K.S.A. 66-1263 Explained: Kansas's Net Metering and Easy Connection Act.
Kansas's net metering law was enacted on May 28, 2009 and significantly revised by HB 2527 in June 2024. The 2024 amendments removed the longstanding 15 kW residential cap and replaced it with a 150 kW unified cap for all customer classes, plus a sizing formula tied to historic energy use. This guide walks through what K.S.A. 66-1263 actually says, who it covers, what changed in 2024, and what new rules take effect in January 2026. Written for Kansas homeowners by a licensed solar installer.
By Joshua Hayeslip · Solar Assure
The opening text of K.S.A. 66-1263.
Solar marketing copy on competitor websites often references outdated 15 kW cap that hasn't been current since June 2024. Here is the statute's foundational citation language verbatim, with the 2024 amendment context.
K.S.A. 66-1263 through 66-1271, and amendments thereto, shall be known and may be cited as the net metering and easy connection act.
That single line opens a nine-section statute (66-1263 through 66-1271) that has shaped Kansas residential solar economics since 2009. The act was passed to standardize how Kansas's investor-owned utilities handle small-scale renewable energy systems on customer premises. Unlike Missouri's RSMo 386.890 which covers all utility types, the Kansas statute mandates net metering only for investor-owned utilities (Evergy and Liberty). Cooperatives and municipal utilities can voluntarily adopt net metering programs but are not required to.
For Kansas homeowners considering solar in 2026, the most important fact about K.S.A. 66-1263 is that it was significantly amended by HB 2527 in 2024, signed by Governor Laura Kelly on June 6, 2024. The amendments removed the 15 kW residential cap that had been in place since 2014 and replaced it with a 150 kW cap for all customer classes, with a sizing formula tied to historic energy consumption. New rules take effect on January 1, 2026 that further constrain how systems are sized relative to their export capacity.
Only investor-owned utilities are mandated; other utilities are optional.
This is the most important distinction between Kansas net metering and Missouri net metering. K.S.A. 66-1263 only requires the state's investor-owned utilities to offer net metering. Electric cooperatives and municipal utilities can voluntarily adopt net metering policies, but they're not required by statute. There is also a separate framework called a parallel generation contract under K.S.A. 66-1184 that ALL utilities must offer if a customer requests it in writing.
Investor-owned utilities
The two private investor-owned electric corporations regulated by the Kansas Corporation Commission (KCC) are required to offer net metering under K.S.A. 66-1263. Free bi-directional meter, 150 kW system cap, sizing formula based on historic load.
- Evergy Kansas Metro (KC metro KS side)
- Evergy Kansas Central (Wichita, Topeka, Manhattan, Lawrence)
- Liberty Utilities (formerly Empire District; SE Kansas)
Municipal utilities
City-owned electric utilities are NOT mandated by K.S.A. 66-1263 to offer net metering. Many have voluntarily adopted some form through their city councils or governing boards. Terms vary widely. Always contact your specific municipal utility for their policy.
- Kansas City BPU (Kansas City KS)
- Smaller municipal utilities across Kansas
- If unavailable: parallel generation contract option
Rural electric cooperatives
Member-owned utilities operating under K.S.A. 17-4603 are NOT mandated to offer net metering. Many Kansas cooperatives have voluntarily adopted some form of distributed generation policy, but not all. Contact your specific cooperative for their policy.
- FreeState Electric Cooperative
- Bluestem Electric Cooperative
- Kaw Valley Electric Cooperative
- 20+ other cooperatives statewide
For homeowners in cooperative or municipal service territories where net metering is not offered, the parallel generation contract under K.S.A. 66-1184 is a fallback option. ALL Kansas utilities (investor-owned, cooperative, AND municipal) must enter into a parallel generation contract if requested in writing. The exported electricity is sold at 150% of the utility's avoided cost rate, which is generally less generous than net metering's 1:1 retail offset, but it's the only state-codified option for non-IOU customers in Kansas.
How K.S.A. 66-1263 has evolved since 2009.
Kansas net metering law has gone through three distinct eras, with the most significant changes coming from HB 2527 in 2024. The system size caps, the sizing rules, and the export capacity treatment have all changed. Which era applies to your system depends on when your interconnection agreement was signed.
Pre-July 1, 2014
- 25 kW residential cap
- 200 kW commercial cap
- NEG credits 1:1 monthly
- Annual balance expires March 31
- Free bi-directional meter
- No standby/capacity charges
July 1, 2014 to June 30, 2024
- 15 kW residential cap (lowered)
- 100 kW commercial cap (lowered)
- 150 kW for schools
- NEG credits 1:1 monthly
- Annual balance expires March 31
- 1% IOU capacity cap
July 1, 2024 onwards
- 150 kW unified cap
- Sizing formula (historic load)
- IOU cap rising 1% to 5% by 2027
- Time-of-use rate option
- Jan 1, 2026: 50% rule applies
- Storage excluded from sizing
The formula in K.S.A. 66-1267 for sizing your Kansas system.
