- 01What Is Net Metering?
- 02Net Metering vs Net Billing vs Gross Metering
- 03Net Metering Rules Under PM Surya Ghar
- 04Net Metering Process: Step by Step
- 05Documents and Charges
- 06Bill Calculation: How Your Bill Is Made
- 07Year-End Surplus: What Happens to Extra Units
- 08Common Net Metering Mistakes
- 09Choosing a Vendor Who Handles Net Metering
- Net metering lets you export surplus solar power to the grid and get 1 unit of credit for every unit exported, recorded by a bidirectional (net) meter.
- Your bill is based on net units = units imported from the grid − units exported, plus fixed charges and taxes.
- Under central rules, rooftop applications up to 10 kW are deemed approved without a feasibility study; the net meter must be installed before the subsidy is released.
- Surplus credits usually carry forward month to month; at year-end they are settled as per your state's rules, which differ between states.
- Your vendor typically files the net-meter application with the DISCOM after installation; you track it on pmsuryaghar.gov.in.
What Is Net Metering?
A rooftop solar system produces most of its power around midday. If your home is using less than the panels produce at that moment, the extra power flows out to the grid. In the evening and at night, you draw power from the grid as usual.
Net metering connects these two flows. A bidirectional meter (also called a net meter) records both the units you import from the grid and the units you export to it. At the end of the billing cycle, the DISCOM bills you only for the difference.
If you export more than you import in a month, the extra units become a credit that is carried forward to the next bill.
Net Metering vs Net Billing vs Gross Metering
| Arrangement | How it works | Where it is used |
|---|---|---|
| Net metering | Exported units offset imported units one-for-one; you pay for the net units | Most residential rooftop systems, including PM Surya Ghar |
| Net billing | Imports are billed at your tariff; exports are paid at a separate, usually lower, rate | Larger systems and some commercial consumers, as per state rules |
| Gross metering | All solar power is sold to the DISCOM at a fixed rate; all consumption is billed separately | Certain states and larger systems |
PM Surya Ghar guidelines cover all metering arrangements approved by the State Commission, but residential systems are typically connected under net metering.
Net Metering Rules Under PM Surya Ghar
Deemed approval up to 10 kW. Under the Electricity (Rights of Consumers) Rules as amended in February 2024, rooftop solar applications up to 10 kW are deemed accepted without a technical feasibility study. For larger systems, the DISCOM must complete the feasibility study within 15 days.
Capacity limit. Central rules allow net metering for systems up to 500 kW (or the sanctioned load, whichever is lower). Some states allow more. Residential PM Surya Ghar systems are well within this limit.
Net meter before subsidy. The central subsidy is released only after the system is installed, the net meter is commissioned and the DISCOM has inspected the plant. A delayed net meter means a delayed subsidy.
State rules decide the details. Billing cycle, settlement period, how year-end surplus is treated and any charges are set by your State Electricity Regulatory Commission and DISCOM, so they vary from state to state.
Net Metering Process: Step by Step
- Register and apply on the national portal. Apply on pmsuryaghar.gov.in with your electricity consumer number and choose a registered vendor.
- Feasibility (deemed for up to 10 kW). For systems up to 10 kW, the application is treated as technically feasible. Larger systems get a DISCOM feasibility check.
- Install the solar system. Your vendor installs DCR modules, inverter, structure and protection devices as per the approved design.
- Net meter application and agreement. The vendor uploads installation details and applies for the net meter through the portal or the DISCOM's rooftop solar system (for example, BSES in Delhi uses its own rooftop solar portal). You may need to sign a net-metering agreement with the DISCOM.
- Net meter installation and testing. The DISCOM installs and tests the bidirectional meter. In some areas the consumer or vendor supplies a tested meter; in others the DISCOM provides it.
- Inspection and commissioning. The DISCOM inspects the plant and issues a commissioning report, which is uploaded on the portal.
- Subsidy and first net bill. After commissioning, you submit bank details for the subsidy. From the next billing cycle, your bill shows import, export and net units.
Documents and Charges
| Document | Why it is needed |
|---|---|
| Latest electricity bill | Consumer number and sanctioned load |
| Proof of ownership or occupancy | Right to install on the roof |
| Identity proof (Aadhaar) | Applicant verification |
| Installation details from the vendor | System size, module and inverter details, DCR proof |
| Net-metering agreement (where required) | Agreement with the DISCOM on billing |
| Bank account details | For subsidy credit |
Charges: Application, meter and testing charges are set by each DISCOM. Many states waive or reduce these for domestic PM Surya Ghar consumers, and in some states they are added to your first bill. Ask your vendor or DISCOM for the current charges in your area.
