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Solar Learning Lab

Utilities · New York City

Con Edison in 2026: expensive power, complicated credits

Written by the Solar Learning Lab research deskUpdated August 17, 20268 min read

No utility in our coverage charges more for a kilowatt-hour than Con Edison, and none makes solar compensation harder to explain at a kitchen table. A ConEd solar customer chooses between two crediting systems, pays a monthly charge that exists only for solar owners, and watches both reset every year. The upside is the same thing that causes the pain: when grid power costs this much, every kilowatt-hour your roof produces is worth a lot.

29.93¢

New York statewide average residential price per kWh in May 2026; the city runs higher

$1.29

Monthly CBC per kW DC for net metered solar, versus $0.65 on the Value Stack

5.7%

Average summer 2026 bill increase Con Edison flagged for city residential customers

Con Edison solar runs on Rider R, which houses both legacy net metering and the VDER Value Stack. Net metered systems pay a $1.29 per kW DC monthly Customer Benefit Contribution; Value Stack systems pay $0.65. The 2026 Community Credit sits at 12 cents per kWh, and the approved rate plan raises delivery rates every year through December 31, 2028. High rates make the savings real; annual resets make the modeling honest work.

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What ConEd power actually costs

Here is an honest admission most solar sites skip: there is no clean, published Con Edison residential cents-per-kWh number. The utility's own rates page defers to PSC tariff documents, and a real bill is delivery charges plus a supply charge that floats with the market. What Con Edison does publish is directional. For summer 2026 it told city residential customers to expect roughly a 5.7 percent increase, driven mostly by supply costs, and it illustrates impacts using a 280 kWh month, where the increase lands at $4.03.

For scale, the statewide 2024 averages were 571 kWh and $139.53 a month at 24.43 cents. City usage skews lower and city prices skew higher, which is exactly the shape that favors rooftop solar: small systems cover meaningful shares of consumption at the most expensive rates in our coverage.

Sources: Con Edison, about our rates; Rates and Tariffs; EIA Table 5A.

Net metering vs the Value Stack

Rider R of Con Edison's tariff covers customer generators and holds both compensation paths. Phase One net metering is the familiar deal: exports offset consumption at retail value. The VDER Value Stack instead pays per component, and the 2026 statement effective February 1 prices those components as follows:

Value Stack component2026 value
Environmental value$0.03103 / kWh
Capacity, Phase Two$0.03198 and $0.02256 / kWh
Capacity, Alternative 3$6.87 and $4.80 / kW
Capacity, Phase One$0.01617 and $0.00864 / kWh
Hydro$0.02327 / kWh
Community Credit$0.12000 / kWh
Demand Reduction Value$140.76 / kW-year

Source: Con Edison VDER Value Stack credits, Statement No. 101, effective February 1, 2026. Several LSRV zones show zero megawatts remaining.

The tariff page also lists SC No. 11 Buy-Back Service and Standby Service for larger or unusual configurations, but a typical rooftop lives in Rider R. The choice is not academic: it changes your CBC rate, your credit stability and how oversizing behaves. Community solar projects lean on the Community Credit; a homeowner mostly cares whether retail offset beats the component sum for their usage pattern.

Tariff structure: Con Edison distributed generation tariffs.

The charge only solar owners pay

The Customer Benefit Contribution is a fixed monthly charge per kW of DC system size, created by a May 13, 2022 PSC order in Case 15-E-0751. For 2026, Con Edison residential customers pay $1.29 per kW DC on Phase One net metering or $0.65 per kW DC on the Value Stack. It applies to systems interconnected on or after January 1, 2022, skips pre-2022 systems, community solar and demand-billed commercial, and changes annually. NYSERDA publishes the same figures, which is the kind of two-source confirmation we like before we put a number on a page.

On a typical city rowhouse system the CBC is under ten dollars a month. It does not kill the deal. What it does is reward right-sizing, since the charge scales with nameplate capacity whether or not the extra panels earn their keep.

Sources: Con Edison CBC Statement No. 7, effective January 1, 2026; NYSERDA 2026 CBC rates.

Rates rise on a schedule

Con Edison's approved three-year plan runs through December 31, 2028, with the annual average electric delivery rate up 2.8 percent and city residential summer bills up about 5.7 percent in 2026. Press coverage pegs the annual delivery increases at 3.5, 3.2 and 3.1 percent across the three years; we could not confirm those exact figures on a Con Edison or PSC page, so treat them as secondary. The direction is not in dispute, and it cuts one way for solar: every approved increase raises the value of a self-supplied kilowatt-hour.

Pair this with the city specifics, from the DOB permit pathways to the state tax credit, on our New York City page and New York state page.

Sources: Con Edison, about our rates; secondary coverage in the New York Post and Yonkers Times.

ConEd solar questions, answered

Should I pick net metering or the Value Stack?
For most small residential rooftops, Phase One net metering keeps the math simpler: exports offset consumption at retail value, and the monthly CBC is $1.29 per kW DC. The Value Stack pays per component and carries a lower CBC of $0.65 per kW DC, but its credits float with capacity and environmental values. Ask your installer to model both against your actual usage before signing. CBC figures per the Con Edison CBC statement.
How big is the Customer Benefit Contribution in dollars?
A 7 kW DC system on Phase One net metering pays $1.29 times 7, about $9 a month, roughly $108 a year. The same system on the Value Stack pays about $4.55 a month. The charge is based on DC nameplate size, applies to systems interconnected on or after January 1, 2022, and resets annually per NYSERDA's 2026 CBC table.
Why can't I find a simple ConEd cents-per-kWh rate?
Because Con Edison does not publish one for consumers. The Rates and Tariffs page points to PSC tariff leaves, and your all-in price depends on delivery plus a supply charge that moves monthly. The May 2026 New York statewide residential average was 29.93 cents per kWh per EIA, and city rates run above the state average.
Do the credits change after I interconnect?
The Value Stack components reset on annual statements, and the CBC rate changes each year rather than locking at interconnection. That is different from Arizona, where APS locks an export rate for a decade. Build a cushion into any ConEd payback model instead of treating year-one credits as permanent.
Does this apply outside New York City?
Con Edison serves the five boroughs and Westchester, and its rate communications quote different impacts for each. Long Island, upstate and New Jersey homes are with other utilities entirely. For the full city picture including permits and installer ratings, see our New York City page.

What we could not verify

Open items as of August 17, 2026: a primary-source SC 1 residential rate in cents per kWh (Con Edison defers to PSC tariff leaves), whether any part of the city such as the Rockaways sits with a different utility, the exact 2027 CBC and Value Stack values (both reset annually), and the per-year delivery increase percentages beyond Con Edison's own 2.8 percent average figure. We flag these rather than round them off. Corrections run through our editorial policy.

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