Sunprint
The short answer
CHELCO, Choctawhatchee Electric Cooperative, puts new solar members on a time-of-use rate and credits the power they send to the grid at a rate tied to its wholesale supplier's costs, not the retail rate. Credits carry forward as bill credits, but if you leave net metering, unused credits revert to the cooperative.
At about 14.0 cents per kWh, a $300 monthly bill needs roughly 13 to 16 kW of solar to cover most of your use, and a $400 bill needs roughly 17 to 22 kW. CHELCO serves Walton and Okaloosa counties in Northwest Florida.
How CHELCO's solar credit works
- Under CHELCO's net metering tariff on file with the Florida Public Service Commission (PSC), effective May 1, 2023, your bill is CHELCO's charges minus a credit for the energy you send to it.
- Systems installed after May 1, 2023 use the RS-NTOU rate. The credit is the off-peak price plus a demand-related amount for on-peak kWh, based on PowerSouth's wholesale charges, and CHELCO recalculates it annually or when PowerSouth changes its tariff.
- If the credit is larger than your charges, your bill is zero for that cycle and the difference carries to later cycles.
- When you discontinue net metering service, any unused credit reverts to the cooperative. It is not paid out.
- Systems installed before May 1, 2023 can stay on the older RS-N rate until August 1, 2035, or until you upgrade the system or the property changes ownership.
These terms are from the tariff CHELCO filed with the PSC effective May 1, 2023. CHELCO filed updated tariff sheets in February 2025 that we could not read cleanly, so confirm current terms with CHELCO at (800) 342-0990.
The time-of-use rate new solar members use
On RS-NTOU, energy costs more during peak hours, and exports are credited more during peak hours too. The May 2023 tariff lists these energy charges, before the customer charge, the wholesale power cost adjustment, the distribution cost adjustment and taxes:
CHELCO's on-peak hours on RS-NTOU
Peak hours apply to both what you buy and the credit you earn for exports.
| Energy charge, May 2023 tariff | Purchased power | Distribution delivery | Total |
|---|---|---|---|
| RS-NTOU on-peak | 8.114 cents per kWh | 1.699 cents per kWh | 9.813 cents per kWh |
| RS-NTOU off-peak | 6.366 cents per kWh | 1.699 cents per kWh | 8.065 cents per kWh |
| RS-N (installed before May 2023) | 3.979 cents per kWh | 1.368 cents per kWh | 5.347 cents per kWh |
The RS-NTOU energy charge was raised to help recover a solar fixed-cost charge CHELCO says it pays PowerSouth. Our calculator uses CHELCO's average residential rate of 14.0 cents per kWh from federal EIA data.
What a monthly CHELCO bill needs
System sizes use 14.0 cents per kWh and cover 75 to 95 percent of yearly use. Savings and the bill left over use the PSC's December 2025 figures for CHELCO's standard residential rate, including its $35 customer charge, which solar can't reduce.
| Monthly bill | System size | Savings a year if you use it all at home | Bill left each month |
|---|---|---|---|
| $200 a month | 8.4 to 10.6 kW | $1,480 to $1,880 | $43 to $76 |
| $300 a month | 12.8 to 16.2 kW | $2,380 to $3,020 | $48 to $101 |
| $400 a month | 17.2 to 21.8 kW | $3,280 to $4,160 | $53 to $126 |
| $500 a month | 21.6 to 27.4 kW | $4,180 to $5,300 | $58 to $151 |
Treat these as the top end, not a quote; bills are before taxes and local fees. New solar members are billed on CHELCO's time-of-use rate, and power sent to the grid is credited from wholesale costs, so how much you use while the sun is up matters a lot here.
How to connect solar to CHELCO
- Choose a licensed contractor. Systems must be under 25 kW AC, meet IEEE 1547 and the National Electrical Code, use a UL 1741 inverter, and be inspected by local code officials before they operate.
- Complete CHELCO's standard Net Metering Interconnection Application and provide other information CHELCO reasonably asks for.
