Short answer
Net metering records the units your rooftop solar exports to the grid and the units you import. Your DISCOM bills you only for the difference, so surplus solar units reduce your bill.
Key Takeaways
- A net meter is a bidirectional meter that counts units in both directions.
- You pay only for net units: units imported minus units exported.
- Net metering is needed for on-grid and grid-connected hybrid systems.
- Your DISCOM inspects the system before it installs the net meter.
- Settlement rules for surplus units are set by each state’s electricity regulator.
What Is a Net Meter?
A net meter is a bidirectional electricity meter that your DISCOM installs in place of your old meter. It records the units you import from the grid and the units your rooftop solar system exports to the grid as two separate readings.
How Is My Electricity Bill Calculated with Net Metering?
Your bill is based on net units, which are the units imported minus the units exported in the billing cycle. If you import 400 units and export 250 units in a month, you are billed for 150 units, plus fixed charges. When exports are higher than imports, the surplus is carried forward or settled under your state regulator’s rules.
| Example month | Units |
|---|---|
| Units imported from the grid | 400 |
| Units exported by your solar system | 250 |
| Net units billed | 150 |
Illustrative example. Fixed charges and tariffs depend on your DISCOM.
How Do I Apply for Net Metering?
For homes under PM Surya Ghar, the net metering request is part of the application on the national portal. After installation, the DISCOM inspects the system and installs the net meter. SolarSpot files the DISCOM application and follows up until the net meter is installed.
How Long Does Net Meter Installation Take?
The time depends on your DISCOM’s inspection schedule and meter availability, so it varies by area. With SolarSpot, the inverter goes live within 10 working days of approval and site readiness, while the net meter and subsidy credit follow the DISCOM process.
Which Solar Systems Need Net Metering?
On-grid systems and grid-connected hybrid systems need net metering to earn credit for exported units. Off-grid systems are not connected to the grid, so they do not use a net meter.
The Bottom Line
Net metering records the units your rooftop solar exports to the grid and the units you import. Your DISCOM bills you only for the difference, so surplus solar units reduce your bill. SolarSpot files the net metering application with your DISCOM and follows up until the net meter is installed.