What Is a True-Up Statement?

During the cycle the customer may pay small monthly bills for minimum or fixed charges while export credits accumulate. On the anniversary, the utility compares total imports with total exports and settles the account. Leftover credits may roll over, be forfeited, or be paid out at a rate the rules specify, depending on the state. Time-of-use programs often net energy within each pricing period instead of treating it as one pool.

The true-up is where unrealistic proposals meet reality. A homeowner promised a zero bill opens a statement showing an amount due, and the phone call goes to the rep or installer. The usual culprits are new usage, such as an EV or heat pump, a system that underproduced, fixed charges that never disappear, or an offset sized below real consumption. Reps who explain the cycle at the appointment field far fewer angry calls later.

Edge cases matter. Selling the home or switching to a different tariff mid-cycle typically triggers a final settlement, a system switched on mid-year has a short first cycle, and a customer on a lease or PPA still receives the utility’s true-up on top of the provider’s payment, because the utility account stays in the homeowner’s name. Do not call the result a refund or a bonus until you know which way the balance falls.