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From Solar Panels to Savings: A Comprehensive Guide to Net Metering

Solar Panels Saving, Om Solar

Solar is the most viable and sustainable renewable energy source for institutional and individual sustainability. Simple rooftops can become solar power plants. It’s just that simple! Today, you can generate, utilize, and sell extra energy to the grid for credit, called “net metering.”

A solar metering energy system is a mechanism that utilizes the electrical grid to accumulate surplus electricity generated by business or rooftop solar panels. An electrical meter, located within a residential or commercial facility, measures and records the amount of power consumed. Therefore, individuals simply need to compensate for the amount of energy they utilize.

Also Read: How Much Would it Cost to Install Solar Panels in Uttar Pradesh

To use this system, people need to have a proper solar metering system set up consisting of a solar panel, a solar inverter, a bidirectional meter, and an electricity connection. Companies like Om Solar Solution offer Solar Solutions for Homes. Due to the lack of a battery for energy storage, it is necessary to have an electricity connection to send any unused energy to the grid. Hence, this technology presents a cost-effective alternative for individuals while simultaneously mitigating environmental contamination. This blog will provide a comprehensive understanding of solar net metering, including its functionality, installation process, and practical applications.

Solar Panels Saving, Om Solar

Mastering the Concept of Net Metering

Net metering is a billing method that enables solar panel owners to feed excess electricity back into the grid in exchange for credits on their electricity bills. This arrangement facilitates the transfer of surplus electricity. In its most basic form, this system makes use of a bi-directional power meter, which can determine when the solar panels generate more electricity than the home consumes. Net metering is a two-way street that enables homeowners to both use electricity from the grid when their solar panels are not producing enough power and send excess electricity to the grid when they create more than they need. This is made possible by the solar panel’s ability to generate more power than they consume. 

The Way Net Metering Works

1. Generation and Consumption: When solar panels on your rooftop are exposed to sunlight, they produce electricity, which can then be consumed by your electrical system. It is possible to use this electricity to power the lights, appliances, and other electrical devices that are located on your premises.

2. Excess Electricity: There is a possibility that your solar panels will generate more electricity than your household requires during times of peak solar generation, such as when the sun is shining brightly if you have solar panels installed. After that, the excess electricity is distributed to the electric grid.

3. Net Meter Records: Records of the Net Meter A bi-directional or ‘net’ meter is a meter that records the amount of electricity you buy from the grid and the amount of excess electricity you put back into the grid.

4. Accumulation of Credit: The extra electricity is credited to your account, which results in a reduction in the amount of money you pay for your electricity bill. It is possible to make use of these credits in situations where your solar panels are not producing an adequate amount of power, such as when it is nighttime or when there are clouds in the sky, and you are required to import power from the grid. Consider that it is similar to a savings bank account, in which you may deposit and withdraw money. 

Advantages of using net metering

1. Financial Savings: Potential for major cost savings on electricity bills one of the major benefits of net metering is the possibility of enjoying large cost savings on electricity bills. During times when solar production is lower, homeowners can reduce their overall energy expenses by earning credits for the excess energy they generate.

Solar Panels Saving, Om Solar

2. Impact on the Environment: Net metering encourages the use of clean, renewable energy, which in turn helps to reduce emissions of greenhouse gases and contributes to a more sustainable future. Those who own solar panels can feel a sense of pride in their contribution to the fight against climate change.

3. Energy independence: Solar panel owners have a greater degree of control over the amount of energy they produce and consume with their panels. As a result, they can reduce their reliance on conventional utility companies and protect themselves from the impact of rising electricity rates.

Solar Panels Saving, Om Solar

4. Contributing to the Upkeep of the Grid: The benefits of net metering extend beyond simply the homeowners to include the larger energy infrastructure. Solar panel owners contribute to the stability of the grid at times of peak power demand during the day by injecting surplus electricity into the grid. This occurs throughout the day when there is a higher electricity demand. 

5. Promoting Solar Adoption: Net metering is a powerful incentive for homes to make investments in solar energy systems, which is one of the reasons why it is important to promote solar adoption. The overall carbon footprint is reduced as a result of the increased number of people who are encouraged to convert to renewable energy sources. At present, it takes a residential consumer around four to five years to recoup his investment, whereas a business client can do so in two to three years. 

How to Apply for Solar Net Metering in Uttar Pradesh

The technique of installing a net meter is generally the same across all states in India. When applying for a solar panel subsidy in Uttar Pradesh, you will need to commission your system, which includes setting up a net metering method to manage your home solar system.

  • The qualifying consumer who plans to install a grid-interactive rooftop solar PV system must apply the DISCOM, along with the application fees.
  • DISCOM shall perform the feasibility analysis for connecting the rooftop solar PV system to the distribution network within 30 (thirty) days of the application’s submission.
  • While indicating the viability of the connection, the Distribution Licensee (DISCOM) must also notify the consumer of any extra documentation or flaws, if any.
  • The DISCOM will issue its approval within 10 (ten) days after receiving the supplementary papers and correcting any problems. Following acceptance, the customer must apply for registration by completing the registration form.
  • If the completed registration form has no defects, DISCOM will register the scheme and award a registration number within 15 (Fifteen) days after receiving it.
  • The DISCOM and the consumer must execute the interconnection agreement within 30 days of the registration number being issued.

How Much Does It Cost to Install Solar Net Metering?

Installing solar net metering will set you back about $10,000 to $15,000. The equipment testing is included in this pricing range. However, the cost may change based on the consumer if the owner’s system produces more energy than is utilized.

Solar Panels Saving, Om Solar

Also Read: How Net Metering Apply in Uttar Pradesh and How its Works


Solar system owners benefit economically from net metering, which encourages sustainable energy use. Net metering helps integrate solar electricity into the grid for a sustainable energy future. Net metering is the best solar power generation option since it lets consumers consume the right amount of electricity and sell or get credit for excess power. 

The bidirectional electric meter efficiently distributes surplus energy to the grid, relieving individuals of the burden of power storage. This method produces power without polluting, reducing environmental effects.

It is important to recognize that net metering processes vary by area. Therefore, consult your local solar power installation company and follow local norms.

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