South Carolina Just Opened the Door to Bigger Commercial Solar
South Carolina’s Public Service Commission approved updated Non-Residential Solar Choice tariffs that take effect January 1, 2026. The headline is simple: the net metering system size limit just increased from 1 MW to 5 MW for customers on time-of-use (TOU) rates.
For businesses considering solar, this is one of the most important policy updates in years.
Who Benefits Most From the Metering Limit Increase?
The updated Duke Energy Carolinas and Duke Energy Progress Riders allow significantly larger behind-the-meter systems to qualify for net metering. That’s especially impactful for:
- Manufacturing and industrial facilities
- Warehouses and distribution centers
- Large retail or commercial buildings
- Municipal and institutional properties
- Schools, churches, and campuses
In short: many mid-size and large energy users that were previously capped out at 1 MW now have room to offset more of their load.
A Few Practical Limits Still Apply
While the new 5 MW ceiling is the big news, there are still a few guardrails in place:
1. Customers must be on a time-of-use (TOU) rate.
Both Duke companies specify that the 5 MW maximum only applies on TOU schedules.
2. System size can’t exceed your facility’s demand.
The maximum system size is the lesser of:
- 100% of the customer’s contract demand, or
- 5,000 kW AC (5 MW)
This simply ensures your solar system matches the scale of your facility.
3. Interconnection requirements remain unchanged.
The same Duke interconnection rules apply, including:
- Possible Fast Track review for <2 MW
- Cluster Study (DISIS) requirements for larger systems
- Standard engineering and safety reviews
Nothing about this update eliminates the normal approval process — you just have more flexibility in system design.
4. Export credits remain modest.
The 2026 tariffs include updated export credit values for excess generation. These credits are designed to offset costs, not create revenue streams, so the biggest financial benefit still comes from on-site consumption, not selling back to the grid.
What This Means for South Carolina Businesses
The increase to 5 MW is a major opportunity for businesses that previously couldn’t offset enough load to make solar financially compelling. Now, solar + battery systems can:
- Reduce peak-demand costs
- Lower operating expenses
- Improve energy resilience
- Support long-term sustainability goals
The new tariffs don’t make solar complicated. But they can make more commercial and industrial projects possible. To discuss benefits with the team, call our office directly: (704) 225-3875.
How TayCo Can Help
TayCo Electric isn’t offering legal or regulatory advice, but we are here to help businesses make sense of the technical and financial impacts of these new limits.
We can help you evaluate:
- System sizing under the new rules
- Expected offset and payback timelines
- Whether a hybrid (solar + storage) approach makes sense
- Interconnection requirements and next steps
If you operate in South Carolina and have been considering solar, now is the time to take another look.
Ready to explore your options?
Call (704) 225-3875 or reach out through TayCo’s website to start the conversation.
Looking for more resources, directly from Duke Energy, download the PDFs below.
