Net meter is simply a bi-directional meter that records how many units (Kwh) you consume from the grid and how many extra units (Kwh) your panel generates and sends back to the grid. This meter is supplied by the state electricity provider. We will replace your existing uni-directional meter with a bi-directional meter when we receive it from the DISCOM. We will further explain what net metering and how it works with an example.
Net Metering is an incentive program for residential home owners where they are allowed to export any extra units (KWh) generated by the solar panels back to the grid. These extra units are considered as credits in the customers account. At night, when solar panels are not producing any energy, the customer can then take these credits back from the grid. Ideally, you must consider the grid as “virtual battery” which stores excess energy generated by the panels.
Ideally, you must consider the grid as “virtual battery” which stores excess energy generated by the panels.
With a net meter you can reduce your bill to as low as Rs. 0. We will explain this with a small example.
Let us say that you consume a total of 8 units on an average every day. For these consumption numbers, you will require a 2 Kw solar power system. A 2KW solar power system will generate approximately on an average 8 units/Day.
Now if you consume only 4 units during the day, you have an excess of 4 units. These 4 units can be exported back to the grid with a net meter. In the night, when you consume electricity as per usual, you can take those 4 units back that you exported to the grid earlier during the day. Basically you haven’t consumed any electricity from the grid. You just took back what you exported to the grid during the day. This way, the grid acts a virtual battery. Thus making your electricity bills Rs. 0.
All this magic happens seamlessly and effortlessly in the backend. Ultimately your electricity bills will be Rs. 0 for the next 25 years at least.
If you want to get started on your solar journey with net metering, contact OffCarbon for more information.
To know which states offer Net Metering incentive in India, click here.
CEO | OffCarbon