Under HB 2527, customer-generators must appropriately size their generation to expected load using a specific formula. The formula uses your historic 12-month consumption divided by the hours in a year and a 0.144 capacity factor for solar in Kansas.
The K.S.A. 66-1267 sizing formula
The 0.144 capacity factor reflects the average annual production of a properly oriented solar array in Kansas, accounting for solar resource, weather, and panel efficiency. The maximum cap is 150 kW regardless of what the formula produces.
For most Kansas residential customers, the sizing formula produces a number between 5 kW and 15 kW, which matches typical residential solar needs. The 150 kW cap rarely matters for homes. Where the formula does matter is for larger homes (5,000+ sq ft with electric heat, pool, EV charging, or multiple buildings) where the customer's actual load might support a larger system, but the formula is the gating factor.
What K.S.A. 66-1263 actually requires.
Stripped of legal language, the statute imposes seven substantive requirements on Kansas's investor-owned utilities. These are the rules that determine whether residential solar pencils out for a given Kansas home in 2026.
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IOUs must offer net metering
Evergy and Liberty Utilities are required to offer net metering on a first-come, first-served basis. The cumulative cap was 1% of utility peak demand and is rising 1% per year through 2027 when it reaches 5%. Coops and municipals are NOT mandated, though many participate voluntarily.
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150 kW unified system cap
For systems beginning operation on or after July 1, 2024, the cap is 150 kW for ALL customer classes (residential, commercial, school, governmental). This replaced the prior 15 kW residential and 100 kW commercial caps. Most homes need 5 to 12 kW, well within the cap.
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Sizing formula required (K.S.A. 66-1267)
Customer-generators must size their system using the formula: 12-month kWh ÷ 8,760 ÷ 0.144 capacity factor, rounded to nearest 2 kW (under 20 kW) or 5 kW (20-150 kW). This caps oversizing relative to actual home consumption.
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NEG credits roll forward, expire annually
Net excess generation (NEG) credits are credited 1:1 against future consumption month to month. However, any remaining NEG balance EXPIRES on March 31 each year and the banked balance returns to zero. Unlike Missouri, Kansas does not pay out remaining credits at avoided cost.
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Free bi-directional meter for IOU customers
Investor-owned utilities (Evergy, Liberty) must provide a bi-directional meter at no additional cost to net metering customers. The IOUs are also prohibited from charging additional standby, capacity, or interconnection fees that non-net-metered customers would not face.
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January 1, 2026: 50% generation cap
For systems beginning operation on or after January 1, 2026, generation capacity may not exceed export capacity by more than 50%. This means you cannot install a system notably larger than what you can actually export to the grid. Energy storage devices like batteries and EVs cannot be used to inflate the sizing calculation.
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Industry-standard safety codes
Customer-generator systems must meet IEEE, NEC (National Electrical Code), NESC (National Electrical Safety Code), and UL (Underwriters Laboratories) standards. Systems must include an automatic disconnect that disables the unit if utility service is interrupted. Implementation rules: K.A.R. 82-17-1 through 82-17-5.
The five-step interconnection process.
K.S.A. 66-1263 standardizes the interconnection workflow across Kansas IOUs. From application submission to an energized system on net metering, expect 30 to 90 days depending on system size and your utility's processing speed. Solar Assure handles every step on behalf of customers.
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Step 01
Verify utility & calculate sizing
Confirm your utility is Evergy or Liberty (mandatory) or contact your coop/municipal (optional). Calculate appropriate size using the K.S.A. 66-1267 formula based on your 12-month historic consumption. -
Step 02
Submit application
Your installer submits the net metering interconnection application through Evergy's online portal or Liberty's process. Application includes site plan, system specs, equipment data sheets demonstrating UL listing, and proof of installer licensing. -
Step 03
Pre-installation review
Utility reviews against KCC rules (K.A.R. 82-17-1 through 82-17-5) and IEEE, NEC, NESC, UL safety standards. Approval granted once standards are confirmed and system fits within the running capacity cap. -
Step 04
Install & meter swap
Solar system is installed and inspected by your local building authority. For IOU customers, the utility installs the bi-directional meter at no cost. Once inspection passes, system is ready to energize. -
Step 05
Energize & net metering begins
Utility issues permission to operate. System energizes and net metering begins immediately. Monthly bill shows energy consumed minus energy exported. NEG credits roll forward; March 31 zeroes any remaining balance.
