currently returns an error. We are not going to tell you the window is still open, and we are not going to tell you it has closed — neither is supportable from anything published. If this applies to you, ask BC Hydro directly and get the answer in writing before you decide. The grandfathering rules have more edge cases than this summary can carry.
A clause-by-clause comparison of the two schedules sets out every difference in one place.
What this does to sizing and payback
Under annual netting, the sensible instruction was “size to your annual consumption”, because any kWh you overproduced in July was worth a full retail kWh in January. That instruction is now wrong. Under RS 2289 an overproduced kWh is worth 10¢, not 11.87¢ or 14.08¢.
Three practical consequences, in the order they matter:
- Daytime load is now an asset. A heat pump, a hot water tank on a timer, an EV that charges at home during the day, someone working from the house — each converts export into avoided retail, and each is worth 11.87¢ or 14.08¢ per kWh depending on your tier.
- Oversizing costs more than it used to. The marginal panel on an already-large array mostly exports, which means it earns 10¢ rather than displacing 14.08¢. It still pays; it pays less than the first panel did, and the gap widens the larger the array.
- Storage has a real argument now, and a narrower one than you will be told. A battery moves a kWh from export at 10¢ to self-consumption at 11.87¢ or 14.08¢. On the tiered rate that is the premium above and nothing more. The bigger case is time-of-day pricing, where the on-peak adjustment is +5¢ from 4 to 9 p.m. — hours when a solar array on this coast is fading or finished. Storage moves energy into that window. But you have to be on the time-of-day plan for any of it to apply, and most households are not.
The honest summary is that RS 2289 makes solar in BC a more careful calculation, not a worse one. What it rewards has changed: it rewards a system matched to how a household actually uses electricity, rather than one matched to a number on an annual bill.
What RS 2289 does not change
Worth being explicit, because the volume of coverage since July has left people expecting changes that did not happen. None of the following was touched:
- Equipment. The same panels, inverters and batteries are eligible. No product was delisted and no certification requirement changed.
- Permits and inspections. Your municipal electrical permit and Technical Safety BC inspection work exactly as before.
- The interconnection process. The application, the review and the approval to energise are unchanged. RS 2289 changes what you are paid, not how you get connected.
- Safety standards and anti-islanding. Unchanged.
- The retail rates you pay. The tiered, flat and time-of-day plans are the same rates a household with no solar pays.
- Whether solar works here. The physics did not attend the hearing. Output on this coast is what it always was.
Rebates are a separate question with their own moving parts, and they interact with this rate in the one irreversible way described above. Our guide to BC solar rebates covers what is available and what taking one commits you to, and the rebate and payback calculator runs the numbers for a specific address.
Frequently asked questions
What is BC Hydro Rate Schedule 2289?
What happened to net metering in BC on 1 July 2026?
How much does BC Hydro pay for exported solar power now?
Is the RS 2289 export credit settled per billing cycle or annually?
What does “up to 100 kW per phase” mean for my house?
Does the 100 kW per phase limit apply to single-phase residential service?
Will BC Hydro change the 10-cent rate later?
Is RS 2289 locked in for a set term, or can it be revised?
Free RS 2289 payback analysis for your address
We will model your roof, your actual consumption pattern and your rate schedule under RS 2289 as it is now written — not under annual netting, and not with a locked-in export price nobody was granted. No obligation, and we will tell you if the answer is no.
This page summarises BC Hydro Rate Schedule 2289 and related rates as published on 27 July 2026. Figures are taken from BCUC Order G-64-26 and BC Hydro’s own rate pages, and are stated before GST and rider adjustments. Rate schedules and rebate terms change; confirm anything you intend to act on with BC Hydro directly. Raincoast Solar designs and sells solar and battery systems and subcontracts installation to licensed electrical partners. This is general information, not financial advice.