- Provide proof of a qualified installation. A licensed electrician's certification counts. Systems over 10 kW also need proof of at least $1,000,000 in liability insurance.
- Pay the $25 application fee and $50 meter connection fee. CHELCO says both can change.
- CHELCO confirms in writing that it received your application within 10 business days. Do not start parallel operation until you have that notice.
CHELCO may require a lockable, accessible disconnect switch at the point of common coupling. You own and pay for it.
Which utility do I have?
Your bill names your utility. CHELCO serves Walton and Okaloosa counties. Nearby areas are served by other utilities, such as West Florida Electric Cooperative. Compare every utility we cover at solar by utility, or read our Talquin guide for another North Florida co-op.
Your estimate in three steps
- Enter your billYour ZIP code, your utility and last month's bill.
- See your estimateA yearly savings range based on your utility's rates and Florida sun.
- Choose what's nextAsk for a quote call if you want real pricing, or just keep the number.
See what solar could save you
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Common questions
How much solar do I need with CHELCO?
At about 14.0 cents per kWh, a $300 monthly bill needs roughly 13 to 16 kW of solar and a $400 bill needs roughly 17 to 22 kW. New CHELCO solar members are on a time-of-use rate, so when you use power changes what that system saves.
Is solar worth it with CHELCO?
It depends on when you use power and how much of your solar output you use at home. CHELCO credits exports at a rate tied to its wholesale supplier's costs and does not pay out leftover credits. Compare our estimate, which is a top end at CHELCO, with each quote. The federal tax credit ended on December 31, 2025.
What rate do new CHELCO solar members use?
Under CHELCO's net metering tariff effective May 1, 2023, systems installed after that date use the RS-NTOU time-of-use rate. It has an on-peak and an off-peak energy charge, and the export credit is time-of-use as well.
How does CHELCO credit solar power sent to the grid?
On RS-NTOU, the off-peak credit is PowerSouth's energy charge plus its average demand charge spread over 8,760 hours plus the monthly fuel adjustment, and the on-peak credit adds a demand-related amount. CHELCO recalculates it annually or when PowerSouth changes its tariff, and applies it to all kWh CHELCO buys from members that year.
Do CHELCO solar credits expire or get paid out?
If a month's credit is larger than your charges, your bill is zero and the difference carries to later bills. The tariff says that when you discontinue net metering service, any unused credit reverts to the cooperative, so it is not paid out.
What are CHELCO's on-peak hours?
May through October, on-peak is 2:00 pm to 7:00 pm. November through April, it is 5:00 am to 9:00 am.
What if my CHELCO system was installed before May 2023?
Those systems can stay on the RS-N rate until August 1, 2035, or until you upgrade the system or the property changes ownership. RS-N credits exports at the power part of the energy charge, $0.03979 per kWh in the 2023 tariff, plus the current month's wholesale power cost adjustment.
How do I connect solar to CHELCO?
Complete CHELCO's standard Net Metering Interconnection Application and provide proof of a qualified installation, which can be a licensed electrician's certification. CHELCO says it will confirm in writing within 10 business days of receiving your application and documents, and you must not start parallel operation until you have that notice.
What does it cost to apply for solar at CHELCO?
The tariff lists a $25 application processing fee and a $50 meter connection or reprogramming fee, and says both can change to recover costs.
How big a solar system does CHELCO allow?
The residential net metering rate is for systems under 25 kW AC. Systems over 10 kW must carry at least $1,000,000 of liability insurance, and the tariff calls for a lockable disconnect switch you own if CHELCO requires one.
Related guides
- How much solar do I need for a $300 to $700 electric bill?
- Florida solar incentives: what is still available
- Solar in the Florida Panhandle
- Florida net metering explained: why credits vary so much
- How to check a solar company in Florida
- Solar battery backup in Florida: costs and runtime
Sources: CHELCO net metering tariff filed with the PSC, 2023 (PDF) · CHELCO tariff filing, February 2025 (PDF) · Florida PSC comparative rate statistics, December 31, 2025 (PDF) · U.S. EIA Form 861 utility data, 2024 and 2025 early release
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