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Net metering: meaning in solar

Net metering is a billing arrangement for a grid-connected solar system. One two-way meter records the power imported from the grid and the surplus exported to it, the export is set against the import, and the customer is billed or credited for the net amount at the tariff the state commission sets.

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In more detail

Net metering is set by the state electricity regulator, so the tariff, the carry-forward of unused units and the capacity allowed differ by state. It suits a system that exports at times, such as a home that is empty by day.

It is not available to an off-grid system, which has no grid connection to meter.

Where it shows up in the app

Quotations for on-grid and hybrid systems are where net metering matters. The subsidy note lists net metering among the conditions, and the state subsidy pages describe the steps where a state's agency has published them.

Official sources

Rules and lists change by dated order. Confirm the current position at the source before you rely on it for a customer.

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Common mistakes

  • Assuming one state's terms apply everywhere

    The state regulator sets net metering, so the tariff, the carry-forward of unused units and the capacity allowed differ by state.

  • Offering net metering to an off-grid system

    It is not available to an off-grid system, which has no grid connection to meter.

What to check before you send

  • The system is on-grid or hybrid
  • You read your state regulator's net-metering regulation
  • The customer knows net metering is among the conditions listed with the subsidy

Cite this page

Bharat Solar Venture. "Net metering: meaning in solar." Bharat Solar Venture, last updated 11 Oct 2026. https://bharatsolarventure.in/glossary/net-metering

Canonical URL: https://bharatsolarventure.in/glossary/net-metering

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