Net Metering

What is net metering?

Net metering is a mechanism which allows domestic or commercial users who generate their own electricity using solar panels or photovoltaic systems to export their surplus energy back to the grid.

Method of billing

In net metering, the owner is billed for the “net” energy that is used, which is the difference between total energy produced by the system and total energy consumed. Net metering accounts the difference of excess power exported back to the grid and total power consumed by the owner. Hence, surplus energy earns revenue while the shortage of energy is covered by the grid.

What are the advantages of net metering

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