Solar Net Metering
You just install a solar system and let the net meter track how much electricity the system generates.
What is Net Metering?
Net Metering or Net Energy Metering (NEM) is an electricity billing mechanism that helps calculate the electricity bill of customers who generate electricity from their solar power system.
This process allows you to buy and sell electric units at the same price. If you are looking for an on-grid or hybrid solar power plant, you must install this device to calculate your electricity bill.
What Are the Advantages of Net Energy Metering?
Here are the advantages of the net energy metering process:
- Electricity Bill Reduction
The net meter calculates the electricity transaction in a bi-directional way. It can calculate both electricity transferred to grids and electricity used from grids. Using the net meter & net energy measurement, your DISCOM will provide you with a reduced electricity bill.
- No Battery Requirement
In an off-grid solar plant, you need to buy solar batteries which are costly and require complex maintenance. However, in an on-grid system, the net meter replaces the requirements of solar batteries and supplies the extra electricity to the grids.
- No Maintenance
Compared to solar batteries, a net meter requires low maintenance in terms of effort and cost. The net metre requires an installation fee but it does not require much maintenance hassles and can work for a long time.
How Does a Net Meter Work?
The net metering system works only for on-grid solar power plants. This system is not available in the regular metre. Therefore, bidirectional metering requires a special metre called, ‘Net Metre’.
This net metre is a bi-directional metre which keeps the account of both the import of electricity from the grid and the export of your solar panel-generated electricity to the grid.
In other words, it calculates how much electricity your home has consumed and how many units your solar system has supplied to the power grids.
In a net energy metering system, your final electricity bill will be the difference between the electricity consumed and the electricity supplied.
Electricity Bill Calculation in Net Metering Process
The billing calculation formula is very simple. Here is the formula to calculate the electricity bill of a consumer having an on-grid solar power plant:
Net Electricity Consumption = (Export of Solar Generated Electricity – Import from Grid Electricity)
Here is an example of the electricity bill calculation process in this method:
Total electricity consumed in a billing cycle | 250 units |
Total electricity exported in a billing cycle | 200 units |
Net units consumed in the billing cycle | (250 – 200) = 50 units |
Final electricity bill | Rs. (50 x cost of 1 unit) |
Cost of Net Energy Meter Installation
The cost of net meter installation varies between Rs. 8,000 – Rs. 30,000. If you want to complete this meter installation, you need to apply to your DISCOM and have to pay the installation fee.
Note- The final price will depend on your DISCOM as they can only provide net metering installations.
How Das Energy Can Help You in Net Metering
Solar power net meter installation is not easy if your solar system installer does not provide all the required documents on time. If they delay the application process, it will take more time to activate the solar plant.
At Das Energie, we and our solar installation partners promise to provide the required documents for net meter installation on time.
Additionally, our expert energy advisor will guide you in the process & our installation partner will also help you if you cannot do it on your own.
To get guidance along with the best price, contact Das Energie immediately!
Checklist for Net Meter Approval
Check this table to see the documents required for net metering approval:
Document | Description |
Online or Offline Application Form | Complete the application form as per the guidelines. |
Property Ownership Proof | Documents that verify ownership of your property. |
ID Proof | Valid identification document (e.g., passport, ID card). |
Copy of Last Electricity Bill | A recent bill to confirm your current electricity usage. |
Photograph of Applicant | Recent passport-sized photograph of the applicant. |
Project Report of Solar Power Plant | A detailed report that describes the solar power project. |
Note- You may have to submit other documents if asked by the authority
Process of Net Meter Installation
Follow this table to learn the steps of net energy metering installation:
Step 1: DISCOM officials visit your location and complete further steps
Step 2: They fill up form 15 with the metre number and consumer details
Step 3: DISCOM officials replace your old metre with the new metre
Step 4: The old metre is transferred into a new metre box
Step 5: The new metre is connected to the solar power plant
Step 6: Once the system is successfully connected, it starts generating electricity
FAQs about Net Metering in India
The concept of net energy metering and net billing are almost the same. In the net billing system, the value of exported electricity is considered lower than the imported electricity. In this method, these costs remain the same.
With a net energy measurement system, a consumer can reduce his/her electricity bill based on the electricity transferred to power grids. Your final bill will be the difference between the electricity consumed and the electricity exported.
For a consumer, the net metering is better than the gross metering system. On the other hand, the gross metering system is beneficial for electricity suppliers.
The cost of a net metre is very high. This system helps to reduce the power requirements only in the daytime as it cannot work at night.
Generally, a consumer can save up to 95% of the electricity bill every month with the billing mechanism of net metering.