How K.S.A. 66-1263 compares to RSMo 386.890.
Solar Assure serves both Kansas and Missouri, and the two states have notably different net metering frameworks. Missouri's RSMo 386.890 is among the more solar-friendly residential frameworks in the country. Kansas's K.S.A. 66-1263 is more restrictive in some areas (annual credit expiration, IOU-only mandate) but more permissive in others (150 kW cap vs Missouri's 100 kW). Here are the side-by-side numbers.
| Provision | Kansas (K.S.A. 66-1263) | Missouri (RSMo 386.890) |
|---|---|---|
| Maximum residential system size | 150 kW (post-HB 2527) | 100 kW |
| Sizing formula required | Yes (K.S.A. 66-1267) | No formula; 100 kW absolute cap |
| Coverage (mandated) | Investor-owned utilities only | All retail electric suppliers |
| Coops & municipals | Optional (voluntary) | Mandated |
| NEG credit handling | Expires March 31 annually | Paid at avoided fuel cost |
| Cap on utility participation | 1% rising to 5% by 2027 | 5% of peak load |
| Year originally enacted | 2009 | 2007 |
| Most recent major amendment | HB 2527 (2024) | None (substantively stable) |
The biggest practical differences come down to two things. First, NEG credit handling: Kansas customers lose any remaining credit balance every March 31, while Missouri customers receive a payout at avoided fuel cost. Over a 25-year system life, this difference adds up to several thousand dollars for typical residential systems. Second, coverage: if you live in a coop or municipal territory in Kansas (like Kansas City KS BPU), your utility might not offer net metering at all and you may need to use a parallel generation contract under K.S.A. 66-1184 instead.
For homeowners in border cities (Kansas City KS vs Kansas City MO, Overland Park KS vs Lee's Summit MO), the choice of which side of the state line to live on actually affects long-term solar economics. A typical 8 kW system on a Missouri home will typically generate $5,000-10,000 more in lifetime net metering value than the same system on a Kansas home, primarily due to the better excess-credit treatment.
Common questions about Kansas net metering.
What is K.S.A. 66-1263?
What is the maximum solar system size allowed under K.S.A. 66-1263?
What changes did HB 2527 make to Kansas net metering in 2024?
- Replaced the 15 kW residential and 100 kW commercial caps with a unified 150 kW cap for all customer classes, with sizing required to match historic load.
- Increased the IOU net metering capacity cap from 1 percent of utility peak demand to 5 percent, phased in 1 percent per year through 2027.
- Added time-of-use billing methodology for customer-generators on optional time-varying rates.
- Established that for systems beginning operation on or after January 1, 2026, generation capacity may not exceed export capacity by more than 50 percent (the so-called 50 percent rule), and energy storage devices like batteries and EVs cannot be used to inflate the sizing calculation.
How are excess generation credits handled under K.S.A. 66-1263?
Does K.S.A. 66-1263 apply to electric cooperatives and municipal utilities in Kansas?
Are net metering credits paid at retail rate or wholesale rate in Kansas?
What is the parallel generation contract alternative under K.S.A. 66-1184?
What's changing on January 1, 2026 under K.S.A. 66-1263?
- The generation capacity (the size of your solar system as approved by your utility) may not exceed your export capacity by more than 50 percent. This means you cannot install a system notably larger than what you can export to the grid, even if you have batteries or limited-export inverters.
- Energy storage devices, including batteries and electric vehicles, cannot be used in any sizing formula calculation unless the storage device specifically adds export capacity and is not part of an export-limited system.
Is interconnection free under K.S.A. 66-1263?
What's the difference between K.S.A. 66-1263 and Missouri's RSMo 386.890?
- Coverage: Missouri's RSMo 386.890 mandates net metering for all retail electric suppliers (investor-owned, municipal, cooperative); Kansas's K.S.A. 66-1263 mandates only investor-owned utilities.
- Excess credit handling: Missouri pays out remaining annual credits at the avoided fuel cost rate; Kansas expires the balance on March 31 each year.
- System size cap: Missouri caps at 100 kW with no formula; Kansas caps at 150 kW but requires sizing to historic load via a formula.
Has K.S.A. 66-1263 been changed recently?
How does K.S.A. 66-1263 interact with the Midas Wealth 25% program?
K.S.A. 66-1263 in your Kansas city.
Each Kansas city page covers how K.S.A. 66-1263 net metering works with your specific utility, including local rate schedules, permit processes, and recent rate-case updates.
Have questions about net metering for your Kansas home?
Solar Assure handles every step of the K.S.A. 66-1263 interconnection process for Kansas homeowners. Free quote, no credit pull, no pressure. Josh or Tori responds personally.
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