Bill Calculation: How Your Bill Is Made
The examples below use a 3 kW system in North India and simple assumptions to show how net units are worked out. Real bills also include slab tariffs, fixed charges, duty and taxes.
| Illustrative bill model (hypothetical) — 3 kW system, summer month | Units |
|---|---|
| Solar generation in the month (assumed) | ≈ 360 units |
| Used directly at home in daytime | ≈ 150 units |
| Exported to grid | ≈ 210 units |
| Imported from grid (evening and night) | ≈ 250 units |
| Net units billed (250 − 210) | ≈ 40 units |
| Total home consumption (150 + 250) | ≈ 400 units |
| Units billed: about 40 instead of 400 | ≈ 90% fewer billed units |
Hypothetical example for illustration only. Generation, consumption and tariffs are assumptions; actual results depend on location, season, system performance and your DISCOM's tariff.
| Illustrative bill model (hypothetical) — same home, winter month | Units |
|---|---|
| Solar generation (assumed) | ≈ 300 units |
| Used directly at home | ≈ 120 units |
| Exported to grid | ≈ 180 units |
| Imported from grid | ≈ 130 units |
| Net units (130 − 180) | − 50 units |
| Result | No energy charge; 50 units carried forward |
Hypothetical example. In a surplus month you usually still pay fixed charges and applicable duties.
Year-End Surplus: What Happens to Extra Units
| Approach | What happens to unused credits |
|---|---|
| Carried forward | Credits roll over month to month within the settlement period (common) |
| Paid at a fixed rate | At the end of the settlement period, surplus units are paid at a rate set by the state regulator, often linked to the DISCOM's average power purchase cost, which is usually lower than your retail tariff |
| Lapsed | In some states, unused credits lapse at the end of the settlement period |
Settlement period and rates are set by each State Commission; some use the financial year (April–March), others a different 12-month period.
Common Net Metering Mistakes
- Oversizing the system, so surplus units are settled at a low rate or lapse.
- Not checking that the export reading appears on the bill after commissioning.
- Assuming the vendor has filed the net-meter application without checking status on the portal.
- Ignoring sanctioned load; a system larger than your sanctioned load may need a load increase first.
- Expecting a zero bill; fixed charges and duties usually still apply.
Choosing a Vendor Who Handles Net Metering
Under PM Surya Ghar, a good vendor manages the DISCOM side of the job, not just the installation. Before you sign, check:
- Portal registration for your state and DISCOM.
- Net-meter application, agreement and inspection support included in the quote.
- Experience with your DISCOM and typical time to net-meter commissioning.
- DCR modules and inverter that meet DISCOM requirements.
- After-sales support if the export reading or billing is wrong.
Related reading: PM Surya Ghar Complete Guide 2026 · PM Surya Ghar Last Date 2027
Disclaimer: Net metering rules, charges and settlement rates are set by state regulators and DISCOMs and change from time to time; information here is based on central rules and publicly available state information as of November 2026. Bill examples are hypothetical illustrations, not estimates of your bill. Always verify with your DISCOM and on pmsuryaghar.gov.in.
Frequently asked questions
What is net metering in PM Surya Ghar?+
It is a billing arrangement in which a bidirectional meter records the units you import and export. You are billed only for net units, and surplus units are carried forward as credit.
Is net metering mandatory for PM Surya Ghar subsidy?+
Yes. The subsidy is released only after the net meter is installed and the DISCOM has inspected and commissioned the system.
Net metering ke baad bill kaise banta hai?+
The DISCOM subtracts exported units from imported units. You pay energy charges only on the net units, plus fixed charges and taxes.
Who applies for the net meter?+
Usually your registered vendor files the application with the DISCOM after installation. You can track progress on the PM Surya Ghar portal.
How long does net metering take?+
It varies by DISCOM. Systems up to 10 kW are deemed approved for feasibility, but meter installation and inspection timelines differ between states.
What happens to extra units at the end of the year?+
Depending on your state, they are carried forward, paid at a rate set by the regulator (usually lower than your tariff) or allowed to lapse.
Will my electricity bill become zero?+
Your energy charges can fall sharply or to zero in some months, but fixed charges and duties usually still apply.
Are there charges for the net meter?+
DISCOMs set application, meter and testing charges. Many states waive or reduce them for PM Surya Ghar domestic consumers; check with your vendor or DISCOM.
Get Your Solar Installed and Net-Metered — Free Quote
Tell us your location, roof size and monthly bill. Headsup B2B will connect you with registered vendors who handle installation, net metering and subsidy paperwork.
Registered vendors · DCR-compliant supply · Bulk pricing for installers and EPCs
