Solar and Net Metering Basics in Fremont County

Thinking about going solar in Fremont County? Between utility rules, permits, and changing incentives, it can feel complex to start. You want a clear picture of how net metering works, what Black Hills Energy requires, and how timelines and costs can affect a home purchase or sale. This guide breaks down the essentials so you can plan with confidence. Let’s dive in.

How net metering works in Fremont County

Colorado rulebook, in plain English

Colorado law lets you offset your usage with your own solar power and bank any extra as monthly bill credits. You can carry credits forward month to month, and at year end you may choose to keep carrying them or take reimbursement at the utility’s average hourly incremental cost. Size caps and processes vary by utility type, and utilities must follow reasonable interconnection rules. You can read the statutory baseline in Colorado Revised Statutes section on net metering here.

Black Hills Energy specifics

Many Fremont County homes in places like Cañon City and Florence are served by Black Hills Energy. Black Hills uses an online interconnection application with review levels, may require engineering studies for larger systems, and installs a net meter and often a production meter before giving permission to operate. Under its Colorado solar program, systems may be sized up to 200 percent of expected annual consumption, and monthly excess generation is banked as bill credits with the option for annual reimbursement at avoided cost. Review the utility’s current program and interconnection details on the Black Hills Colorado solar program and interconnection compliance pages.

Rooftop solar step by step

1. Confirm your utility. Check your electric bill. If it is Black Hills, review their Colorado solar program and ask your installer to handle the interconnection paperwork. Start with the utility’s program page.
2. Get 2 to 3 written quotes. Ask for system size, estimated annual kWh, equipment list, expected permit and interconnection fees, timeline to inspection and commissioning, and ownership model.
3. Pull permits. Your contractor will apply with the correct authority: Fremont County Building Department for unincorporated areas or the city building department inside city limits. Expect a building permit plus state electrical permit and inspection. Check the county’s permitting hub here.
4. Submit the interconnection application. Pay any utility processing fees and complete the required documents. Black Hills may require a higher level review for larger systems, followed by a meter swap and final test before approval to operate. See utility requirements on interconnection compliance.
5. Choose your credit option. After commissioning, you will accrue monthly credits. You can keep rolling them forward or elect year end reimbursement at the utility’s average hourly incremental cost per Colorado law, detailed here.

Typical fees and timelines

Black Hills publishes example fees that can include a pre-application fee, interconnection processing fees by review level, and metering costs. Sample amounts include a 250 dollar pre-application fee, 380 dollars for level one or two processing, and a production meter that can run about 400 dollars, plus truck-roll fees if repeat visits are needed. Always verify current figures with your installer and the utility, since tariffs and fee schedules can change. See the utility’s fee policy examples here.

Timelines vary by scope. Straightforward residential systems can move from permit to permission to operate in a few weeks, while projects that need engineering studies or grid upgrades may take several months.

Incentives and taxes to know

Federal credit status in 2025

A new federal law repealed the residential clean energy credit for expenditures made after December 31, 2025. That change is material for projects planned in late 2025 versus 2026. Confirm your eligibility and timing with a tax professional and review the congressional summary here.

Colorado sales and property tax

Colorado exempts qualifying renewable energy equipment from the state portion of sales and use tax. Local practices can vary, so confirm with your installer and seller. The Colorado Department of Revenue guidance is available here. For property tax, residential renewable energy personal property used primarily for the residence is exempt within capacity limits, which guidance notes as up to 100 kW AC. Find state guidance here.

Community solar options

If rooftop solar is not a fit, you may be able to subscribe to a community solar garden in your utility’s territory. Colorado law requires utilities to credit subscribers, and a 2023 law updated how those credits are calculated and how utilities recover billing system costs. You can read the bill summary for HB23-1137 here.

Buying or selling a home with solar

Owned systems typically make a sale smoother and can contribute to resale value, while leases or PPAs can add steps because a buyer must assume or refinance the agreement. Studies have found a positive premium for homes with owned PV, though results vary by market and system size. For a plain-language overview of resale value research, see this summary article here.

When you sell, gather key documents: the interconnection agreement, installation date, equipment list, inverter and panel warranties, monitoring access, maintenance records, and any incentive paperwork. Buyers should request the same items and ask about any existing net metering credits and transfer terms. For utility documents and interconnection references, start with Black Hills interconnection compliance.

Local tips for Fremont County

• Confirm your utility by checking the name on your bill. Some addresses are served by Black Hills, while certain municipal areas have their own providers.
• Contact the correct building department early. Unincorporated addresses follow Fremont County’s process, while Cañon City, Florence, and other towns manage permits inside city limits.
• Ask installers to include interconnection and inspection timelines in the quote. Local transformer capacity and utility review level can affect both timing and cost.

Ready to align your solar plans with your next move in Fremont County? If you want local, hands-on guidance that pairs technical know-how with smooth transaction management, connect with Laura Ostrom.

FAQs

What is net metering in Colorado and how do credits work?

• You offset your usage with your solar production, bank extra as monthly credits, and can either carry them forward or take year end reimbursement at the utility’s average hourly incremental cost per state law.

Who is the main electric utility in Fremont County?

• Many homes, including in Cañon City and Florence, are served by Black Hills Energy, but you should confirm by checking the utility name on your electric bill.

How big can my system be with Black Hills?

• Black Hills’ Colorado solar program allows sizing up to 200 percent of your expected annual consumption, subject to the utility’s tariff and interconnection review.

What permits are needed for rooftop solar in unincorporated Fremont County?

• You will typically need a building permit plus a state electrical permit and inspection through the Fremont County Building Department.

How are year end solar credits paid?

• If you choose reimbursement instead of carryover, the utility pays at its average hourly incremental cost, not the full retail rate.

Can I oversize a system to make money?

• Overproducing relative to your load usually results in avoided-cost payments at year end, which are lower than retail, so it is generally not profitable as arbitrage.