How Net Metering Works

Net Metering in Solar – Complete Guide for Homeowners

When you install solar panels, your goal is simple: save money and use clean energy. But did you know you can actually earn credits on your electricity bill by giving excess solar power back to the grid? This is made possible through Net Metering.

At VMJ Solar, we believe every homeowner should understand how net metering works before installing a solar system. Let’s break it down in simple terms.

What is Net Metering?

Net metering is a billing arrangement between you and your electricity distribution company (APSPDCL/APEPMDCL).

  • Your solar panels generate electricity during the day.
  • You use what you need instantly.
  • Extra units go back to the grid.
  • At night or on cloudy days, you draw power from the grid.
  • At the end of the month, your bill shows the net difference (units consumed – units exported).

👉 If you export more than you consume, you get credits that reduce your future bills.

How Does Net Metering Work in Practice?

Install Solar Panels – Connected to the grid through a bi-directional meter.

Daytime – Panels generate electricity, powering your home first.

Excess Power – Any unused energy is exported to the grid.

Nighttime – You draw electricity back from the grid.

Billing Cycle – DISCOM adjusts your bill based on net consumption.

Benefits of Net Metering

Massive Bill Savings – Reduce electricity bills by 90%.
No Wastage – Every extra unit of solar energy is credited, not wasted.
Quick ROI – Faster payback on your solar investment.
Support from Government – Net metering policies are backed by central and state renewable energy missions.

Who Can Apply for Net Metering?

  • esidential homes (individual or apartments).
  • Commercial & industrial buildings.
  • Institutions & schools.

(Eligibility depends on APSPDCL/APEPMDCL rules, system size, and safety compliance.)

Net Metering Process – Step by Step

Apply through APSPDCL/APEPMDCL (depending on your service area) or through VMJ Solar’s support.

Site inspection & approval.

Installation of bi-directional meter.

System synchronization with the grid.

Start enjoying bill credits every month!

Limitations You Should Know

Net metering works only for on-grid solar systems (not for off-grid).

Some states cap maximum system size (typically up to 1 MW for rooftop).

Policy details may differ from one DISCOM to another.

VMJ Solar’s Role in Your Net Metering Setup

When you choose VMJ Solar, you don’t just get panels—we provide end-to-end net metering support:

  • System design & subsidy application.
  • DISCOM approvals & bi-directional meter setup.
  • Installation, monitoring & long-term service.

We make sure you get the maximum savings, legally and reliably.

FAQs

1: Is net metering available everywhere in India?
Yes, Andhra Pradesh supports it through APSPDCL and APEPDCL, but rules vary by area.

2: Can I earn money from solar with net metering?
You don’t get direct cash, but you earn bill credits that roll over to future months.

3: Do I need batteries with net metering?
No—net metering works without batteries. If you want backup during power cuts, you can add a hybrid system.

4: How long does it take to set up net metering?
Usually 30–60 days, depending on DISCOM approvals.

Final Word

Net metering is the smartest way to maximize your solar investment. Instead of letting extra solar power go to waste, you use the grid as your free storage system—cutting bills, earning credits, and enjoying uninterrupted power.

At VMJ Solar, we guide you through the entire net metering journey so you can switch to solar worry-free.

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